India-based youth hostel chain goStops has secured 35 crore rupees (approximately US$4.2 million) in its series A funding round.

The investment was led by Blume Ventures, with co-lead investor 1Crowd and participation from existing investors such as Mumbai Angels, Chennai Angels, Indian Angel Network, Lead Angels, and Yuj Ventures.

The funding will be used to increase goSTOPS’ bed capacity from 2,500 to 10,000 across 100 locations over the next two years.

Furthermore, goSTOPS is working on securing debt partnerships to support its expansion.

Founded by Pallavi Agarwal and Pankaj Parwanda, goSTOPS operates company-managed hostels targeted at young travelers.