CAMBRIDGE, MA – GE Commercial Finance Fleet Services has green lighted $20 million in lease line financing to support significant expansion of Zipcar’s service. Zipcar has had market expansion and 100-percent growth over the past 12 months. Zipcar aims to double its fleet over the next 12 months, while accelerating plans to bring its service to many new urban markets within the next five years. Earlier this month, Zipcar introduced service in Toronto, the company’s first venture into markets outside the United States.
Zipcar has more than 55,000 active members and 1,500 cars — including more than 20 different makes and models — in 11 states and provinces. GE Commercial Finance Fleet Service’s financial support and fleet management expertise, along with advances in Zipcar technology, will enable Zipcar to source and roll out new vehicles more quickly and cost-effectively than any company in the category.
Recent studies by Zipcar and other government transportation agencies indicate that each Zipcar takes more than 20 privately owned vehicles off the road. Forty percent of Zipcar members stated that had Zipcar not been a viable and economically sound transportation solution, they would have kept their privately owned vehicle or purchased a primary or secondary vehicle. Zipcar members also report they save an average of $435 per month, drive less each year compared to owning a vehicle, and increase usage of public transportation resources by more than 47 percent.