Spain: Vacation rental software startup Lodgify, which empowers hosts and small- to medium-sized property managers to manage and grow their vacation rental businesses, has secured $30 million in Series B funding.
The investment round was led by Octopus Ventures with participation from Bonsai Partners, Aldea Ventures and ICF [Institut Català de Finances] as well as existing investors Intermedia Vermögensverwaltung and Nauta Capital.
Lodgify will use the funds to accelerate global expansion, boost product growth and expand customer support, as it furthers its mission to empower any host or vacation rental business worldwide to get started and grow their business through technology. The investment will help to fuel the expanding ecosystem of tools and services that both small and large hospitality firms increasingly depend on to professionalise operations and scale up.
Lodgify co-founder and CEO, Dennis Klett, said: “This is great news for our customers! Lodgify is a customer-first company, and we will invest all the funds in product innovation and expanding our service offering to help our customers achieve their business goals.”
Twice named in Wired’s Hottest European Startups list, Lodgify offers an all-in-one solution that seeks to enable vacation rental hosts to generate more bookings and manage all bookings from one centralised place.
Its software-as-a-service [SaaS] platform includes a website builder that allows vacation rental hosts to build their own website and accept direct bookings and payments without requiring any tech skills and seamless API integrations with all the main vacation rental channels, including Airbnb, Vrbo and Booking.com. Lodgify is a preferred software partner for all three channels.
Uthish Ranjan, principal at Octopus Ventures, said: “Lodgify has carved out a leading position for itself in the overlooked SME vacation rental market. We were impressed with their product leadership and customer focus, which has come through in the impressive growth they’ve helped their customers achieve, even through the pandemic period.
“We’re looking forward to partnering with Lodgify’s experienced leadership team to execute its growth plans, which include an exciting pipeline of new product initiatives,” added Ranjan.
Andrés de la Morena of Bonsai Partners said: “Their ability to support both individual hosts and fast-growing property management businesses to generate more bookings and save time via automation with their comprehensive software suite is impressive.”
In recent years, Lodgify has grown its R&D team to more than 70 employees and the entire company to almost 200 from 43 different nationalities.
The hiring boost will also allow Lodgify to accelerate its product development and release new features at an even quicker pace, in line with the company’s overall plans for the coming years.
As a result, Ranjan and de la Morena have now joined Lodgifyʼs board of directors.
The latest round takes Lodgify’s total funding to date to $37.3 million.