US-based Headout raises $1.8 mn from Version One Ventures, 500 startups and Nexus Venture Partners
Snapdeal has bought 8 companies in 5 years since its launch and plans to bolster resources further to take on Flipkart & Amazon in ecommerce industry.
By Malavika Murali, ET Bureau | Updated:
BENGALURU: Snapdeal co-founders Kunal Bahl and Rohit Bansal, WhatsApp vice president Neeraj Arora and Facebook adviser Rick Marini have invested in US-based Headout, a mobile marketplace founded by three Indians for last-minute travel and event bookings.
The seed round of $1.8 million (around Rs 11.3 crore) was led by US-based early-stage fund Version One Ventures, Nexus Venture Partners, 500 Startups and Arena Ventures.The app is currently live in New York and Las Vegas.
“A few months ago, we tried to raise a small amount, which was really difficult because we didn’t have numbers. That’s when we realized it’s the product (that comes) first. Money follows the product,” said cofounder and CEO Varun Khona, whose nine-month-old company has offices in New York, San Francisco and Bangalore.
Khona, 25, started Headout, his second venture, along with college batchmate Suren Sultania and IIT graduate Vikram Jit Singh.
“For this fundraising, we raised a half a million dollars in the first couple of days, and went on to be offered twice the amount we were expecting to raise,” Khona said.
The startup will use the funds primarily to expand operations to 12 cities across the US by the end of the year, and expand the technology, product, sales and launch teams across the three cities where it is present.
“It’s about incredible execution with a solid team. That’s what investors care about,” said Pankaj Jain, venture partner at venture capital firm and startup accelerator, 500 Startups. “It highlights the fact that an Indian company can produce global quality businesses on the consumer side and not just B2B (business to business) that the country is largely known for.”
The mobile marketplace will be accessible to travelers in India and will go live in the country within the next two years, said Khona. The company is in early partnership talks with travel companies globally and in India, he said.
The seed round of $1.8 million (around Rs 11.3 crore) was led by US-based early-stage fund Version One Ventures, Nexus Venture Partners, 500 Startups and Arena Ventures.The app is currently live in New York and Las Vegas.
“A few months ago, we tried to raise a small amount, which was really difficult because we didn’t have numbers. That’s when we realized it’s the product (that comes) first. Money follows the product,” said cofounder and CEO Varun Khona, whose nine-month-old company has offices in New York, San Francisco and Bangalore.
Khona, 25, started Headout, his second venture, along with college batchmate Suren Sultania and IIT graduate Vikram Jit Singh.
“For this fundraising, we raised a half a million dollars in the first couple of days, and went on to be offered twice the amount we were expecting to raise,” Khona said.
The startup will use the funds primarily to expand operations to 12 cities across the US by the end of the year, and expand the technology, product, sales and launch teams across the three cities where it is present.
ADVERTISEMENT
“It’s about incredible execution with a solid team. That’s what investors care about,” said Pankaj Jain, venture partner at venture capital firm and startup accelerator, 500 Startups. “It highlights the fact that an Indian company can produce global quality businesses on the consumer side and not just B2B (business to business) that the country is largely known for.”
The mobile marketplace will be accessible to travelers in India and will go live in the country within the next two years, said Khona. The company is in early partnership talks with travel companies globally and in India, he said.
Download
The Economic Times Business News App for the Latest News in Business, Sensex, Stock Market Updates & More.
The Economic Times Business News App for the Latest News in Business, Sensex, Stock Market Updates & More.
Text: Rajiv Singh, ET Bureau
These are just three of the 10 offbeat startups we’ve deep-dived into; just three of the 800-odd startups added every year; and just three of the over 3,000 startups that are trying to make it big in India.
The 10 that we’ve picked are novel, but being different or a first mover is no guarantee of being the best mover — or moving at all a few years later.
These are just three of the 10 offbeat startups we’ve deep-dived into; just three of the 800-odd startups added every year; and just three of the over 3,000 startups that are trying to make it big in India.
The 10 that we’ve picked are novel, but being different or a first mover is no guarantee of being the best mover — or moving at all a few years later.
ADVERTISEMENT
