New York City, New York-based Knock, a technology company that facilitates real estate transactions, has announced that it is reducing its workforce by 46% or approximately 100 employees thoughout the company's various divisions. It should be noted that while the company maintains some physical locations to facilitate co-working, all employees are essentially remote workers.
According to Knock CEO Sean Black, “While substantial, the capital we raised is much less than what we set out to raise in our IPO, requiring us to rightsize the business, including the difficult decision to part ways with many of our beloved Knockstars. This is why today’s announcement weighs heavily on us and me, in particular.”
The company has raised $70 million in equity and $150 million in new debt to “power its payment platform that helps customers finance their dream homes. Led by Boulder, Colorado-based Foundry Group, an early-stage venture capital firm, the other investors include Second Century Ventures, the strategic investment arm of the National Association of Realtors, and Mauricio Umansky, a Beverly Hills real estate broker who is CEO of The Agency. The hope is for a payout IPO when conditions in the real estate and financial markets improve.
Change is coming. There will always be a tomorrow, no matter how much you may try to ignore it. There are no guarantees in life or promises for a bright future. Just because something bad hasn't happened yet, doesn't mean it won't. It can happen to anyone, anytime, anywhere. No one is guaranteed to wake up tomorrow and still have a job by evening. Are you now wondering, Am I Next?