Top Deal: Someday You Might Be Saying ‘If only I invested…’ in This Startup

Summary

At time of publication, June 4th, IfOnly had raised $13.9M

What if you could join the ranks of Facebook’s first investor, the co-founder of Sun Microsystems, and a 30-year venture finance veteran as an investor in a brand-new startup?

That is precisely the opportunity accredited investors have today in experiential-portal IfOnly.

We’ve all heard the stories about how the smart money gets in early and goes on to make huge gains – now you can be one of them.

Key details

IFOnly, a platform for unique local-experiences that boasts billionaire Peter Thiel’s Founders Fund as an investor is in the process of raising growth capital through SeedInvest from accredited investors under the Regulation D umbrella.

Feedback from the crowdfunding market has already been active with $14 million raised at a total valuation of $72 million. Such a valuation is high as far as early-stage investments go, but in this case we believe it is warranted: as a later stage deal (Series D) with a multi-million dollar run rate, and high caliber of investors connected to the travel space. With this capital, the team will be well positioned and capitalized to outperform smaller competitors and become a mainstay in this beckoning market.

IfOnly, may also prove to be an intriguing acquisition target in the coming years for companies like Airbnb. Airbnb has already shown an appetite to increase its experience portfolio with its Trip4real acquisition in 2016. The team has also been rumored to be looking for more expansion opportunities on the experiential element side of the business.

By investing in the company, accredited investors are providing valuable capital for IfOnly to expand its menu of over 3,300 experiential options spread across the globe. The current team has shown that it has the traction necessary to bring the business to scale. Examples of the company’s platform offerings include:

  • Learning how to cook a world-class Italian meal from executive chef Casa Maestoso in Los Angeles, CA at $120 a person.
  • A 30-minute long couples private helicopter tour of New York City.
  • A tailor-made dress shirt private fitting at Blank Label for the special rate of $125 a head (or, perhaps, in this case, torso).

Investing in the Millennial shift from ‘things’ to experiences

“Giving people what they want” has always been a sound business strategy and there are few things millennials are willing to open their wallets for more than a unique, once-in-a-lifetime experience.

By now you are no doubt wondering what exactly an experience platform is. The unique problem IfOnly seeks to solve is enabling the seamless identification of unique local experiences whilst in the middle of that most stressful of experiences: traveling to a new city. It’s a way to make vacations more memorable and intriguing (something Millennials have proven their willingness to open their wallets for) in a stress-free way.

Investing in the company via the SeedInvest platform is a straight path towards profiting from this multi-billion-dollar demographic trend. In a recent study commissioned by EventBrite and conducted by Harris, over 70% of millennials polled said that paying for travel is a basic motivation to work — second only to paying for basic living expenses. It doesn’t stop there, this generation which now makes up the largest portion of the work force and commanding over 1.2 trillion in annual spending power actually define themselves more by their experiences — a big shift from their baby-boomer parents who took price in homes, cars, etc…

Armed by partnerships with mega-brands like American Express, Mastercard, and Hyatt Hotels, IfOnly makes its money off booking fees. It gains from the massive distribution leverage from these partners leading to a low customer acquisition cost (CAC). The model has proven to be extremely effective already, with Q1 2018 revenues surging 100% YoY and first-quarter profit margins expanding a whopping 300% as the company has reached “escape velocity.”

One doesn’t get many chances to invest in a company owned by some of the biggest names in venture capital (Founders Fund has invested in Facebook and Airbnb, while another investor Triple Point Capital boasts early involvement in Etsy)  – this is such an opportunity. Experience-based enterprises are in high demand and IfOnly is a ground-floor opportunity in one of the first entrants into an infant-market quickly gaining momentum.

What early-stage investors need to know

IfOnly has a long runway of growth ahead of it as many significant cities remain unlisted or are lacking sizable experience options (few unique opportunities exist for Washington, D.C., for example). That will almost certainly change as the company continues to expand into more cities and internationally.

Will the company be the go-to site when millions of individuals plan their family vacation in the years ahead? It’s not hard to imagine and is why we think its current Series D Round (structured as a preferred stock investment) via SeedInvest is worthy of strong consideration for qualified investors.

104
About: Chris Lustrino

A Boston College Eagle for life, on a mission to democratize startup investing for all people at KingsCrowd, with a passion for Fintech, investing, social impact, doing well and doing good, and an avid runner, cyclist and writer.

View more articles by Chris
Add to portfolio
Top Deal: Someday You Might Be Saying ‘If only I invested…’ in This Startup
Platform:
Security Type:

Follow company

Follow Top Deal: Someday You Might Be Saying ‘If only I invested…’ in This Startup