Open banking outfit Bud has laid off 20% of its staff, just six months after receiving $20 million in funding from HSBC, Goldman Sachs, ANZ and Investec.
The Bud platform acts as a data exchange layer between banks and up to 85 third party providers. The firm currently counts just one confirmed contract with HSBC's direct banking unit first direct.
At the time of the February Series A funding round, Bud said it would use the cash to double its headcount to more than 120 staff by the end of the year, and expand into new markets.
Bud says the lay-offs are part of a strategic shift aimed at growing the business, hiring more sales and engineering staff while cutting back on support and marketing functions.
In a statement, the company says: "We need to focus on the core areas of the business that will help the company progress to the next stage of growth and become the market leading provider of open banking technology.
“We have made some changes to our company structure, primarily in the support functions of the business designed to ensure we can focus on the task at hand. We are continuing to hire in key areas where are to bolstering our proposition.”