Chinese Umbrella-Sharing Startup to invest in 30 million Brollies after Losing Most of its initial 300,000

A China-based umbrella-sharing startup Sharing E Umbrella has said that it is investing an additional 30 million umbrellas after losing most of its initial 300,000 weeks after it launched, SCMP reports.

The startup allows users rent umbrellas with an app after which they get a code through which they insert to open the umbrella.

Photo Credit: Handout/SCMP

After seeing bike-sharing apps take hold around the country, the founder Zhao Shuping “thought that everything on the street can now be shared.”

Unlike bicycles which can be parked anywhere, “with an umbrella you need railings or a fence to hang it on,” Zhao said.

Unsure of how to return the umbrellas, most users simply took them home.

Investors had put in 10 million yuan ($1.47m) in April when the company launched. E Umbrella charged customers 19 yuan ($2.90) per umbrella deposit and an additional half yuan ($0.07) per 30 minutes, for umbrellas bought for 60 yuan ($8.82) each.

The additional 30 million umbrellas are to be available around cities in China by the end of the year.

Photo Credit: Dreamstime