Synapse, a Banking-as-a-Service (BaaS) platform, is laying off nearly a fifth of its staff.
The company made cuts in areas “that were staffed for unrealized growth or redundancy,” founder and CEO Sankaet Pathak said in a Medium post. “The current macroeconomic conditions have begun to impact our clients and platforms, affecting our anticipated growth,” he added.
Synapse reached profitability and became cash flow positive last year.
Streamlining operations should make Synapse more efficient and allow it to better serve customers and partners, Pathak wrote. Remaining profitable and cash flow positive should allow the company to “safely invest our resources to continue future growth and innovation.”