Who’s right? Did TheAlarm:Clock mis-read?

Interesting. I wrote the below after reading the post from TheAlarmClock that is below. BUT – if you click through that to the article from the Business Standard in India, what I read is very different. So……is the Alarm:Clock off on their take? According to the article, “Saastra Software, a Bangalore-based software startup focused on solutions for the hospitality industry, is looking to raise around $10 million through venture capital.” This doesn’t sound like pre-announcing to me. It looks like they are trying to raise their visibility and in the article they do (“The company recently announced the commercial launch of its product, which facilitates the automation of a hotel’s internal business processes like reservations, guest service operations and corporate client management.”) what I had recommended below.

What’s the point here? Read as much as you can before you rush to judgment, I almost did.

From Alarm:Clock – what I like here is they call the company on a bad idea. I run into this quite a bit, with companies trying to create more interest in their round of funding. Instead of pre-announcing the funding, try announcing something that you HAVE done. Funding is not done until ALL papers are signed and preferably the money is in the bank.

Indian Hospitality Software’s Saastra Says Its Closing $10M Round

saastra.png
Bangalore-based Saastra Software has pre-announced – always a dicey idea – a $10M round of investment from VCs and a strategic investor. The company sells a hosted software application primarily to hotel managers. We get the idea; several times we have booked hotels through a hotel site only to learn that we actually booked it through an intermediary, which has resulted in some glitches. Saastra says that to date robust hotel reservation systems have been to pricey for most hotels. The company’s target market are Indian towns – it has targeted 800 at launch.

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2 thoughts on “Who’s right? Did TheAlarm:Clock mis-read?

  1. hey josh – I’m one of the alarm:clockers. I think I read the source the same way you did. There is nothing wrong with a startup saying it is raising funding. But the company went further specifying amount and the mix of investors, including a strategic investor. Reading between the lines you get the sense that the round is about closed but perhaps the CEO wants some publicity to get attention for another another investor. Perhaps we should have noted that there is some reading between the lines here.

  2. Jon,

    Thanks for your response. I think we’re both seeing that the article doesn’t say everything. I agree with you in that with that much detail (albeit vague detail) they are treading in dangerous waters. My guess is the CEO said more than he wanted to…just a hunch though.

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