Dunzo Co-Founder Dalvir Suri To Exit Embattled Startup
The company is making some organisation-wide changes in restructuring, starting this quarter, CEO Kabeer Biswas said.
Dunzo Co-Founder Dalvir Suri has resigned from the on-demand delivery startup, amid a funding crunch and a company-wide overhaul, according to Chief Executive Officer Kabeer Biswas.
Biswas, who is also a co-founder, confirmed the development to BQ Prime. "Dalvir has been instrumental in building out every new line of business at Dunzo...He has been meaning to take a break for sometime now— and with 6+ years spent building Dunzo, he plans to move forward to pursuing new journeys," Biswas said in a statement.
Further, the company is making some organisation-wide changes in restructuring, starting this quarter, Biswas said. "The Dunzo Merchant Services (Dunzo's B2B arm) business has very capable leadership that's picking up directly after him (Suri)," he said.
Dunzo's latest top-level exit comes at a time when the company is facing a working capital crunch, with salaries being delayed for a large number of employees. The Bengaluru-based startup, which counts Reliance Industries Ltd. and Google LLC among its backers, has also been struggling to close a funding round to sustain its operations going ahead.
Its troubles also prompted it to fire about 380 employees in an effort to become leaner and improve profitability. Despite multiple pivots, the startup reported paltry revenue from operations of Rs 54.3 crore in FY22. The company is yet to file earnings for FY23.
While revenue doubled from the preceding year, it registered loss of Rs 464 crore, which also nearly doubled from Rs 229 crore, according to data accessed from Tofler. It also posted accumulated loss of Rs 1,230 crore.