The 1% Club Cuts 15% Workforce Amid Rapid AI Advancements

• The 1% Club, a financial edtech platform, has laid off 15% of its workforce as part of a cost-cutting exercise.
• The layoffs were attributed to mistakes in hiring and redundant expenses, as well as AI-led automation.
• Despite the layoffs, the company is currently clocking nearly $8 Mn in annualised revenue with an EBITDA of 35-40%.
• The company, founded in 2022, offers educational resources, mentorship, entrepreneurial opportunities and networking avenues to its paid members.
• The layoffs come at a time when the Indian startup ecosystem is grappling with a capital crunch, leading many companies to cut costs and streamline operations.

Source: Inc42