Funding tips

Joby Aviation just closed the largest single round of funding for a flying taxi startup in years.

It’s rare for one founder to publicly disparage another company’s effort to raise funding. But Vacasa founder Eric Breon took to LinkedIn this week to say Pacaso’s current effort to raise money “disgusts” him and “seems designed to deceive.”

Hotel Engine recently raised one of the year’s largest rounds of capital for a travel startup: $140 million, which valued the firm at $2.1 billion. 

Good morning from Skift. It’s Tuesday, October 1, and here’s what you need to know about the business of travel today. 

Two of this year’s 10 biggest startup fundraises so far happened in the past two weeks. 

Hotel tech startup Mews said Thursday that it has secured $100 million in venture credit to fuel more acquisitions. 

Mindtrip, a trip planning and booking website powered by generative AI, said Tuesday that it has raised $12 million, its second round of startup funding.

ZeroAvia is the latest to raise money in a group of startups developing next-generation aircraft and parts. The company is building hydrogen-electric jet engine to sell to aircraft manufacturers — with buy-in from American Airlines, Airbus, and Alaska Airlines

Overtourism has hit the national parks and the U.S. National Park Foundation announced its largest grant ever to help combat it: $100 million from the Lilly Endowment.

This month, an 11-year-old startup called Flyr raised the largest single round of venture capital for a travel tech company in years: A total package of nearly $300 million. 

Steve Singh and a group of industry veterans are rolling out a new AI trip planner and booking agent for business travel. 

Archer Aviation has now raised over $1.3 billion and has buy-in from auto manufacturer Stellantis, United Airlines, Southwest Airlines, and more.

Electric digital intercity bus startup Fresh Bus has raised INR 875 million ($10.5 million) in its Series A funding round. FreshBus, which offers ticketing, real-time tracking of buses, loyalty program, among other services, was founded by Sudhakar Reddy Chirra. Chirra had built bus aggregator Abhibus which was acquired by Ixigo in August 2021 in a cash and stock deal.

Inspirato brought in a new CEO and chairman, Payam Zamani, who arrived with a deal for $10 million in equity financing for the struggling luxury vacation club.

Southeast Asian online hotel management and booking platform RedDoorz has its sights set on IPO – but it has a lot of steps to clear first.  

Hospitality company Oyo, once a beacon of India’s startup ecosystem, has seen its valuation drop from a peak of $10 billion in 2019 to $2.4 billion in its latest funding round.

Four travel startups raised nearly $240 million this week, but one raise accounted for the vast majority of that.

Flyr, an airline retail platform, said Thursday that it has raised a $225 million series D round, one of the largest single raises ever for a travel tech company and the largest so far this year.

People love getting free stuff for money they’re already spending, and Bilt Rewards is cashing in on that. Users get points for rent payments — typically a person’s biggest monthly expense — that they can exchange for travel.

The three startups in the list this week represent modern takes on old ways of doing business in three travel sectors: tour packages, timeshares, and hospitality tipping.

Short-term rental platforms have not been raising money in 2024 quite as often as last year. But they made a bit of a comeback this week with two niche platforms getting nearly $50 million in funding.