NEW DELHI: Cash-strapped fast trade startup Dunzo which has been delaying salaries of its workers has commenced contemporary layoffs which might affect about 200 other people, in keeping with resources conscious about the discussions. A Dunzo spokesperson declined to remark when contacted. CEO and co-founder Kabeer Biswas didn’t reply to messages.
Last week, TOI had reported that the startup has deferred salaries of a few of its workers through as much as 50% for the month of June. Dunzo which was once first of all anticipated to disburse the remainder of the June salaries to the affected personnel later this month is known to have postponed the bills to September.
The construction comes about 3 months after the company sponsored through Google and Reliance Retail laid off some 300 workers. A couple of of Dunzo’s workers have connected the open to paintings badge to their Linkedin profiles. Amid a chronic investment iciness and strict investor vigilance, startups had been making an attempt to test their bills and resorting to cost-cutting measures to increase their runway. Funding for startups declined to $3.8 billion within the first part of 2023 from $18.3 billion within the year-ago duration, in keeping with a up to date research through PwC.
Last 12 months, Reliance Retail had infused about $200 million into the Bengaluru-based corporate for a 25.8% stake. Competition within the fast trade area has intensified with the access of gamers like Zepto whilst larger opponents like Swiggy Instagram, sponsored through deep pocketed traders had been making an investment billions of greenbacks into the short trade trade. The type is a money guzzling one and it is tough to make the trade economics paintings. Dunzo, it’s realized, may be taking a look at restructuring after it close down a number of of its shops to rein in money burn. The corporate has raised over $450 million from traders in all.
Last week, TOI had reported that the startup has deferred salaries of a few of its workers through as much as 50% for the month of June. Dunzo which was once first of all anticipated to disburse the remainder of the June salaries to the affected personnel later this month is known to have postponed the bills to September.
The construction comes about 3 months after the company sponsored through Google and Reliance Retail laid off some 300 workers. A couple of of Dunzo’s workers have connected the open to paintings badge to their Linkedin profiles. Amid a chronic investment iciness and strict investor vigilance, startups had been making an attempt to test their bills and resorting to cost-cutting measures to increase their runway. Funding for startups declined to $3.8 billion within the first part of 2023 from $18.3 billion within the year-ago duration, in keeping with a up to date research through PwC.
Last 12 months, Reliance Retail had infused about $200 million into the Bengaluru-based corporate for a 25.8% stake. Competition within the fast trade area has intensified with the access of gamers like Zepto whilst larger opponents like Swiggy Instagram, sponsored through deep pocketed traders had been making an investment billions of greenbacks into the short trade trade. The type is a money guzzling one and it is tough to make the trade economics paintings. Dunzo, it’s realized, may be taking a look at restructuring after it close down a number of of its shops to rein in money burn. The corporate has raised over $450 million from traders in all.