Home Tech Nigeria’s ride-sharing marketplace GoMyWay shuts down due to lack of follow-on funding

Nigeria’s ride-sharing marketplace GoMyWay shuts down due to lack of follow-on funding

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Nigeria’s GoMyWay, a ride-sharing marketplace connecting passengers with ride owners going along the same route has announced it’s shutting down due to lack of funds to fuel its operations.

GoMyWay which was free for use and offered users the cheapest and more convenient way to travel on long-distance trips across the country or simply to commute needed more cash to run its operations, sign up more users and expand rapidly but seems investors didnt see the need to fund the business further.

In an email to subscribers GoMyWay CEO, Damilola Teidi said, “It is with deep regret that I write this email to let you know that GoMyWay will be closing down….Over the last 2 years, the team put in time and effort to growing the business and building a trusted ridesharing community.”

“The plan by its Shareholders/Investors was to run a free service for a year or two, and focus on growing the user-base,” Teidi added.

Teidi said the firm went from less than 1000 members in the first few months to 12,000+ members; 106,630 rides offered and rides shared across 16 states and the firm was set for huge growth. The platform allowed ride owners to earn a small amount from their co-travelers to help cover some of their travel expenses, make new friends, meet potential business partners and conveniently arrive at your destination.

“However, it does take a lot of resources to run this business and the initial plan was no longer sustainable. The Shareholders/Investors came to a conclusion to shut down operations and close the business as there were no funds to invest further.

Though the team has decided to keep the platform running till the end of October but the signup page will no longer be accessible and customer support will also be winding down. GoMyWay is now advising users to check out Shuttlers, a shuttle service for professionals.

On 10th of June, 2017, the firm celebrated its 2nd year anniversary with a 150% increase in registered members and a 300% increase in the number of seats offered. The firm said it had recorded rides shared in 16 states in Nigeria, a major leap from 5 states as at its last anniversary.

It’s sad that the GoMyWay is shutting down instead of becoming a mainstream transport option​ it had hoped to be. The firm had announced plans to launch in Kenya, Ghana and South Africa to solve Africa’s transportation problem via a people-powered transportation network.