Chennai-based hospitality startup FreshUp, which offers pay per use accommodation, has raised $1.5 million seed funding from Singapore-based Lotus Global Investments Limited, reported Times of India today.
Post latest funding, the startup is planning to expand its presence in the south of India including Guruvayur, Bengaluru, Chennai and Sabarimala.
Currently, the company has its properties at Hyderabad and Tirupati.
Founded in 2016 with a seed fund of Rs 2 crore, FreshUp is a poshtel — a concept hotel that offers services to people ranging from business travelers to shoppers from nearby places – basically anyone requiring a rest for short time at room rates starting from Rs 249, according to the number of hours used.
The startup was founded by Vinyl Reddy Laxmi Narasimha and Mohan Ramalingam.
Post funding, the startup is also partnering with small-scale entrepreneurs that are willing to invest in their properties.
“Initially, they would have a share of the profit and after three years, they would singlehandedly manage the property,” said Reddy. FreshUp looks to have 20 properties within a year.