Skip hire start-up Skrap has raised £1.2m of seed funding as it aims to disrupt the wider plant hire sector.
London-based Skrap is an app-based construction hire marketplace that connects construction businesses with on-demand skip and construction equipment hire-related services. It has processed 10,000 hire orders through the app in London, Birmingham and Manchester since launching three years ago; with the additional funding, it plans to expand its hire coverage to all major UK cities in 2021.
Skrap’s strategic ambition is to "automate the entire construction hire supply chain across major cities globally over the coming years". Skrap founders Marwan Field, Hussain Hilli and Ahmed Rao, when running a construction business, found logistics were disorganised and fragmented, prices were "asymmetric, and the marketplace of suppliers and brokers were doing everything manually".
Hilli said: "The UK construction hire industry is a £20bn market, yet it is poorly served with services not fit-for-purpose in a digital age. Skrap is well positioned to bring innovative solutions to help transform the industry and make it a beacon of industry once again.
"We’re thrilled to have some amazing investors on board and look forward to leaning on their expertise as we broaden the horizons for Skrap. Our team has huge ambitions to scale across the UK and globally.
"Having laid the foundations in skip hire, we are fast-expanding in all construction hire verticals. Skrap is making its mark in industry by introducing the first mobile app that makes it simple and convenient for construction companies to access resources they need."
The fundraising was led by Vanneck Investments, with participation from entrepreneurs and angels investors.