Overnight announced today that it has raised $2.5 million for its last-minute travel app. The seed round was led by Accomplice and CrossCut Ventures and comes as the company officially launches to the public in Los Angeles, Calif. Overnight has already set its sights on Austin, Texas as its next market.
Founded by Asher Hunt, Artia Moghbel, and Ethan Kravitz, Overnight pairs last-minute travelers with local hosts for same-day stays — think of it as a blend of Airbnb and Hotel Tonight. It has already connected over 750 travelers and has a host network of “hundreds.”
Within the Overnight app, travelers select the area they’re going and then broadcast a request for lodging. Hosts can review their potential guest’s profile — which includes authentication via Facebook — and then respond if they want to put them up for the night. Payment is collected through Overnight.
“We’re spending every ounce of our energy solving the problem of same-day stays. We think if we nail it, we create a step-function change in the frequency in which people travel, and also host,” Overnight CEO Hunt, said in a statement.
Overnight encourages spontaneity, so if you happen to catch the travel bug and don’t care where it takes you, you shouldn’t have to worry about paying for expensive hotels. In some cases, you may opt to stay with someone local because it will give you a better experience of the neighborhood and surrounding culture.
The service accounts for safety and trust, saying that both travelers and hosts must go through a verification process that includes providing a phone number, valid credit card, and sharing government-issued identification. As with other on-demand services, all parties are rated at the end of the stay.
Also participating in the round were Greycroft partner Paul Bricault and Summit Action Fund’s Elliott Bisnow.
Sign up for Funding Daily: Get the latest funding news in your inbox every weekday.
Making travel more accessible to the world. Mobile-first same day stays with local hosts. Become a host and make extra money to fund your next adventure without having the hassle of managing... All Overnight news »