Investors Deliver $20 Million Series B to AxleHire

By James White Thursday, April 15, 2021

Today, last-mile delivery is often an essential part of the standard ecommerce business model. A budding ecommerce company must compete with giants like Walmart and Amazon when it comes to fast and reliable shipping services, as the leaders in the business set the standard for customer expectations. Startup logistics company AxleHire recently raised $20 million from investors to accelerate the growth of its last-mile delivery services.

“Businesses need help navigating the new shift in consumer perception when it comes to delivery expectations, especially in a post-Covid-19 world,” said Adam Bryant, CEO of AxleHire. “With this new investment from Ajax Strategies, we are primed to level the playing field when it comes to providing cost-effective, reliable same- and next-day delivery for a variety of shippers.”

Support for the startup business in the latest Series B was led by Ajax Strategies. Other investors who backed the startup company during the round included Eclipse Ventures, Quiet Logistics, Bee Partners, and Acorn Pacific Ventures. Eclipse Ventures and Bee Partners also participated in an $11 million Series A for the AxleHire in 2019. To date, the logistics startup business has raised over $35 million in support of the company.

A deliveryman handing off a package to a customer.

Cost-Effective Logistics

Founded in 2015 by entrepreneurs Daniel Sokolovsky and Peter Wysinski, AxleHire seeks to provide businesses with a quick and consistent delivery service. Sokolovsky previously worked in his family’s own courier company. After noticing that existing logistics software limited the scalability of others in the business, he gathered a team of engineers to create what AxleHire is today.

The startup business offers an integrated routing system to map the most efficient delivery route for drivers, as well as real-time tracking updates for consumers. AxleHire targets partnerships across several industries. Meal kits, fresh groceries, wine and spirits, as well as other ecommerce retailers, utilize services from the startup company.

AxleHire is also exploring avenues to provide zero-emissions delivery services to its customers. The logistics startup company previously worked with the city of Santa Monica to create its voluntary zero emissions delivery zone.

“We are very excited to support AxleHire’s climate-smart approach to same-day delivery,” said Milo Werner, Partner at Ajax Strategies. “Leveraging dynamic routing to consolidate packages across vehicles allows AxleHire to offer the most affordable and lowest carbon same/next day logistics services.”

Joining the Competition in the Last-Mile Delivery

With ecommerce companies thriving as consumers continue to do more and more shopping online, the market for logistics services and solutions is constantly growing. AxleHire already works with online retailers like HelloFresh, Deliverr, Freshly, and Pet Food Express.

Other competing startup companies in the industry include Indonesia-based startup Deliveree, London-based same-day delivery company Gophr, and Canada-based Tyltgo. Investors have shown great interest in the market lately. Tyltgo recently generated $1.8 million in seed funding, and Gophr raised roughly $5.5 million for its business from eager investors. Deliveree has raised over $38 million since its founding. Market research projects the last-mile market in North America to grow by $59.81 billion from 2021 to 2025.

About the Author

Headshot of James White

James White is a Michigan State University graduate with a BS in Environmental Biology. He is interested in reporting emerging trends in technology, especially with regard to alternative energy and environmental conservation.

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