Tiger Global-backed SaaS startup Chargebee cuts 10% jobs • TechCrunch
Chargebee, backed by prominent investors including Tiger Global and Sequoia Capital India, has laid off approximately 10% of its staff in a “reorganization” effort due to ongoing global macroeconomic challenges and mounting operating debt.
The Chennai and San Francisco-based startup that provides billing, subscription, revenue and compliance management solutions, confirmed to TechCrunch that the update affected 142 employees.
“This was a difficult decision, and we first want to acknowledge and thank the team members who helped us get to where we are today. Chargebee has grown exponentially over the past few years, and amid changing market conditions, we have decided to proactively refocus resources to lay a strong foundation for our continued growth,” Penny Desatnik, Chargebee’s director of corporate communications, said in an emailed statement to TechCrunch.
“We will continue to build and enhance key relationships, and by focusing on effective growth, we expect to refine our market reach strategy and operations to meet the growing market demand for B2C and B2B cross-company subscription services. We wish success to our former colleagues and remain committed to the success of our customers and partners around the world. “.
On Wednesday, Chargebee co-founder and CEO Krish Subramanian Posted in LinkedIn That the startup has changed its staffing plan to align with priorities due to macroeconomic factors and started reducing its expenses in various areas including tools, consulting and contractors due to the growing gap between revenue and spending.
“While the decisions to expand were under our control and responsibility, the economic situation and lack of vision for the future made it even more difficult for everyone,” the memo said.
He added that the affected employees will receive three months’ salaries and extended medical benefits while they search for new opportunities. The startup will also offer outsourcing services and an extension of time to exercise stock options granted under its stock incentive plan.
Chargebee raised $250 million in a Series H tour in February – more than nine months later earn unicorn status After funding a Series G of $125 million in April of last year.
Startup Insight Venture Partners, Sapphire Ventures, Steadview Capital, Tiger Global and Sequoia Capital India are among its main backers.
Unfavorable economic conditions have affected many startups and technology companies around the world. In the past few months, Indian startups including Unacademy, Byju’s And the Ola It reduced its workforce amid a significant downturn in funding. US companies including digital banks chimeOnline real estate market Open door Giant Lending cocky I have also recently made similar decisions.