Entrepreneur Fintech: Sunday lays off 90 people

Fintech: Sunday lays off 90 people

Everything goes very quickly at Sunday. The QR code payment application dedicated to restaurants recently laid off nearly 90 people, according to our information. Last March, the fintech claimed more than 400 employees. This plan would therefore represent approximately 20% of its workforce. Contacted several times, the start-up did not respond to our interview request.

This decision is accompanied by the closure of several markets, according to our information. To date, the start-up is present in France, Spain, the United Kingdom, the United States, Canada, Portugal and Italy.

This is one of the first significant redundancy plans known in French Tech, although the start-up is headquartered in the United States (Delaware). In recent months, some European start-ups have been parting with part of their workforce, such as Klarna, which has decided to lay off around 700 people.

Rapid growth

This plan comes just one year after its creation and two record fundraisings from renowned funds such as Coatue and DST: $24 million in seed and $100 million in Series A. The three co-founders of the fintech have attractive profiles for investors. Victor Lugger and Tigrane Seydoux are behind the Italian restaurant chain Big Mamma while Christine de Wendel is the former director of operations of ManoMano.

Sunday’s trajectory has been meteoric. In April 2021, the fintech is installing its QR code system in five restaurants. “Twelve months later, we are at 5,200 restaurants in five countries”, indicated to “Echos” Victor Lugger last March.

It must be said that the benefits are multiple for restaurateurs: time saved for servers and customers, increase in the average shopping basket, multiplication of tips, speed of table rotation… Not to mention the savings. With Sunday, you no longer need to pay for a subscription to a payment terminal.

The importance of volume

This internationalization has a cost since it is necessary to integrate each time with local means of payment. Not everyone pays by bank card… The majority of Dutch people use iDEAL, an account-to-account payment solution. The Germans have a similar system, Sofort. To develop in a country, it is also necessary to recruit armies of salespeople who, in the midst of the talent war, are increasingly expensive. Finally, the economic model, based on a commission per transaction, requires a lot of volumes. Hence its very aggressive internationalization strategy.

The low barrier to market entry has created vocations. Zenchef catering software recently acquired Billee payment system. Partoo, for his part, swallowed Pulp. The payment giants Square, Adyen and PayPal have also developed QR Code solutions. “We will have to be impeccable in the execution”, assured in our columns Victor Lugger, a few months ago.

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