Tag: Finance

Layoffs Roundup: Thurs 5/14/20

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This past week saw layoffs from a number of notable startups, including 4(!) data analytics companies (Mixpanel, Segment, Mode Analytics, and ThoughtSpot).

Check out our tracker for a more comprehensive list. If you’ve seen a layoff spreadsheet for any of these companies, please let us know!

🏢 Stone ∙ 🌎 Sao Paulo ∙ 👩1,300 employees (20%) ∙ 🔗Source

  • A Brazilian payments processor, Stone has seen a decline in the volume of credit and debit card transactions processed by the company. Warren Buffett’s Berkshire Hathaway owns 8% of Stone, which held a hotly-anticipated IPO in 2018.

🏢 Jump ∙ 🌎 New York City ∙ 👩500 employees (100%) ∙ 🔗Source

  • As part of Uber’s $170 million investment in Lime, Uber is offloading money-losing subsidiary Jump, an e-bike and e-scooter startup it acquired in 2018. Reports suggest that all 400-500 Jump employees were laid off, though some were offered interview opportunities at Lime.

🏢 Glassdoor ∙ 🌎 SF Bay Area ∙ 👩 300 employees (30%) ∙ 🔗Source

  • An online job board, Glassdoor is the latest recruiting startup to announce layoffs. ZipRecruiter, Greenhouse, Lever, and Triplebyte have all made cuts in recent weeks due to the slowing pace of hiring across the country. Affected employees will receive at least 3 months of severance, accelerated vesting through the severance period, and reimbursed health insurance through the end of 2020.

🏢 Flatiron School ∙ 🌎 New York City ∙ 👩 100 employees (31%) ∙ 🔗Source

  • A coding bootcamp acquired by WeWork in 2017, Flatiron School is closing its Atlanta and London campuses, as well as its design program, in conjunction with the layoff. The cuts were focused on Flatiron School’s design and marketing teams, and come on top off the thousands already laid off by parent company WeWork.

🏢 Zeus Living ∙ 🌎 New York City ∙ 👩 73 employees (50%) ∙ 🔗Source

  • A corporate housing startup, Zeus Living’s 50% layoff comes two months after it already laid off 30% of its team. Last week the company was forced to raise funding at almost half its valuation from December. The company expects revenue to decline by 45% due to the slowdown of business travel caused by COVID-19.

🏢 Mixpanel ∙ 🌎 SF Bay Area ∙ 👩 65 employees (19%) ∙ 🔗Source

  • An analytics tool that measures user engagement, Mixpanel’s layoff spanned across sales, marketing and G&A positions. No roles in engineering, product, or design were affected. Half of the layoffs were in San Francisco.

🏢 SalesLoft ∙ 🌎 Atlanta ∙ 👩 55 employees ∙ 🔗Source

  • SalesLoft said that the users of its sales engagement software have been getting laid off, causing SalesLoft itself to do a layoff. The event is an example of the second-order effects of the economic fallout caused by the coronavirus.

🏢 Segment ∙ 🌎 SF Bay Area ∙ 👩 50 employees (10%) ∙ 🔗Source

  • A data analytics startup, Segment cited economic conditions as the reason for its layoff, but did not elaborate further.

🏢 Cadre ∙ 🌎New York City ∙ 👩 28 employees (25%) ∙ 🔗Source

  • An online marketplace for commercial real estate investments, Cadre has been hurt by the sudden slowdown in the real estate market. The company is offering laid-off employees health insurance through the end of 2020 and an extension of the post-termination exercise period on vested stock options to two years.

🏢 Kickstarter ∙ 🌎 New York City ∙ 👩 25 employees (18%) ∙ 🔗Source

  • A crowdfunding platform, Kickstarter lost not only the 25 employees it laid off, but also an additional 30 employees that accepted its voluntary separation package. One of the few tech companies whose employees are unionized, Kickstarter is offering departed employees 4 months of severance, 4-6 months of health insurance, a release from non-compete obligations, and priority consideration if the eliminated position re-opens within a year.

