Austin Startup Everfest Raises $3.6M From Live Nation, ATX Seed
Austin—Everfest, a festival-focused startup based in Austin, TX, has raised a $3.6 million Series A round of funding from Live Nation Entertainment and ATX Seed Ventures. The company says it plans to use some of the money for product development, marketing, and new hires.
Founded in 2014 by former uShip executives Paul Cross and Jay Manickam, the company says it lists more than 15,000 festivals worldwide on its website. It sells premium subscriptions ($49 for a year, currently) that offer users discounts and other deals, such as backstage passes or free products from event sponsors and festival organizers. In exchange, the organizers get advertising through Everfest’s website, social media, and e-marketing. The company also says festivals can claim and manage a profile Everfest has made for it (festivals or users can also create one), similar to a Yelp profile, and can connect with businesses there, such as vendors and artists.
Live Nation (NYSE: LYV), the entertainment giant that promoted nearly 26,300 events in 2016, works directly with Everfest’s target market of festival organizers. Charlie Walker, the co-founder of C3 Presents, the Austin-based company that organizes Lollapalooza and Austin City Limits, is joining Everfest’s board of directors. Los Angeles-based Live Nation acquired a controlling stake in C3 Presents in 2014. Chris Shonk of ATX Seed Ventures also joined Everfest’s board.
Other participants in the new round of funding included Bob Kagle of Benchmark Capital; Chip Conley, who joined Everfest when it acquired his digital magazine Fest300 last year; and Red Frog Events. To date, the company has raised a total of $6 million.