Aug 28, 2024

Fleet, a modern commuter benefits management platform, announced the closing of its $2.5 million seed round led by Congruent Ventures with the participation of Great Oaks Venture Capital, Plug and Play Ventures, Rally Cap, and Virta Ventures. And Fleet also brought on a talented group of angels and advisors, including former execs at Robinhood and Brex, such as ex-COO Michael Tannenbaum. The seed funding round brings Fleet’s total venture capital to $5 million. And the seed funding round will support Fleet’s exclusive focus on enhancing and deploying its signature commuter benefits management platform, a low-cost, scalable solution for employers to attract and retain talent, comply with commute mandates, and promote sustainable transportation. The rise of hybrid schedules and return-to-office (RTO) programs brought new complexities and employee expectations to commuting. And employers are also scrambling to find solutions to comply with new mandates, requiring companies of a certain size to offer pre-tax commuter benefits programs to employees. These mandates, combined with less predictable work schedules, have made it a challenge for HR managers to implement and manage tax-advantaged commuter benefits programs using legacy solutions and for employees to take full advantage of the benefits available. Plus, commuter benefits are integral to talent attraction and employee retention, as they help employers stand out by offering comprehensive benefits packages that include health, dental, vision, and commuter benefits. Fleet’s platform makes it easier for employers to deploy, scale, and manage a commuter benefits program across an entire enterprise, seamlessly integrating into HR, accounting, and finance systems. And employees are able to view and manage their benefits without additional back-office overhead, cumbersome reimbursement, or accounts payable processes. They can also easily take advantage of incentives offered by their employers and make commutes less carbon-intensive and more rewarding. Fleet’s solutions see a 3x faster adoption rate from employees, with a 70% reduction in customer support inquiries and 50% cost savings compared to legacy systems. KEY QUOTES: “When implemented the right way, commuter benefits programs reduce costs while supporting public transportation and its many positive social impacts. Benefits administration services that are complicated for employers to adopt and frustrating for employees to navigate have prevented these programs from reaching their full potential for too long. We’ve shown that the Fleet platform can change that, and with support from our seed investors, we’re ready to bring better commuter benefits management and great results to locations around the U.S. As we do, we’ll save companies and their employees money while reducing GHG emissions from transportation–the biggest contributor to climate change in the country today–and boost corporate sustainability.” Shaurya Saluja, Co-Founder & CEO of Fleet “As commuters have returned to the office and cities across the country are mandating employers offer employees pre-tax deductions for commuting spend, there is an enormous need for Fleet, an easy-to-use platform with advanced reporting and analytics that makes it easier for both employers and employees to take advantage of low carbon commuter benefits. The value proposition resonated with us so clearly that not only did we invest, we are also a Fleet user!” Jackie Kossmann, Partner at Congruent Ventures Pulse 2.0 focuses on business news, profiles, and deal flow coverage.