When Vulcan Post last covered iMotorbike, we reported on the successful completion of their Series A funding.
Achieving a grand total of US$10 million, the company is set to use these funds for regional expansion.
This time around, co-founder and CEO Gil Carmo has kindly shared with us his insights on successful fundraising as well as plans for iMotorbike’s future.
A Grand Prix in suit and tie
Venture capital (VC) funding is a fast-paced affair, and not all businesses are suited for it, at least according to Gil.
In the case of iMotorbike, this approach works because of the market potential the company has, being part online.
It does of course also come with a pair of nifty benefits—speed and resources.
“VC funding provides us with the means to scale quickly and compete effectively in any market,” he noted.
“When you are addressing a sizable Total Addressable Market (TAM) like ours, where the potential for growth is immense, having access to the right resources and expertise makes all the difference.”
That being said, they weren’t just about to accept any investor under the sun.
Here’s some advice Gil had to give to other entrepreneurs hoping to bag funds this year.
1. Take your time and do your due diligence
The co-founder shared that they specifically looked for individuals that shared their long-term vision and goals.
“This involved several rounds of discussions and due diligence to ensure alignment, which is critical in building strong, collaborative relationships with our investors,” he explained.
2. Find investors who can offer more than just funds
Another criteria was that the investors had to bring some sort of value to the table beyond just funding. Those with useful networks, expertise, or experience in scaling up a business were made top priority.
“Having an investor who understands the dynamics of our industry and can offer insights or connections is crucial for us to navigate challenges and seize opportunities effectively.”
3. A good pitch is no substitute for a good track record
But they needed a lot more than just a good pitch when they found just the people that they were looking for.
He believes their success in securing international investor confidence was rooted in several key factors.
The first was a strong market fit. There was a gap in the pre-owned motorcycle industry, and iMotorbike seized it with a scalable solution.
Second was performance. The company showed consistent and measurable growth in things like revenue and operational efficiency.
The third was transparency. The company was clear to investors about their business plans and outlined achievable milestones. Care was also taken to ensure that everyone’s goals were still aligned.
Lastly, experience. The founding team and management’s successful track record showed that they weren’t just all talk and that they could actually deliver on their promises.
All-in-all, it was a 12-month ordeal for iMotorbike.
Though iMotorbike’s CEO could not disclose any specific challenges, he was able to say how he and his team overcame them.
“Having clarity about what we’re working toward and staying committed to that vision helps us navigate through any obstacles,” he shared.
That, and a whole lot of tenacity.
Into high gear
As mentioned prior, the whole purpose of iMotorbike’s fundraising was to aid in expansion.
Regionally, the company is looking to open new showrooms in Johor and Penang. And outwards, iMotorbike is looking to increase their presence in Vietnam where the CEO notes that the market size of their motorcycle industry is six to seven times that of Malaysia’s.
This, however, only covers pre-existing markets that the company already has their toes in. iMotorbike has also earmarked a part of their new funds for a Taiwan expansion.
“One of the key reasons Taiwan stands out is its developed infrastructure and the entrenched preference for motorcycles as a primary mode of transportation,” said Gil.
“Around 80% of households in Taiwan own a motorcycle, making it a no-brainer for our expansion strategy.”
An expansion here would also serve as iMotorbike’s gateway into the East Asian market. And the better they can establish themselves, the better their chances at tapping into neighbouring regions with similar markets.
Home field advantage
For the foreseeable future, the plan is for iMotorbike to continue operations with Malaysia as their headquarters. Importance to their strategy aside, there is an emotional attachment to the country seeing as it is the company’s starting point.
He also notes, though, that international investors have seemingly become more optimistic about Malaysian startups like his own.
“Malaysia’s growing tech ecosystem is gaining recognition globally, supported by a strong entrepreneurial spirit, a stable regulatory environment, and government initiatives focused on digitalisation and innovation,” he explained.
“Additionally, international investors value the expanding talent pool in Malaysia, which is producing tech-savvy professionals capable of driving innovation and operational excellence.”
Capitalising on this shift, however, will not be an easy task for new startups.
“Fundraising is never easy—whether it is your first time or not,” he said.
“It requires relentless effort, resilience, and the ability to keep going despite hearing a lot of ‘no’s.’ Things will likely take far more time than you initially estimated, so patience is key.”
He further emphasised the importance of looking for opportunities early as sometimes, it comes down to luck. The more you put yourself out there, the better the odds of catching someone’s eye. And as an added benefit, the more experience you’ll get which’ll allow you to better refine your pitch.
It is also crucial to be realistic, he noted. “Understand that you might end up securing only a fraction of the valuation you hoped for or raising half the amount you initially aimed for.”
Lastly, understand your investors’ expectations. “Different regions have different benchmarks for what constitutes a compelling pitch,” he explained.
“Do your research, and tailor your presentation to align with the priorities of investors in the target market.”
With such a strong start to the year, one can only imagine how far iMotorbike will go. Here’s hoping that their story has inspired some to start their engines as well.
Featured Image Credit: iMotorbike
