The layoffs were a result of a right-sizing initiative in response to prevailing market conditions, a company statement said.
“Making tough decisions is an inevitable part of adapting to evolving market conditions and implementing strategic right-sizing initiatives. While these choices are challenging, they are essential for our organization’s long-term success and sustainability,” founder and global CEO Raghu Subramanian said.
Also read | SaaSBoomi slashes startups’ enterprise value forecast for 2030 by 50%
The layoffs were first reported by online news website Entrackr on Wednesday afternoon.
Actyv.ai, a bootstrap venture that offers business-to-business buy-now-pay-later (BNPL) and insurance services, is backed by the Subramanian family office, 1Digi Ventures. It last raised $7 million as part of a pre-series A funding round from Dubai-based 1Digi Ventures in January 2023.
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Actyv.ai claimed its total BNPL throughput crossed $100 million in December 2022. “The company has partnered with more than 20 leading financial institutions enabling embedded BNPL. Over 25,000 distributors and one lakh retailers have been onboarded on the platform,” it had then said.Also read | Indian SaaS in the middle of a great reset in funding winter
The January investment had come at a time when startups were braving a funding winter that has prompted mass layoffs across sectors.
Concerns over margin and recessionary pressures and increasing interest rates in the US have led to a rout in public-listed technology stocks as well.
SaaS companies have been facing the brunt of this slowdown, with others such as Chargebee, Fareye and Icertis also undertaking layoffs.
In June, global management consulting and strategy advisory firm Zinnov and venture capital firm Chiratae Ventures marked down 2026 revenue projections of Indian SaaS startups from $100 billion to $26 billion.
Separately, in a report last week, SaaSBoomi, a collective of SaaS and product company founders, said near-term demand environments are likely to be tough, given the tightening of the US economy. The country is an important go-to market for SaaS companies.