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Photo: Lime

E-scooter company Lime wants to expand its business into areas like ultra-compact electric cars, local merchant promotions and delivery, according to a confidential fundraising deck obtained by Axios.

Background: Axios previously reported that GV, a venture capital affiliate of Google parent company Alphabet, is leading a $250 million equity round into Lime at around a $1 billion post-money valuation.

Here are the pitch-deck highlights:

Transit pods: Lime plans to begin testing rides in ultra-compact electric cars in Q4 of this year in one or two markets. It has identified a couple of models, including the Renault Twizy, which have a range of 60-100 miles and are weatherproof, that it predicts will cost $100-200 per month to lease.

  • Based on Daimler's Car2Go car rental service, Lime estimates it will charge $1 to start, plus 40 cents per minute. With an average trip length of 20 minutes (or 3.8 miles), and six trips per car, per day, it expects $54 in revenue and $37 in gross margin after costs.
  • Lime plans to allocate $50 million of its fundraise to this effort.

Merchant deals: Lime, which already has more than 500,000 customer credit cards on file, wants to show customers nearby deals at restaurants and other merchants via its app.

  • Lime often uses freelancers to charge its scooters, and could also use these workers for food or grocery deliveries.
  • It plans to start such experiments in the second half of 2018.

Scooters: As of late April, scooter rides made up 60% of Lime’s monthly revenue. In D.C., San Francisco, and San Diego, more than 50% of scooter riders use the service at least four times a month.

  • In San Francisco, Lime says that it was able to deploy its scooter service after only three weeks of prep work, and it broke even in just the second week after launch.
  • Daily trips per vehicle hit 9.3 as of mid-April, daily revenue per scooter rose to $27.70, and daily cost per scooter was at $14.30.
  • Using these numbers, a $493 scooter with a daily depreciation of $4.9o, has a gross margin of about $9.10 and can pay itself off in 1.8 months. By the end of 2018, the company estimates its scooters will have a gross margin of $12.40 and with a payback period of only a month.
  • Across San Francisco, Austin, D.C., and San Diego, more than 60% of scooter charging is done by freelancers. The average charger makes $30-50 per day, charging seven scooters at $5-8 per scooter, amounting to $1,400 in earnings per month.

Financials: As of April, Lime says it is on track to have $25 million in annual run rate, and projecting to hit $100 million between May and July, and $500 million by December.

Go deeper

Prosecutor: Fatal police shooting of Andrew Brown Jr. was "justified"

Khalil Ferebee (C), the son of Andrew Brown Jr., and attorneys Bakari Sellers (L) and Harry Daniel (R) at a May 11 news conference in Elizabeth City, North Carolina. Photo: Sean Rayford/Getty Images

A North Carolina prosecutor said Tuesday that the death of Andrew Brown Jr., a Black man fatally shot by sheriff's deputies last month, was "tragic" but "justified," due to the immediate threat officers believed Brown posed.

Why it matters: The FBI has opened a civil rights investigation into Brown's death. Police in Elizabeth City shot him five times, including in the back of his head, according to an independent autopsy report released by family attorneys last month.

McCarthy comes out against bipartisan deal on Jan. 6 commission

Photo: Win McNamee/Getty Images

House Minority Leader Kevin McCarthy (R-Calif.) will oppose a bipartisan deal announced last week that would form a 9/11-style commission to investigate the Jan. 6 Capitol riot, his office announced Tuesday.

Why it matters: McCarthy's opposition to the deal, which was negotiated by the top Republican and Democrat on the House Homeland Security Committee, underscores the internal divisions that continue to plague the GOP in the wake of Jan. 6.

2 hours ago - World

Beijing's antitrust push poses a problem for Western regulators

Illustration: Sarah Grillo/Axios

The Chinese government's anti-monopoly machinery presents a major challenge to U.S. and European regulators, a new book argues.

Why it matters: China's huge markets are attracting investment from multinational corporations and shaping the behavior of its own globe-trotting companies — giving international heft to the country's idiosyncratic antitrust enforcement and putting it on a collision course with Western-style regulation.