🏢 Mode Analytics ∙ 🌎 SF Bay Area ∙ 👩 17 employees ∙ 🔗Source

  • A business intelligence tool, Mode Analytics laid off 17 employees across sales, marketing, support, engineering, product, and recruiting.
Tally

Credit card automation startup Tally laid off 28 employees

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🌎 SF Bay Area ∙ 👩 28 employees (23%) ∙ 🖥 All departments

Tally, which helps users manage multiple credit cards, laid off 28 employees (23%) last Monday, according to an internal memo reviewed by Layoffs.fyi. In addition to severance pay, Tally is offering laid-off employees reimbursed health insurance through the end of 2020, an extension of the post-termination exercise period on vested stock options to one year, and a six-month subscription to LinkedIn Premium.

If you’re recruiting in San Francisco, see link below 👇for a list of employees laid off across Engineering, Design, People Operations, and a few other functions.

View list of employees laid off ->

Our live Layoffs Tracker has a real-time report of all startups that have done layoffs.

Kabbage

Ex-Kabbage layoff spreadsheet lists over 100 employees

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🌎 Atlanta, New York City ∙ 👩 Unknown # of employees ∙ 🖥 All departments

In late March, small business lending startup Kabbage furloughed a “significant number” of its 500 employees. It also shut down its Bangalore office. Hoping to use furloughs as a way of avoiding permanent layoffs, Kabbage had intended to bring back the affected employees once business conditions improved.

With the coronavirus pandemic continuing to decimate the economy, it’s unclear when that will happen. One source told Layoffs.fyi that the furloughs would last at least 2 months (through end of May). Another thought it was unlikely Kabbage would ever bring the furloughed employees back.

A Google spreadsheet called “Kabbagers for hire” has been circulating with over 100 names. See link below 👇if you’re hiring in Atlanta or New York City.

View list of employees laid off ->

Our live Layoffs Tracker has a real-time report of all startups that have done layoffs.

Layoffs Roundup: Thurs 4/23/20

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Almost 300 startups have now laid off nearly 30,000 employees since the coronavirus pandemic began.

Below are a few notable layoffs from this past week. You can check our tracker for a more comprehensive report. As always, if you’ve seen a layoff spreadsheet for any of these companies, please let us know!

🏢 Magic Leap ∙ 🌎 Miami ∙ 👩 1,000 employees (50%) ∙ 🔗Source

  • One of the most prominent augmented reality startups, Magic Leap decided to abandon its consumer business and instead focus on enterprise use cases. Despite raising over $2 billion in funding, the company has found it challenging to release a mainstream product or generate meaningful revenue.

🏢 Lending Club ∙ 🌎 SF Bay Area ∙ 👩 460 employees (30%) ∙ 🔗Source

  • An online lender, Lending Club said its layoff was the result of tightening credit markets and a drop in demand for personal loans, the company’s flagship product.

🏢 Houzz ∙ 🌎 SF Bay Area ∙ 👩 155 employees (10%) ∙ 🔗Source

  • An online platform for home remodeling, Houzz said that social distancing measures has led to lower demand for its pro subscriptions, which connect home remodeling professionals with potential customers. Houzz is providing laid-off employees with severance packages based on tenure and 3 months of benefits.

🏢 CarGurus ∙ 🌎 Boston ∙ 👩 130 employees (13%) ∙ 🔗Source

  • A marketplace for cars, CarGurus said that dealers have been forced to close due to stay-at-home orders, “effectively pausing vehicle sales.”

🏢 Greenhouse Software ∙ 🌎 New York City ∙ 👩 120 employees (28%) ∙ 🔗Source

  • A maker of applicant tracking software, Greenhouse is the latest recruiting startup to conduct a layoff. Competitor Lever laid off 86 employees (40%) a week before. Greenhouse is offering laid-off employees 8 weeks of severance and 8 months of healthcare.

🏢 ConsenSys ∙ 🌎 New York City ∙ 👩 91 employees (14%) ∙ 🔗Source

  • An incubator of Ethereum projects, ConsenSys cited the coronavirus pandemic as the cause of its layoff. However, the company did not elaborate on exactly how the pandemic has affected its business.

