Frontdesk Lays Off Entire 200-Person Team

Frontdesk, a proptech business, laid off its entire 200-person crew during a two-minute Google Meet session, according to a Techcrunch report.

According to an employee who was present during the call, the terminations occurred as a result of the company's unsuccessful attempts to raise additional capital. Frontdesk CEO Jesse DePinto advised employees on the call that the company would file for a state receivership, which is an alternative to bankruptcy.

The firm, which was founded in 2017, manages over 1,000 furnished residences across the United States. Despite having previously raised $26 million from investors such as JetBlue Ventures, Veritas Investments, and Sand Hill Angels, the company's efforts to get more funding were unsuccessful.

Only two months ago, Frontdesk seemed upbeat about its prospects, even posting job positions on LinkedIn, including one for a chief of staff.

Nearly 260,000 individuals would be laid off in the global tech and startup sector by 2023.