Fintech Platform Khatabook Lays Off Over 40 Employees: Report The layoffs targeted employees in engineering, product and marketing verticals, according to reports citing close sources aware of the matter

By Teena Jose

Opinions expressed by Entrepreneur contributors are their own.

You're reading Entrepreneur India, an international franchise of Entrepreneur Media.

X Handle

Fintech company Khatabook has fired over 40 employees in a fresh round of layoffs on Thursday. The layoffs targeted employees in engineering, product and marketing verticals, according to media reports citing close sources aware of the matter.

"Khatabook has laid off 42 employees across sales, marketing and analytics, and technology verticals. People who lost their jobs in the exercise have been given standard severance packages including 3 months salary among others," reportedly said one of the sources with the identity of anonymity.

Another source aware of the matter confirmed this and noted that the company has had multiple multiple rounds of layoffs over the past year.

"This is probably the third or fourth downsizing round. They are trying to cut costs to attain profitability," he said.

Khatabook has said to confirm the development stating that it was a part of restructuring. "In line with our profitability goals, we are reorienting some parts of our business which requires us to operate with a leaner team on certain business lines. This restructuring has impacted 6% of our 700 employees," said a company spokesperson in a statement.

Khatabook is providing all impacted employees with a separation package that covers three months of pay, a stock vesting option, health insurance extension and other job search-related support, added the statement.

The spokesperson also claimed that Khatabook's revenue has grown more than 3x in the last 12 months while the startup has reduced its burn by 50%. "We expect this revenue growth to continue as we aim to achieve profitability by Q1 of the next financial year primarily driven by growth in our financial services business," the spokesperson said.

As a result, the company doesn't foresee the need for any other people-related cost rationalisation measures in the future, the spokesperson added.

In November 2021, Khatabook had also shut down its e-commerce enablement product MyStore.

Teena Jose

News Desk Reporter with Entrepreneur India

Teena is a post graduate in financial journalism. She has an avid interest in content creation, digital media and fashion.

Related Topics

Business News

Black Mirror's 'Joan Is Awful' Sparks Real-Life Worry Over Netflix's Terms and Conditions

Google searches for Netflix's terms and conditions spiked following the release of Black Mirror season 6.

Business Plans

12 Reasons You Need a Business Plan

In the new book "Write Your Own Business Plan," business expert Eric Butow breaks down how a solid business plan can save your startup during those tough early days.


20 Ways to Boost Your Energy at Work

This infographic will teach you simple tricks to help keep you going all day long.

News and Trends

Leverage Edu Secures Investment From Lohiya Family Office

The company plans utilize the fund to double down on efforts to roll out the offering to more students from emerging economies in the region

News and Trends

Akasa Air: Is There a Change In Its Employee Centric Approach?

Akasa Air is suing pilots who resigned to join a rival airline without serving their notice period. However, the Federation Of Indian Pilots (FIP) emphasized that the relief sought by airline which aims to enforce the CAR against employees who violated the terms of their employment contracts, is not valid

Growing a Business

A 5-Time Founder Shares His Best Success Tips

Godard Abel's sold businesses to Oracle and Salesforce, and these are the three biggest secrets to his success.