Entrepreneurs Are Working to Uber-fy the Trucking Industry.

Venice, Calif.-based Cargomatic, an app that connects local shippers with local truckers, just raised $8 million in VC funding.

learn more about Catherine Clifford

By Catherine Clifford

Cargomatic | Facebook

Opinions expressed by Entrepreneur contributors are their own.

There's the Uber of self-storage, the Uber of dining, the Uber of grocery shopping and the Uber of just about everything these days.

And now there's (more than one) Uber of trucking. While not as sexy as say, the Uber of hot man-dudes, trucking is a big business. The industry does hundreds of billions of dollars worth of business each year.

Related: 'We're the Uber of X!'

Today, Venice, Calif.-based Cargomatic, a mobile app that connects local shippers with local truckers, announced that it has raised $8 million in venture capital. The Series A round was led by Canaan Partners and included funding from Morado Venture Partners, SV Angel, Sherpa Ventures, Structure Capital, and Volvo Group Venture, among others.

Entrepreneurs Are Working to Uber-fy the Trucking Industry.

The Cargomatic platform allows local shippers and truckers to coordinate schedules and routes.
Image credit: Cargomatic

Cargomatic is focused on maximizing utilization and efficiency in the local shipping industry. The platform is designed to ensure that no truck drives anywhere empty and that a business that needs a load delivered can piggyback on a load already in transit, thereby getting its goods delivered more cheaply than hiring a truck to make a separate run. (Check out the handy little animated video embedded at the bottom of this post for a visual.)

Related: The Future of the Sharing Economy Is a World Built Like Bitcoin

"Trucking has long been an essential part of how business gets done, and the Cargomatic platform provides a win-win scenario for businesses who need to ship goods locally, and for truckers who have available capacity," says Hrach Simonian of the lead investing house Canaan Partners, according to a statement announcing the funding raise released today. Simonian will join the Cargomatic board.

Cargomatic is not the first startup to have the idea to Uber-fy the trucking industry. Another tech company, New York-based Transfix, is helping shippers and truckers automatically locate each other, minimizing waste and ideally, preventing truckers from driving with half-empty cargos.

Related: Zappos Is Bringing Uber-Like Surge Pay to the Workplace

Catherine Clifford

Senior Entrepreneurship Writer at CNBC

Catherine Clifford is senior entrepreneurship writer at CNBC. She was formerly a senior writer at Entrepreneur.com, the small business reporter at CNNMoney and an assistant in the New York bureau for CNN. Clifford attended Columbia University where she earned a bachelor's degree. She lives in Brooklyn, N.Y. You can follow her on Twitter at @CatClifford.

Related Topics

Editor's Pick

Have More Responsibilities at Work, But No Pay Bump? Use This Script to Get the Raise You Deserve.
Black and Asian Founders Face Opposition at All Levels — Here's Why That Has to Change
Thought Leaders

5 Small Daily Habits Self-Made Millionaires Use to Grow Their Wealth

We've all seen what self-made millionaires look like on TV, but it's a lot more subtle than that. Brian Tracy researched what small daily habits these successful entrepreneurs adopted on their journey from rags to riches.

Marketing

6 Ways to Wring All the Value from Your Earned Media Coverage

Press coverage can help your brand gain visibility and increase credibility — but not if no one sees it. What can you do to get more value from the media placements you've worked so hard to earn?

Living

Invest in Yourself: 10 Things Every Working Woman Should Do This Year

When striving for success, it is easy to forget about your mental and physical health. But without health, you cannot fully succeed. Follow these ten lifestyle strategies for success in your personal and professional life.

Business News

Out With the Kibble and In With the Steak. The World's Richest Dog Has a Net Worth of $400 Million – And a New Netflix Docuseries Too

'Gunther's Millions' is set to unpack the pooch's mysterious fortune and what those around him have done with his inheritance.

Business Ideas

55 Small Business Ideas To Start Right Now

To start one of these home-based businesses, you don't need a lot of funding -- just energy, passion and the drive to succeed.