- Boston-based finance startup Flywire is to cut 12% of its workforce amid the coronavirus pandemic.
- Business Insider understands that 60 employees have been laid off as part of the decision, with another 3% of the workforce being moved to part-time contracts. Flywire confirmed the cuts in a written comment.
- Goldman Sachs led a $120 million funding round into the firm in February at a valuation of more than $1 billion.
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Flywire, the Boston-based payments startup with backing from Goldman Sachs, is to cut 12% of its workforce as the coronavirus pandemic continues to bite.
Business Insider understands that 60 employees have been laid off as part of the decision, with around 16 workers being shifted onto part-time contracts.
Flywire confirmed the cuts in a written comment to Business Insider.
A source with knowledge of the job losses said staff were told about the changes this week.
A company spokesperson told Business Insider that no “critical roles” had been moved to part-time contracts, which run until the end of 2020. The company has around 540 employees across 12 global offices.
Flywire was founded in 2009 by the Spanish entrepreneur Iker Marcaide, and was originally called peerTransfer. It handles billions in payments each year, having provided software to universities, travel businesses, and healthcare providers to aggregate their payments processes.
But as the COVID-19 pandemic puts a freeze on travel and college reopenings remain uncertain, Flywire has taken a hit to its business.
The Boston-based company raised $120 million in funding led by Goldman Sachs in February, which put its valuation above $1 billion. It has raised a total of $263 million in funding and its valuation puts it among the wider ranks of finance unicorns such as Stripe, Ripple, and Europe’s Checkout.com.
Flywire recently acquired Palo Alto-based payments company Simplee, bringing its 70 staff into the business. Massaro previously said the company would add 100 more staff organically through 2020, per BostInno.
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