Checkout Startup Bolt will lay off more than 200 people, or at least 25% of its employees

Checkout Startup Bolt will lay off more than 200 people, or at least 25% of its employees

Bolt, a $ 11 billion one-click cashier, has laid off about 240 employees.

CEO Maju Kuruvilla announced the dismissal on Wednesday morning in a Slack report to Bolt employees. The company did not say how many people were fired, but Google’s ranking of affected employees contained more than 100 names since Wednesday night, accounting for more than 10% of the company’s total workforce.. The number of people on the company’s Slack Channel dropped to 660 from about 900.

Sales and marketing have been hit particularly hard, sources say Forbes, although the table shows redundancies in other departments, including engineering and products. According to the two people affected by the redundancies, most or all of the sales development team was fired. The company last raised $ 355 million in January and employed more than 900 people after buying the crypto startup Wyre in April.

Last month, the company announced to employees at an all-hands meeting that, according to the two people present, it had 24 months of runways. However, the company seems to be lagging behind in its business metrics. Bolt said in January that it would target 100 million shoppers by mid-2023, but the source said the target was lagging behind and currently reached less than 15 million people.

A spokesman for Bolt commented, only saying that the company “focused on our people today” and said Forbes on a copy of the Kuruvilla’s Slack report, which was posted on the company’s website.

“In an effort to ensure that Bolt has its own destiny, the management team and I have decided to secure our financial position, expand our runway and achieve profitability with the money we have already selected.” wrote Kuruvilla. The report mentions market conditions in the technology industry as an impetus for redundancies.

The decline in the number of people at Slack was first reported in the New York Times.

The dismissal is Bolt’s last chapter in the turmoil that led Kuruville earlier this year to take on the role of CEO from co-founder Ryan Breslow, who resigned and became executive chairman. Weeks earlier, Breslow posted a controversial Twitter thread that claimed that fintech giant Stripe and startup accelerator and fund Y Combinator were “mob bosses” preventing Bolt from raising new funds. (Forbes profiled Breslow last month, after these events.)

The Information said last month that Bolt’s sales had stopped and that the number of its customers had dropped in 2021 from the previous year. Authentic Brands Group, a major customer, sued Bolt because it claimed it cost parent company Forever 21 a $ 150 million loss of sales, as Bloomberg first reported.


Source link

Leave a Comment

Your email address will not be published.