Mygola.com raises $1.5 million, eyes expansion1 min read . Updated: 17 Oct 2013, 11:52 PM IST
This marks the second round of fundraising for the start-up, which plans to use the funds to expand its presence in the US
Bangalore: Online travel planning start-up Mygola.com has raised $1.5 million in series A funding from new and existing investors and plans to use the funds to expand its presence in the US.
This marks the second round of fundraising for the start-up founded by a former Google Inc. executive Anshuman Bapna. In December 2011, the Bangalore-based Mygola raised about $1 million in seed funding from angel investors and venture capital firms such as Blumberg Capital, and Dave McClure, founder of Silicon Valley-based accelerator 500 Start-ups.
As part of its expansion plan, Mygola will set up another office in Silicon Valley and co-founder and chief executive Bapna will move there to focus on business development and marketing.
“The US is a very important market for us, we get 25-30% of our revenues from there," said Bapna, who started and sold his start-up RightHalf when he was studying at the Indian Institute of Technology (IIT), Bombay. “Business development will be mostly from a partnership perspective—most of the partners we work with are in the North American geography."
Bapna co-founded Mygola in 2009 along with Prateek Sharma, another IIT-Bombay graduate.
Co-founder Sharma will continue to be based in Bangalore.
The latest round of funding came from Helion Venture Partners, which has invested in companies such as MakeMyTrip and redBus.in, and Blumberg Capital. Ashish Gupta of Helion Venture will join the board of Mygola, whose platform currently covers more than 20,000 destinations worldwide.
Mygola has a partnership with travel website Expedia.com and the travel planning company gets a commission when it re-directs customers to Expedia for itinerary bookings.
Earlier, Mygola used to operate as a pay-what-you-want online travel concierge, where users sought travel advice. For the first question users asked, they had the option of not paying and would get responses from a guide at Mygola within 24 hours. But if they paid a minimum of $1, they could ask a second question, and so on.
The company is planning to re-introduce the old business model in a new format within the next few months, Bapna said.