German startup Dance adds investors and tops 10,000 members for electric bike subscriptions

Dance now has 10,000 active subscribers.

German electric bike subscription startup Dance has secured additional investment from high-profile investors to top up its recent €12 million funding round. The amount of the second tranche was not disclosed. Dance has raised $50.1 million in three rounds since 2020. Dance offers monthly rental packages for electric bikes and mopeds, with insurance and repairs included. Customers never own the vehicles, but Dance claims they are kept in good condition thanks to its ongoing care program. The startup also offers a B2B service to companies looking to offer bikes to their staff. Dance now has 10,000 active subscribers.

 Electric bike companies have thrived during the COVID-19 pandemic as people seek alternatives to public transport. Bike-as-a-service startups like Dance and Motto have also benefited from the boom. However, there have been concerns that operating costs for electric bikes could be too high. The recent bankruptcy of VanMoof has highlighted these worries. Nevertheless, Dance seems to be on track with new investors and more funding in its bank account. The startup's subscription model offers different unit economics than traditional bike sales, with customers paying a monthly fee for a personal electric bike.