🏢 Casper ∙ 🌎 New York City ∙ 👩 78 employees (21%) ∙ 🔗Source

  • A direct-to-consumer mattress startup, Casper also decided to close its European operations. The company hopes the job cuts will help it achieve profitability by mid-2021. One laid-off employee said, “though I am unsure what tomorrow holds, I do know that before tomorrow must come a good night’s sleep.”

🏢 Freshbooks ∙ 🌎 Toronto ∙ 👩 38 employees (9%) ∙ 🔗Source

  • An accounting software company, Freshbooks said its small business customers have been affected by the economic fallout caused by the coronavirus. Freshbooks was planning to raise additional capital before COVID-19, suggesting that one motivation for the layoff was to extend the company’s cash runway.

🏢 Sweetgreen ∙ 🌎 Los Angeles ∙ 👩 35 employees (10%) ∙ 🔗Source

  • A fast casual salad chain, Sweetgreen’s business has plummeted because of shelter-in-place. An employee said that app order volume has fallen by 2/3. Sweetgreen raised $150 million in funding last year, becoming possibly the only salad restaurant ever to raise venture capital.

🏢 Patreon ∙ 🌎 SF Bay Area ∙ 👩 30 employees (13%) ∙ 🔗Source

  • Patreon, which enables artists and creators to accept money from their fans, said that the layoff was caused by “several other factors beyond the financial ones.” It cited a recent performance review cycle and a new company strategy, in addition to the current economic uncertainty.

🏢 People.ai ∙ 🌎 SF Bay Area ∙ 👩 30 employees (18%) ∙ 🔗Source

  • A maker of predictive sales software, People.ai denied that the coronavirus pandemic has had any negative effect on its business. It said the layoff was simply to protect against future uncertainty. As would be expected of a sales startup, People.ai also listed multiple examples of how the company is in an extremely strong position.

🏢 Lambda School ∙ 🌎 SF Bay Area ∙ 👩 19 employees ∙ 🔗Source

  • A training program for aspiring software engineers, Lambda School said the layoff was meant to reflect a shift in priority away from growth and towards student experience. The startup has recently received criticism for the quality of its program and for engaging in misleading marketing.
Carta

Carta laid off 161 employees, citing customer slowdown

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🌎 San Francisco, Salt Lake City, Rio de Janeiro ∙ 👩 161 employees (16%)∙ 🖥 All departments

Carta, which makes software that helps companies manage the equity they’ve issued to investors and employees, laid off 161 people (16%) last week. Carta is providing affected employees 3 months of pay and healthcare insurance until the end of the year — one of the more generous packages I’ve seen.

UPDATE: The link to Carta’s layoff spreadsheet has been removed upon their request.

See our live Layoffs Tracker for a real-time report of all startups that have done layoffs.

Nav

Nav laid off 30 employees

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🌎 Salt Lake City ∙ 👩 30 employees (20%) ∙ 🖥 All departments

Nav, which offers a variety of credit solutions to small businesses, laid off 30 employees (20%), according to a former employee. See below link👇for a partial list of employees laid off in Salt Lake City. As the economy slows down due to the coronavirus, fintech startups that make money off commissions or transactions have experienced several layoffs.

View list of employees laid off ->

See our live Layoffs Tracker for a real-time report of all startups that have done layoffs.

Jetty

Jetty laid off 40% of staff after pausing sales of new insurance policies

Layoff list, ,

🌎 New York City ∙ 👩 35 employees (40%) ∙ 🖥 Primarily business roles

Jetty, which sells insurance to renters, laid off 40% of its team (35 employees) earlier this month. See below link👇for a partial list of employees laid off, which skews towards business roles in NYC. Jetty had recently paused sales of new insurance policies due to coronavirus-related underwriting challenges. The company says the layoff was unrelated to the pause.

View list of employees laid off ->

See our live Layoffs Tracker for a real-time report of all startups that have done layoffs.

Layoffs Roundup: Thurs 4/16/20

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Layoffs continue to ripple through the startup ecosystem. Notable events from the past 2 days include a 35% layoff from Opendoor and a 30% layoff from VSCO.

Below are a few other recent layoffs. Check our tracker for a comprehensive report. If you’ve seen a layoff spreadsheet for any of these companies, please let us know so we can help the affected people!

