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Zipcar for Bikes. Consistent recurring revenue model. Low asset cost, high gross-margins.Founded in Philadelphia in 2007 as CityRyde and now headquartered in Cambridge, Mass., Zagster is one of the nation’s first bike sharing companies. Zagster is uniquely focused on contracting with apartment managers (Related), hotels (Hyatt Regency), businesses (Cisco), and universities (Yale) across North America who pay Zagster a flat monthly fee per bike to make them available to their tenants, employees, guests and students. Zagster can deploy and service bikes anywhere in the US in 2 weeks through a partnership with a major bike distributor. This highly efficient and unique model allows Zagster to offer services in areas that traditional city-wide bike sharing systems can’t reach.Zagster’s founding team consulted in the bike sharing industry since 2007 and the Director of Operations was the original architect of Zipcar’s operational model.
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