Many startups are reducing their number of employees and locations to face up to a more difficult financing environment. While it is affecting mostly quick-commerce (10 to 30 minutes grocery delivery startups), we have now news concerning other types of startups. For some, reducing headcount will not be enough. This is not all bad, it shows a (healthy) focus on profitability instead of unsustainable growth.
🇵🇰 🚲 Airlift, Pakistan’s most valuable startup, working on quick-commerce, shut down last week as it was unable to get the funding it needed.
🇺🇸 🚲 GoPuff, the most well-funded quick-commerce startup, is reducing its workforce by 10% and shutting down 76 of its warehouses (dark stores).
🇺🇸 🍔 Motif Foodworks, a well-known B2B alternative protein startup, is laying off employees to focus on “priorities that will return maximum ROI”
🇺🇸 🤢 Daily Harvest, a US vegan meals delivery startup, is facing another kind of challenge. One of its recipes has recently caused hundreds of people to feel ill and some to get hospitalized, notably some of the influencers that have been the backbone of startup communication and success over the years.