Here's a roundup of recent startup and innovation news you need to know:
SPACE LAUNCH SYSTEM: SpinLaunch, headquartered in Long Beach, announced it closed a $71 million Series B funding round. It plans to use the funds to continue the development and commercialization of its mass accelerator launch system and satellite product line. The company's goal is to provide environmentally-responsible space access. It's building a ground-based, kinetic launch system that the company claims will deliver a "substantially less expensive and environmentally sustainable system" to place constellations of small satellites into low earth orbit.
FUND LAUNCHES: Starburst Ventures, based in El Segundo, launched an early-stage fund. It's dedicated to investing across aviation, space and defense. The fund's team will be led by Starburst Ventures' founder and general partner, François Chopard. He founded Starburst in 2012.
ELECTRIC AIRCRAFT: Panhwar Jet, headquartered in Newport Beach, announced an equity crowdfunding campaign on WeFunder. The aviation startup is designing and building an all-electric, long-range, luxury business jet. The company developed a wind-powered energy generation system, with the goal of bringing sustainable green tech to the aviation industry and reducing carbon emissions. Panhwar Jet is looking to raise $3.5 million via its campaign and said it would use the funds to complete the first prototype, launch the first test flight and start the FAA certification process. Its manufacturing facility is in Utah.
GAMING: Theorycraft Games announced an additional $50 million raised in Series B funding, led by Makers Fund. NEA and a16z also participated. The independent game developer said it will use the funds to continue developing its first team-based game, Loki, which features adventure, creativity and high-stakes combat.
BANKING: Banc of California, based in Santa Ana, announced it acquired the payments platform and technology of Global Payroll Gateway and its subsidiary, Deepstack Technologies, for $24 million in cash and stock. Deepstack's HQ is in Florida, but it has a team in Southern California. Its platform provides clients with payment tools, including merchant processing, virtual accounts and fraud protection tools.
PATIENT FINANCING: Scratch Financial, based in Pasadena, announced that it raised $35 million in Series C funding. The round was led by Norwest Venture Partners, with participation from others, including Alumni Ventures and Companion Fund. The company said it will use the funds to accelerate developing new technology to help medical providers connect with their clients and manage the end-to-end patient experience.
E-COMMERCE APPAREL: Barnesmith, based in Orange County (Aliso Viejo), announced that it's been acquired by e-commerce aggregator Society Brands. Barnesmith offers a line of collegiate apparel for nearly 150 schools. It features officially-licensed designs that capture the tradition and culture of America’s top colleges. Barnesmith founder Eric Barnes will stay on and serve as brand president.
HOSPITALITY: AvantStay, a hospitality platform in the short-term rental sector, announced that Ankur Jain has joined the company as the new CFO. Jain is a longtime finance and startup executive, with more than 10 years of experience in the real estate space.
FACILITATING ENTREPRENEURSHIP: Recently in Irvine, Mayor Farrah Khan was a guest at what's known as the Five Founders event. She spoke about the significance of the local small business community. The event honored these five founders: John Shen, John Keisler, Adam Carrillo, Edmond Wong and Dan Wheeler for their contributions to the city. They are the CEOs of American Lending Center, Sunstone Management, Partake Collective, TrustCard and Sunstone Trust Company, respectively. All were recognized for their commitment to growing the entrepreneurial ecosystem in Irvine and Southern California. Sunstone has provided grants to the Long Beach Accelerator and Cal State Long Beach’s Institute for Innovation and Entrepreneurship.
SCHOOL TRANSPORTATION: HopSkipDrive announced that it raised $37 million in Series D funding from Energy Impact Partners, Keyframe Capital, FirstMark Capital, Alumni Ventures, Transform Capital and others. HopSkipDrive provides transportation for students who don’t fit on traditional bus routes. Its software platform connects them with a vetted network of drivers. The company plans to use the funding to expand its growth. HopSkipDrive has partnered with more than 400 school districts and 16,000 schools. The company recently launched its 21st market in Detroit, MI.
EMPOWERMENT: The U.S. Small Business Administration and Operation HOPE joined forces to promote the development of entrepreneurial potential within the Black community in several U.S. cities, including Los Angeles. Operation HOPE is a nonprofit dedicated to financial empowerment for underserved communities. Announced on the heels of Black Business Month, celebrated in August, this strategic alliance is designed to introduce small business owners from historically underserved communities to counseling and resources, with the goal of lowering the barriers to access capital, among other things. Through the joint effort, Black small business owners will be invited to a series of workshops, conferences, seminars and other activities to discuss SBA financing, government contracting opportunities and other relevant topics.
EMPLOYMENT: Indeed's sister company, Indeed Flex, the online marketplace for flexible and temporary workers, announced its expansion into California. It's a tech-first staffing platform, which was acquired by Indeed in 2019. Indeed Flex is now operating across Los Angeles County, Orange County and San Bernardino County, with the goal of helping workers quickly find short- and long-term employment opportunities in the industrial, clerical, retail, hospitality, and facilities management sectors. The company plans more expansion across the state in the coming months.
