Start-up to offer free ride-sharing in Short North area

Two Columbus entrepreneurs are betting that the word “free” will hold tremendous appeal to people who want a ride in the Short North and Downtown.

Hopper Carts plans to begin offering on-demand service in April, using a fleet of six all-electric vehicles. The company’s business model relies on sponsors whose ads will be on the vehicles, and it’s triggered by a mobile application. There will be no charge for the riders, although tips are encouraged.

“It’s essentially the pedicab business on a much larger scale,” said co-founder Chris Potts.

The fleet is a half-dozen of the Polaris Gem E6, a fully enclosed, six-seat electric vehicle that looks like a car but operates much like a golf cart.

The company would provide a free alternative to taxi cabs and ride-sharing companies such as Uber and Lyft.

Unlike those other services, however, Hopper Carts will only serve a territory with a radius of a few miles. All trips will begin and end Downtown or in the Short North. The only exceptions will be for selected conventions and other major events that take place outside the core area.

“We’re looking for someone who drove in from Dublin, parks in the parking garage and is going to Forno,” Potts said, referring to a Short North restaurant.

Drivers will be independent contractors. The founders’ goal is that the service will be popular enough that drivers will make all of their money from tips. To start, drivers will receive a guarantee of minimum weekly pay, with the company kicking in any difference between tips and the yetunspecified minimum.

“We definitely want people to know the tips are appreciated,” Potts said, adding that this approach to paying drivers is the way it works with pedicabs.

Potts, 29, lives in Franklinton. He is launching the company in addition to his job as a real-estate agent.

His partner, Tomos Mughan, also 29, lives in the Short North. Mughan was one of the co-owners of DareDevil Dogs, a hot dog restaurant in the Short North that opened in 2014 and recently closed.

Start-up costs are about about $100,000, Potts said. Most of that was for development of a website, www.hoppercarts.com, and a mobile application. The vehicles cost about $26,000 each, but are largely financed with credit.

If the company has a successful debut, Potts and Mughan are ready to buy an additional six vehicles, to bring the fleet to a dozen.

The founders’ goal is to serve more than 300,000 people in the first year.

But there are potential obstacles. Potts said his company, with its free service model, is positioned in a way that it is not covered by state rules for taxi businesses, or rules for ridesharing companies.

It is difficult to verify this, as is often the case when there may be an absence of rules. The Public Utilities Commission of Ohio, the office that oversees ride-sharing companies, did not have an immediate comment.

At the same time, there is clear demand for transportation services Downtown and in the Short North, said Betsy Pandora, executive director the Short North Alliance, a business group.

“We’re excited to learn about it,” she said about the company. “Efforts to support a multimodal lifestyle and provide people with options are a good thing.”