Cloudbeds Raises $9M to Expand its Technology, Brand Awareness
Cloudbeds, a cloud-based provider of hospitality management software, said today it has raised slightly more than $9 million in Series B financing to expand its software-as-a-service platform and broaden awareness of its brand.
The San Diego company describes the financing as its first institutional round, and said it brings total funding for the five-year-old startup to $20 million. PeakSpan Capital, a growth equity investor based in New York and Burlingame, CA, led the round, which included Nashville Capital, Cultivation Capital, ClearVision Equity, and TTCER Partners.
The company has developed software specifically for independently owned hotels, hostels, inns, campgrounds, and vacation rental properties. “It’s the system that powers their front desk and reservation system, and manages how they market their rooms to travel agents and other third parties,” said Richard Castle, a Cloudbeds co-founder and chief operating officer. “Without a system like ours, it would be very difficult for them to market themselves.”
“We have aimed our focus on what’s important for these smaller, independent hotels, and to keep their user experience intuitive and easy to use,” Castle said Wednesday. The startup provides its software to 17,000 hotels and other properties in more than 120 countries, he added.
The company now has 102 employees, Castle said, or about twice as many as it had when Cloudbeds was named as a 2016 San Diego Xconomy Company to Watch. “In the past two-and-a-half years, we’ve really seen a global expansion of Cloudbeds,” Castle said.