  • The RealReal, an online marketplace for consigned luxury goods, laid off 10% of its employees and furloughed another 15%. Retailers and e-commerce companies have been among the hardest hit by the coronavirus pandemic, due to stay-at-home orders and a pullback in consumer discretionary spending.
    • 🌎 SF Bay Area ∙ 👩 235 employees (10%) ∙ 🔗Source
  • GoPro, which makes action cameras, said it will cut over 200 employees. With fewer opportunities to sell through retail stores, the company will shift its focus to selling directly online.
    • 🌎 SF Bay Area ∙ 👩 200 employees (20%) ∙ 🔗Source
  • Zume, which uses robots to make pizza while it’s being delivered, laid off 2/3 of its team. The CEO decided against using similarly-named Zoom to announce the layoff, choosing instead to send out a company-wide email.
    • 🌎 SF Bay Area ∙ 👩 200 employees (67%) ∙ 🔗Source
  • Carta, which makes software that helps companies manage the equity they’ve issued to investors and employees, laid off 161 people (16%). It believes a slower economy will lead to fewer customers than originally projected. Carta is providing affected employees 3 months of pay and healthcare insurance until the end of the year.
    • 🌎 SF Bay Area ∙ 👩 161 employees (16%) ∙ 🔗Source
  • TouchBistro, a point-of-sale system for restaurants, laid off 131 employees (23%). Most of its restaurant customers have closed due to shelter-in-place.
    • 🌎 Toronto ∙ 👩 131 employees (23%) ∙ 🔗Source
  • Neon, a Brazil-based digital bank, laid off 70 employees (10%). Other Brazilian fintech startups like C6 Bank and Creditas have also recently conducted layoffs.
    • 🌎 Sao Paulo ∙ 👩 70 employees (10%)∙ 🔗Source
  • Envoy, which makes a front desk visitor sign-in system, laid off 30% of its staff (58 employees). Its business has been affected by office closures across the country.
    • 🌎 SF Bay Area ∙ 👩 58 employees (30%) ∙ 🔗Source

Layoffs Roundup: Tues 4/14/20

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The Layoffs.fyi Tracker has now confirmed 230 startups w/ layoffs and 22,000 employees laid off since the coronavirus was declared a pandemic.

Below are a few of the recent layoffs. Check our tracker for a comprehensive report. If you’ve seen a layoff spreadsheet for any of these companies, please let us know so we can help the affected people!

  • Groupon, a marketplace for discounts from local businesses, said it expects to lay off or furlough 44% of its team (2,800 employees). Previous reports suggested that only the sales and sales operations teams were affected, but the company’s announcement confirms a significantly deeper cut. Groupon has seen a “material deterioration” in its business due to the closure of local businesses it works with.
    • 🌎 Chicago ∙ 👩 2,800 employees (44%) ∙ 🔗Source
  • Meow Wolf, an art collective that creates interactive experiences, laid off 201 employees. Its art installations and live events have been cancelled due to shelter-in-place.
    • 🌎 Santa Fe ∙ 👩 201 employees ∙ 🔗Source
  • Monzo, an online bank, closed its Las Vegas office and laid off all 165 customer support employees there. The decision was in the works prior to the coronavirus pandemic.
    • 🌎 Las Vegas ∙ 👩 165 employees ∙ 🔗Source
  • OneTrust, which makes software that helps companies comply with privacy regulations, laid off 10-15% of its 1,500 employees. The company raised funding at a $2.7 billion valuation just two months ago.
    • 🌎 Atlanta ∙ 👩 150 employees (10%) ∙ 🔗Source
  • Omie, a Brazilian startup that sells business management software to small businesses, laid off 136 employees (15%).
    • 🌎 Sao Paulo ∙ 👩 136 employees (15%) ∙ 🔗Source
  • Zoox, a maker of self-driving taxis, is laying off 100 employees (10%). The news comes just one week after it laid off all 120 of its contract workers, including its backup drivers. Shelter-at-home orders have affected Zoox’s ability to continue testing its self-driving vehicles.
    • 🌎 San Francisco∙ 👩 100 employees (10%) ∙ 🔗Source
  • Domo, which creates business intelligence software to help executives manage their business, cut roughly 10% of its staff (about 90 people). The layoff was needed to ensure the company wouldn’t run out of money.
    • 🌎 Salt Lake City ∙ 👩 90 employees (10%) ∙ 🔗Source
  • Clinc, which uses AI to create virtual assistants, laid off 32% of its staff (40 employees). In February, the company’s CEO resigned after employee complaints of inappropriate behavior.
    • 🌎 Ann Arbor ∙ 👩 40 employees (32%)∙ 🔗Source
  • Mejuri, a startup that sells fine jewelry, laid off 15% of its team. Its retail stores have been closed since late March due to the ban on non-essential businesses.
    • 🌎 Toronto ∙ 👩 36 employees (15%) ∙ 🔗Source

