Logistics startup Vahak offers a B2B marketplace for trucking companies and truck owners. It allows business clients to connect with truck owners across the country and book them online.
Family members of businessman Karan Shaha, who ran their own businesses, faced many challenges when booking trucks to transport their goods.
“I came to know from some of my family members who run steel plants and rice mills that booking trucks is a hassle as rates keep fluctuating and trust issues with carriers, among others,” he says.
After realizing the downsides in the logistics business, IIT graduates Karan and Vikas Chandrawat launched Vahak, an online transportation marketplace, in 2019.
“Vikas and I did our research and launched our own trucking company to provide ground-level transportation. During that time, we interacted with over 1,000 trucking companies and truck owners and learned about deep-seated issues in this market,” he says Karan.
Bangalore-based Vahak enables client companies to book trucks online, helps in branding the transportation business and expanding the network. It offers a live transport market application to help client companies connect directly with trusted shippers and truck owners across India.
Most recently, in July, Vahak raised $ 5 million in a Series A pre-financing round led by RTP Global with participation from Luxor Capital and Leo Capital.
Online Transportation Community
Speaking to YourStory, Karan explains that Vahak is essentially a community and marketplace for trucking companies and truck owners.
“Currently, a significant part of the transportation business is done through phone calls, resulting in a lot of confusion, delays and losses. At the same time, many of the carriers do not have an online presence, resulting in a gap of confidence in the market, “he adds.
Vahak helps client companies reach truck owners through its app in seconds. It also helps shippers create an online brand for their business and generate leads by leveraging its pan-India network.
Karan explains that during onboarding, the startup ensures that truck owners’ documents are verified and vehicles are insured to build trust among stakeholders. He adds that Vahak’s goal is to enable online financial transactions for business clients and truck owners.