Borrow a Boat Raises $3.6 Million for Yacht-Rental Service: Travel Startup Funding This Week

Who doesn’t want to feel like a yacht owner sometimes? The spray in your face, the wind that would be in your hair but for your spiffy cap. The confidence that comes from knowing you can afford — oh, wait.

For the rest of us, the news is that U.K-based Borrow a Boat announced it just raised 3 million pounds ($3.65 million) in a crowdfunding campaign. That brings the total funding of the five-year old business to 7.8 million pounds, all crowdfunded. The latest deal was for five times as much as the company initially planned to raise, Borrow a Boat said.

“We have always believed that boat rental should be as easy as booking a hotel, flight or train, so we could see the opportunity the marketplace revolution afforded boat owners and customers,” said CEO Matt Ovendon. “Despite launching this round amidst increasing interest rates, inflation and the risk of recession, we have now successfully completed our biggest ever raise.”

The idea works like other sharing platforms. Boat owners can use the cash they earn when their asset would otherwise sit unused to defray the cost of ownership. Renters can get a taste of an asset they don’t want to care for all the time, and can find boats in 65 countries. The 45,000 vessels range from sailboats to superyachts.

Rentals begin at about 40 pounds a day, or $48.70 U.S., for craft suitable for mortals. The priciest start at 10,000 pounds a week. And if you’re really faking it until you make it, you can hire a skipper too.

In other funding news this week:

>>>>Dublin-based Zipp Mobility raised a 6.1 million pound ($7.42 million) round of equity and debt to expand its e-bike and electric scooter rental business into more cities in Ireland, the U.K. and continental Europe. The three-year old business is now in nine cities in Ireland, the U.K. and Poland. London-based Fasanara Capital led the round. Zipp describes its mission as decarbonizing transit. It had previously raised 2.1 million pounds through crowdfunding.

>>>>With July here, the next milestone to watch will be the second-quarter report from the National Venture Capital Association in the U.S., which is expected to show a slowdown in the wake of a tougher market for venture capital exits through the initial public offering market and mergers with special purpose acquisition companies. Geekwire has reported that research firm CB Insights expects fundraising to drop 19 percent this quarter.

Skift Cheat Sheet

Seed capital is money used to start a business, often led by angel investors and friends or family.

Series A financing is typically drawn from venture capitalists. The round aims to help a startup’s founders make sure that their product is something that customers truly want to buy.

Series B financing is mainly about venture capitalist firms helping a company grow faster. These fundraising rounds can assist in recruiting skilled workers and developing cost-effective marketing.

Series C financing is ordinarily about helping a company expand, such as through acquisitions. In addition to VCs, hedge funds, investment banks, and private equity firms often participate.

Series D, E and, beyond These mainly mature businesses and the funding round may help a company prepare to go public or be acquired. A variety of types of private investors might participate.