App Heralded as 'Uber for Tow Trucks' Raises $24 Million

App Heralded as 'Uber for Tow Trucks' Raises $24 Million

11 Jul 2018

Honk, a US-based start-up currently only operating in America, links tow truck associations with insurance companies to offer 24/7 roadside assistance controlled through a smartphone app.

Just like Uber, users can request a tow truck around the clock and have the nearest operator connected to them, provided they are interested in taking the job. Users can also rate a tow truck driver based on speed, customer service and pricing.

Honk offers services such as towing, changing tyres, delivering fuel and assisting with drivers who have been locked out of their vehicle.

The start-up aims to replace annual roadside-assistance membership programs many Americans are signed up to, which often incur extra costs when requesting a tow truck.

Just like Uber, Honk gives drivers an immediate quote for the service they are requesting, which users can then accept or decline.

Honk CEO Corey Brundage said the latest round of $24 million funds will help the app expand its network of tucks using the service to 75,000.

"We created Honk to fix what has been a long-standing, nearly universally terrible experience: getting stuck in your car on the side of the road," Mr Brundage told Markets Insider.

The latest round of funding is in addition to an undisclosed partnership Honk signed with US insurance provider Farmers, rumoured to be worth in excess of $150 million.

Honk is currently only available to drivers in the United States.


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