Tipalti lays off dozens as fintech unicorn shifts sales focus
Move marks second round of cuts as Tipalti pivots to mid-market clients and streamlines development teams.
Israeli fintech unicorn Tipalti is laying off dozens of employees in Israel and abroad. This marks the company’s second significant round of layoffs, following a cut of 123 employees in January 2023. Tipalti currently employs about 1,000 people and is estimated to have recently raised around $100 million in credit.
Chen Amit, Tipalti’s CEO and co-founder, told Calcalist: “We are reorganizing two of our divisions for functional reasons. In sales, we are focusing on mid-market customers and reducing our exposure to small customers. In development, as part of a shift in strategy, we are unfortunately parting ways with a number of people.”
In December 2021, Tipalti raised $270 million at a valuation of $8.3 billion, bringing its total capital raised since founding to over $550 million. The company’s backers include Marshall Wace, G Squared, Counterpoint Global (an investment arm of Morgan Stanley), Oren Zeev’s Zeev Ventures, Durable Capital Partners, 01 Advisors, Group 11, and others.
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Tipalti’s platform provides a comprehensive suite of financial automation tools, including global payments, invoicing, procurement, employee expenses, corporate cards, vendor management, tax compliance, and payment reconciliation. Tipalti partners with major financial institutions such as Citi, Wells Fargo, J.P. Morgan, and Visa, helping more than 5,000 companies worldwide securely pay millions of suppliers in over 200 countries and territories, in 120 currencies.
Tipalti announced last month that it has acquired Israeli startup Statement, a company that specializes in AI-based cash flow management solutions. While the purchase price was not disclosed, it was estimated to be roughly $30 million.
