Technoglitch
Core Member
TinyOwl, the online food ordering start-up that is going through restructuring as it battles a cash crunch, on Tuesday cut jobs as part of an organizational restructuring.
In an official statement, the company said that it has undergone an organizational restructuring to increase its efficiency and productivity, involving eliminations of certain positions from the company, as part of this process.
The start-up promoted by Tinyowl Technology Pvt. Ltd, said it would be scaling back nationally, and continue to operate in all six cities where it is currently present. A new model will be initially tested in Mumbai and Bengaluru.
Earlier in the day, the company shut its Pune office and fired all 30 employees there. Three employees at the Pune office, who did not want to be identified, said the company plans to close its offices in Hyderabad, Delhi and Chennai as well, and limit itself to Mumbai and Bengaluru.
The employees also said TinyOwl may lay off 100 more employees, after it fired 200 employees in September.
“The current strategic focus for us as a company is to build TinyOwl as a sustainable, profitable and scalable business, working towards the ‘big dream’. With the current take rate being 45-60, we are looking at a more commensurate operational structure,” Harshvardhan Mandad, the company’s co-founder said in a statement.
Mint had reported that the company was looking at layoffs due to delays in closing its next round of funding. The layoffs come four days after TinyOwl raised only Rs.50 crore from existing investors Matrix Partners and Sequoia Capital.
As of September, the company processed 10,000 orders a day. It works with around 150 chefs and registered 500 orders a day with the average transaction value beingRs.25.
TinyOwl fires staff, shrinks operations to turn profitable - Livemint
In an official statement, the company said that it has undergone an organizational restructuring to increase its efficiency and productivity, involving eliminations of certain positions from the company, as part of this process.
The start-up promoted by Tinyowl Technology Pvt. Ltd, said it would be scaling back nationally, and continue to operate in all six cities where it is currently present. A new model will be initially tested in Mumbai and Bengaluru.
Earlier in the day, the company shut its Pune office and fired all 30 employees there. Three employees at the Pune office, who did not want to be identified, said the company plans to close its offices in Hyderabad, Delhi and Chennai as well, and limit itself to Mumbai and Bengaluru.
The employees also said TinyOwl may lay off 100 more employees, after it fired 200 employees in September.
“The current strategic focus for us as a company is to build TinyOwl as a sustainable, profitable and scalable business, working towards the ‘big dream’. With the current take rate being 45-60, we are looking at a more commensurate operational structure,” Harshvardhan Mandad, the company’s co-founder said in a statement.
Mint had reported that the company was looking at layoffs due to delays in closing its next round of funding. The layoffs come four days after TinyOwl raised only Rs.50 crore from existing investors Matrix Partners and Sequoia Capital.
As of September, the company processed 10,000 orders a day. It works with around 150 chefs and registered 500 orders a day with the average transaction value beingRs.25.
TinyOwl fires staff, shrinks operations to turn profitable - Livemint
