US-based on-demand roadside assistance provider Urgent.ly secured $10m on Tuesday in a series B round backed by tire distributor American Tire Distributors and telecommunications company Verizon’s corporate venturing arm, Verizon Ventures.
Forté Ventures, the venture capital firm that led Urgent.ly’s $7m series A round in late 2015, also participated in the round. The 2015 round included Verizon Ventures and Allianz Digital Corporate Ventures, a corporate venturing subsidiary of insurance firm Allianz.
Urgent.ly has developed an app that enables drivers to request roadside assistance from the nearest service provider. The artificial intelligence-equipped platform includes accident alerts and can inform people if someone they know has requested help.
The app only charges users for services used, unlike other roadside assistance providers that charge annual fees. The company plans to use the series B proceeds to expand into new territories.
Urgent.ly raised approximately $500,000 from Blu Ventures, CIT Gap Funds and various angel investors in April 2014 before adding $1.2m six months later in a round led by Select Venture Partners that included Blu Ventures and CIT Gap Funds
Verizon Ventures director Jeffrey Black said: “Urgent.ly has a unique combination of location-based services, real-time data, AI and machine-to-machine communication and we are excited to be a part of a company reinventing a very old experience and providing a compelling customer experience.”