Youth travel hostel brand goSTOPS has secured Rs 35 crore ($4.2 million) in its Series A funding round, led by Blume Ventures and co-led by 1Crowd. Other investors, including Mumbai Angels, Chennai Angels, Indian Angel Network, Lead Angels, and Yuj Ventures, participated in the funding.
In December 2021, goSTOPS raised $1 million in a bridge round, backed by existing investors like The Chennai Angels, Mumbai Angels, and Yuj Ventures.
The funds from this round will strengthen the company’s operations, improve technology, and enhance the social and experiential aspects of its current properties. The company is also finalizing debt partnerships to further support its expansion plans.
Founded by Pallavi Agarwal and Pankaj Parwanda, goSTOPS provides vibrant, social, and design-focused spaces for the younger generation. The Delhi-based company plans to expand its capacity from 2,500 to 10,000 beds across 100 locations over the next 24 months, aiming for 4X growth.
Market research indicates that 70% of young travelers now prefer hostels over traditional hotels, highlighting the rising demand for this category.
goSTOPS faces competition from brands like The Hosteller, Wudstay, and Backpackers Panda. In November 2024, The Hosteller raised $5.7 million in its Series A round.
