Free electric car rentals funded by rooftop advertising. It sounded like the future of urban transport when WaiveCar pitched on Shark Tank. Kevin O’Leary thought so too, closing a deal that gave him both equity and access to advertising space. But the road ahead proved far rockier than anyone expected. Here is what happened to WaiveCar after Shark Tank.
What Is WaiveCar?
WaiveCar was an all-electric car-sharing service that let users drive for free for the first two hours. After that, it was $5.99 per hour. The business model was built on advertising. Each car had electronic billboards on the roof that displayed targeted digital ads based on the vehicle’s GPS location. Advertisers paid for the exposure, and that revenue subsidised the free driving time.
Founders Zoli Honig and Isaac Deutsch launched WaiveCar in 2016 with a pilot programme in Santa Monica, California. The location was strategic. Santa Monica had free parking spaces equipped with electric vehicle charging stations, making it the ideal testing ground. In the first month alone, WaiveCar signed up over 3,000 users.
The fleet ran on Hyundai IONIQ electric vehicles, supplied through a partnership with Hyundai. The only requirements for users were a valid driving licence, a credit card, and being at least 21 years old.
The Shark Tank Pitch
Zoli and Isaac appeared on Season 9 of Shark Tank seeking $500,000 for just 2% equity, valuing the company at $25 million. The pitch was bold for a company that was only five months old.
The Sharks were divided. Mark Cuban dropped out first, arguing the advertising market was already oversaturated. Lori Greiner followed, saying the concept was too easy to copy. Guest Shark Chris Sacca was the most blunt, suggesting WaiveCar was essentially building a blueprint for Uber to steal.
Kevin O’Leary saw something different. He offered a $500,000 loan over 36 months at 12% interest, with 4% equity and control of all unsold advertising space. Barbara Corcoran countered with $500,000 for 10% equity outright.
After negotiation, WaiveCar settled with O’Leary on reduced terms: $500,000 loan at 12% interest, 2% equity, and an 80% discount on unsold ad space. The deal closed after filming and O’Leary publicly promoted the company on his social media and website.
What Happened After Shark Tank?
After the deal, things initially looked promising. Hyundai gifted WaiveCar 150 vehicles for a year as part of an exclusive sponsorship deal. The fleet expanded into Los Angeles, and the company launched a partnership with California State University in LA, deploying 19 vehicles on and around campus. In 2019, Cal State LA won an award for its collaboration with WaiveCar as part of its sustainability programme.
But the cracks were already showing. The economics were tight. Each car cost about $1,000 per month to lease, with a break-even point of $1,500 per month per vehicle. Scaling the fleet while maintaining profitability proved extremely difficult.
In April 2019, WaiveCar pivoted to longer-term rentals under the name WaiveWork, offering cars for a minimum of three days or on monthly plans at $22 per day. They also began renting to rideshare drivers. It was a significant shift from the original free, ad-supported model.
Then in January 2020, an insurance change forced the Cal State LA programme to shut down. The cars never returned. Weeks later, COVID-19 hit and decimated any remaining plans for shared vehicle services.
WaiveCar effectively ceased operations. Social media updates stopped. The website went dark. In December 2021, the company was acquired by REEF Technology for an undisclosed amount. The WaiveCar domain was redirected to REEFDRIVE.com, an electric vehicle sharing programme run by REEF. Both founders, Zoli and Isaac, initially joined REEF but have since moved on. Isaac left in August 2022 to start a new venture called Stealth in Los Angeles. Zoli departed in March 2023 to launch Short Form Media in Miami. The ReefDrive programme itself ceased operations in 2023.
WaiveCar Net Worth 2026
As of 2026, WaiveCar is no longer operational and its net worth is effectively $0. The brand, the fleet, and the service have all been discontinued.
WaiveCar was ahead of its time in many ways. The concept of ad-supported electric vehicle sharing was genuinely innovative, and the early traction in Santa Monica proved there was demand. But the economics of running a fleet, the fragility of the advertising revenue model, insurance headaches, and ultimately a global pandemic created a perfect storm that the business could not survive.
The founders have not given up on building businesses. They have taken what they learned from WaiveCar and moved into new ventures. Sometimes the best outcome from a failed startup is not the business itself, but the experience and connections it gives you for the next one.