Layoffs Roundup: Thurs 4/9/20

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Unicorn startups and notable consumer brands headlined the layoff news over the past couple of days. In the 4 weeks since the coronavirus was declared a pandemic, nearly 200 startups in total have conducted layoffs, affecting over 17,000 employees.

Below are a few of the recent layoffs. Check our Layoffs Tracker for a comprehensive report. If you’ve seen a layoff spreadsheet for any of these companies, please let us know so we can help the affected people!

  • Toast, which makes software for restaurants, cut 50% of its staff, or around 1,300 employees. Its success is “tightly coupled” with the restaurant industry, which has seen sales decline by 80% in most cities. Toast raised money at a $5 billion valuation in February.
    • 🌎 Boston ∙ 👩‍💼 1,300 employees (50%) ∙ 🔗Source
  • Eventbrite, the ticketing and events website, laid off 45% of its employees. The company is highly dependent on live events, which have halted as a result of shelter-in-place. Its share price had fallen over 70% since mid-March.
    • 🌎 San Francisco ∙ 👩‍💼 500 employees (45%) ∙ 🔗Source
  • ezCater, a corporate catering startup, laid off over 400 employees (44%). “We’re a company that feeds meetings, and meetings are not happening much right now,” the company said.
    • 🌎 Boston ∙ 👩‍💼 400 employees (44%) ∙ 🔗Source
  • Redfin, a real estate brokerage, laid off 7% of staff and either cut or furloughed 41% of its field agents. The company said that most agents would earn more from unemployment insurance than from Redfin. New listings, home tours, and home sales have all cooled due to the coronavirus pandemic.
    • 🌎 Seattle ∙ 👩‍💼 236 employees (7%) ∙ 🔗Source
  • Groupon, a marketplace for discounts from local businesses, conducted a round of layoffs and furloughs. The Chicago Tribune says that “significant portions” of its sales and sales operations teams were affected, while employee posts on LinkedIn suggests that the cuts spanned more broadly. Between 200-350 employees were laid off, according to these posts.
    • 🌎 Chicago ∙ 👩‍💼 200-350 employees ∙ 🔗Source
  • Newfront Insurance, a commercial insurance brokerage, laid off 94 employees. The startup has eschewed publicity but had grown headcount rapidly since founding in 2017.
    • 🌎 San Francisco∙ 👩‍💼 94 employees ∙ 🔗Source
  • Away, a direct-to-consumer maker of luggage and travel accessories, furloughed about half of its team and laid off an additional 10% (60 employees). Sales of its products have fallen by more than 90% over the past few weeks, since people are not traveling.
    • 🌎 New York City ∙ 👩‍💼 60 employees (10%) ∙ 🔗Source
  • Lever, which makes applicant tracking software, laid off 40% of its staff, according to a laid-off employee. The economic impact of COVID-19 has slowed down hiring (and as we know, increased the pace of layoffs). ZipRecruiter, another recruiting site, also held recent layoffs.
    • 🌎 San Francisco ∙ 👩‍💼 40% of employees
  • Zola, a website for creating wedding registries, laid off 20% of its team. Due to social distancing measures, couples have been delaying their weddings en masse.
    • 🌎 New York City ∙ 👩‍💼 20% of employees ∙ 🔗Source