As we kickstart a new year, Austin startups will have their work cut out for them to match the record-setting funding hauls of the past two years. Deals have already begun flowing in, with $14 million reported raised by four companies during the first week of 2023. And already we have a fresh deal for local startup Howdy in week two of the year.
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• Funga PBC, which lists Austin as its principal place of business, on Jan. 5 reported raising about $4 million from six investors. Colin Averill is listed at the company's executive officer and director. According to LinkedIn, the company uses "the forest fungal microbiome to improve forestry outcomes and address the climate crisis while enhancing beneficial microbial biodiversity." The company is a public benefit corporation headquartered in Austin, according to its website.
• HopGrade Inc. reported Jan. 6 raising $3.2 million in fresh funding. The company is led by Jonathan Carr, who is listed in a Securities and Exchange Commission filing as president and CEO of HopGrade. The company raised the $3.2 million from 78 investors, the filing shows. The startup previously developed a community-building platform for neighbors, and, more recently, it launched SafeHello, an app that helps people find the right person for coffee shop meeting, person-to-person sale or other interactions. The company, founded in 2015, previously reported raising $5.8M in equity funding in 2019 and $600K in debt funding.
• Prospyr Medical Inc., an Austin company that makes software for managing aesthetic practices, on Jan. 5 reported raising nearly $5M in new equity funding from four investors. The startup, formed last year, is led by co-founder and CEO Walker Szurek. He was previously product director at San Francisco-based Chargebee. The company's website says its software makes it easier for plastic surgeons, cosmetic dermatologists and medical spas to be profitable and provide a good patient experience.
• Local alcoholic cider startup Austin Eastciders Holdings Inc. on Jan. 3 reported raising $1.8M in new equity funding from three investors. This appears to be Eastciders' first new funding round since 2020, when the company secured $5.7M. Back in March 2022, Austin Eastciders CEO Brad McKeever retired and a new president and general manager, John Glick, took over. This new round appears to bring the company's total funding to $23.5M since its founding in 2011.
For more local deals, check out another recent funding wrap. And subscribe to Austin Business Journal for startup resources such as lists of venture capital and private equity firms, incubators and accelerators, angel investors and coworking providers.
