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Posted on August 03, 2022

Butler shows hundreds of employees the door after raising $50M for room service delivery

Butler shows hundreds of employees the door after raising $50M for room service delivery

The trouble was, Butler’s roughly 1,000-person workforce had been laid off just days earlier. In fact, most were told that the company had been dissolved — according to interviews TechCrunch had with a number of former employees, and corroborated in a report last week by industry blog Restaurant Dive.

Butler’s downfall is a cautionary tale of both the opportunities and challenges that exist in the world of on-demand startups. There may be clear gaps in the market for services that appear in theory like easy sailing. Yet they can inevitably be buffeted by economic, social, and, in recent times, extreme public health headwinds. And amidst all that, those working there are the first to go over.