Online interior design startup Modsy shuts down and lays off employees
San Francisco, July 18 (SocialNews.XYZ) Online interior design service startup Modsy quietly shut down operations and several clients were left with unfinished renovations and project orders in progress.
San Francisco-based Modsy abruptly stopped offering design services, fired its designers and left its clients in disarray, reports TechCrunch.
The startup refunded some service order fees and promised to reimburse furniture deliveries to those who filled out an online form.
“But more than two weeks later, tweets show that many Modsy customers are still waiting for updates,” the report said on Sunday evening.
Apoorva Govind, Founder of BesteverApp, tweeted on Monday, “I’m so disappointed that Modsy is closing! It was one of my favorite interior design services!! I’m so disappointed. Their 3D design software was top notch.”
“Me too! And countless others who have backorders with Modsy,” another user posted.
According to the report, while the company’s website remains operational, Modsy has taken down its Twitter and Facebook pages and made its Instagram account private.
Modsy founder and CEO Shanna Tellerman told TechCrunch that “capital constraints and uncertain market conditions forced the company to cease operations on July 6 and lay off all employees.”
Modsy’s assets have been acquired by a “new entity and customers will be advised of next steps on how to meet their needs,” Tellerman added.
Modsy’s investors included TCV, Comcast Ventures, Norwest Venture Partners and NBC Universal.
The startup’s latest funding round closed in May 2019, bringing its total fundraising to $72.7 million, according to Crunchbase.