Detroit startup Grounded raises $5M to customize electric and gas-powered vans
Detroit-based startup Grounded has raised $5 million to scale its modular van customization business, pivoting to be vehicle-agnostic to serve commercial fleets. The company is expanding its manufacturing capacity to accommodate both electric and combustion-powered vehicles.
Why it matters
The shift toward vehicle-agnostic modular design reflects a pragmatic adaptation to the cooling EV market and the diverse needs of commercial fleet operators.
Detroit-based Grounded has had to be flexible since it was founded in 2022.
The startup was initially built around the idea of customizing electric vans like Ford’s E-Transit and General Motors’ BrightDrop for the “van life” set, using a modular, “Lego-like” system . Sensing a bigger opportunity, Grounded then started customizing those vans for small businesses. But then GM discontinued BrightDrop last year, Ford axed plans for a next-generation electric Transit van, and EVs generally became a harder sell in the United States.
That hasn’t stopped Grounded. On Tuesday, the startup announced that it has closed a $5 million seed round, with repeat investments from existing backers Also Capital and Chicago-based early-stage firm The 81 Collection, along with Animal Capital, the Michigan Outdoor Innovation Fund, and “various SpaceX alumni,” according to founder and CEO Sam Shapiro.
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