Greenlight, kids-focused fintech startup, lays off 104 staff to optimize bills | Technoscoob
Greenlight, a fintech startup providing debit playing cards to children, has laid off 104 staff — or over 21% of its complete headcount of 485 staff — to “higher align with ongoing working bills” amid the financial slowdown.
TechCrunch realized in regards to the layoff that was introduced to its staff earlier this week. The startup later confirmed the event over an electronic mail.
“The macroeconomic atmosphere has impacted nearly all companies, together with Greenlight. We lately made the tough resolution to raised align our ongoing working bills with the present atmosphere,” a Greenlight spokesperson stated in an announcement emailed to TechCrunch.
The spokesperson stated the impacted staff would obtain severance, prolonged medical protection, and profession transition help. The startup introduced the choice on Tuesday and now has a workforce of 381 staff.
“The corporate stays dedicated to its mission to assist dad and mom elevate financially good children. Shifting into 2023, Greenlight might be centered on persevering with to serve its rising buyer base and discovering new, impactful methods to enhance monetary literacy for households,” the spokesperson stated.
Greenlight presents children a debit card, banking app and monetary training to make them financially good and unbiased. Group Federal Financial savings Financial institution points the Greenlight debit card.
In December, the Atlanta-headquartered startup launched a web-based monetary literacy library aligned with the Ok-12 nationwide requirements that might be free to varsities, academics and college students. In October, it additionally added household security options to its subscription plan known as Greenlight Infinity, which is priced at $14.98 monthly for the entire household.
In line with the information accessible on Crunchbase, Greenlight has raised about $556.5 million in complete since its inception in 2014. The funding included the $260 million Collection D spherical that was introduced in 2021 at a valuation of $2.3 billion.
Greenlight is among the newest startups to put off its employees throughout this difficult time. In the previous couple of days, startups corresponding to Profession Karma, Carta and Coinbase let lots of their staff go to cut back bills. Massive tech corporations, together with Amazon and Salesforce, have additionally laid off hundreds of employees this month because the economic system continues to wrestle. Moreover, the rising financial slowdown has impacted distinguished fintech startups, together with Stripe, which laid off 14% of its workforce in November. The startup additionally reduce its inside valuation but once more to $63 billion, TechCrunch reported earlier on Thursday.