Embedded finance platform Unit has laid off 15% of its workforce, citing “slower than expected” revenue growth.
Unit’s Dashboard, along with its suite of APIs, SDKs, and white-label UIs, enables companies to create banking and lending products. In a message to employees posted on its website, co-founders Itai Damti and Doron Somech explained that the job cuts are necessary as the company needs to “think in longer time frames.”
They noted that banks within the fintech ecosystem have slowed down over the past year due to increased regulatory scrutiny. While they anticipate that this slowdown is temporary and that Unit will ultimately benefit from enhanced regulatory clarity, the transition will take time. For now, the focus will be on efficiency in light of the slower than expected revenue growth.
The company emphasized that it maintains a strong balance sheet and is not looking to raise capital in the immediate future, instead opting to “execute on a plan to become profitable without the need to do it.”