Ride-sharing service Lyft said it had raised $60 million this week led by venture-capital firm Andreessen Horowitz, the Silcon Valley company started by co-founder Marc Andreessen.
The new funding comes as the ride-sharing market is at an all-time high, with other companies like Uber and SideCar also getting in on the fun according to Reuters.
The ride-sharing companies allow smartphone technology to provide alternatives to traditional transportation options like taxicabs or rental cars.
Lyft is available on Apple's iPhone and Google's Android devices and allows riders to "order" a driver to their specific location in a matter of minutes.
The company makes money by taking a cut of the "fare," though they refer to it as a "donation." Lyft's drivers are ordinary people with cars who want to make a few extra bucks by giving someone a ride.
All drivers are subjected to DMV and criminal-background checks and are required to undergo in-person interviews, vehicle inspections and a two-hour training session according to TIME magazine.
"We're trying to make transportation more affordable, social and efficient," said co-founder John Zimmer to TIME. "We really believe in the power of community, and we want to put drivers and passengers first." He said the infusion of funds will help the company hire new employees and grow the business domestically and internationally, but he declined to say where the company will launch its service next.
Lyft operates in five different locations, including San Francisco, Los Angeles, and New York.
Sidecar offers peer-based service and is backed by investors like Lightspeed Venture Partners and Google Ventures. Uber vehicles can be found in more locations in the U.S. and overseas. The company is backed by Benchmark Capital according to Reuters.
RelayRides, another Google Ventures-backed company, lets people rent other peoples' cars. Renting out ones' car has also become more popular as of late but the practice is not found in as many locations compared to the new ride-sharing services.
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