Dunzo co-founder Dalvir Suri quits as quick commerce firm faces funding crunch

Quick commerce platform Dunzo, which is facing wrath of the employees for delays in the disbursement of salaries and mass firings, is now dealing with another challenge as one of its co-founders has left the company.

Dunzo co-founder and CEO Kabeer Biswas confirmed the development and said,”Dalvir has been instrumental in building out every new line of business at Dunzo. He has been the key zero to one person from the founding team that just gets things Dun. 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 also added that the firm is making some organization-wide changes in restructuring the business starting this quarter.

Dalvir Suri joined the company in May 2015. While the reason for his departure from the company couldn’t be ascertained, an ET report said that he left the firm after discussions on the issue with Biswas over the last couple of months.

As per data intelligence platform TheKredible, Biswas holds 3.56% equity in the company and is the only equity holder among the co-founders which also include Mukund Jha, and Ankur Agarwal.

Also Read: Dunzo looks for an olive branch amid cost-cutting measures

The development has come at a time when the company has been delaying salaries of employees for the past couple of months. As per media reports, it has further postponed salaries to the first week of October.

The company is facing a survival challenge and looking for a fundraise. Media reports also suggest that Dunzo may be able to raise $30-35 million in new funding. It counts Google, Reliance and Lightbox, among others as its key investors and has raised around $475 million to date.

Dunzo has let go of over 400 employees this year in three batches and after the latest statement from Biswas, more layoffs can not be ruled out.

While the company is yet to disclose its financials for FY23, it registered Rs 54.3 crore in revenue from operations in FY22 from Rs 25.1 crore in FY21. The company’s losses stood at Rs 464 crore in FY22 against Rs 229 crore in the previous year.