Restaurant365

Restaurant365, a leading Irvine-based restaurant technology provider, laid off approximately 100 employees, or 9% of its workforce, last month, reducing staff from 1,100 to 1,000. The cuts, which impacted all departments, were attributed to the company falling short of its aggressive growth targets for the year. Despite quadrupling revenue over the past four years and securing significant private funding that valued it over $1 billion, the company stated that controlling cash flow and progressing toward profitability necessitated the adjustments. This move highlights the competitive challenges within the restaurant tech sector, particularly for vendors serving large chain restaurants.

Restaurant365, an Irvine, California-based provider of cloud-based software for the restaurant and hospitality industry, conducted a significant layoff this week, affecting a substantial portion of its workforce. While the company did not disclose the exact number, CEO Tony Smith indicated it was "a big chunk" but not half of the staff, which previously totaled about 400 employees. The layoffs, which included sales staff and others, were driven by a severe downturn in the restaurant industry due to COVID-19, with the company reporting a 75% year-over-year decline in customer sales. As restaurants close or scale back, demand for Restaurant365's accounting, inventory, and scheduling software has plummeted, forcing the company to reduce its headcount to sustain operations. The notifications were delivered via live video conference, reflecting the difficult circumstances faced by the industry.