Detroit-based startup Grounded has successfully raised $5 million in seed funding to enhance its modular van customization services. The funding round saw continued support from existing investors Also Capital and The 81 Collection, along with new contributions from Animal Capital, the Michigan Outdoor Innovation Fund, and several former SpaceX employees.
Founded in 2022, Grounded initially focused on converting electric vans like Ford’s E-Transit and General Motors’ BrightDrop into modular recreational vehicles. However, with the discontinuation of BrightDrop and Ford’s decision to halt plans for a next-generation electric Transit, the company has broadened its scope. Grounded now offers customization for both electric and gas-powered vans, catering to a diverse range of commercial clients.
To support this expansion, Grounded has inaugurated a 50,000-square-foot manufacturing facility in Detroit. This new plant is designed to be vehicle-agnostic, enabling the company to customize various fleet vehicles regardless of their powertrain. Production is set to commence this month, with plans to scale operations in the coming year.
CEO Sam Shapiro emphasized the significance of this development, stating that the new facility marks a pivotal moment for the company. He highlighted Grounded’s commitment to providing smart, modular vehicles to businesses and institutions that are essential to urban infrastructure. The expansion aims to meet the growing demand from fleet customers and extend the company’s platform to a broader range of commercial vehicles.
Grounded’s client portfolio includes notable names such as Colgate, Nokia, Wayne State University Medical, and the Healthy Mothers, Healthy Babies Coalition of Hawaii. The company is also experiencing increased interest from sectors like food and beverage and public safety, indicating a widening market for its services.
In response to the evolving automotive landscape, Shapiro acknowledged the challenges posed by the discontinuation of certain electric vehicle models. He noted that Grounded is not solely an EV company but focuses on creating high-tech, modular workspaces and living spaces atop various vehicle chassis. This approach allows the company to adapt to market changes and continue delivering innovative solutions to its clients.
Grounded’s strategic shift and recent funding position it well to capitalize on the growing demand for customized commercial vehicles. By offering versatile solutions that accommodate both electric and traditional powertrains, the company is poised to play a significant role in the evolving transportation sector.
