Toronto-based social media marketing startup Syncapse has laid off a "significant number" of its staff in a restructuring process aimed at keeping the company afloat.
Founded in 2007, Syncapse builds and manages software and social media tools to help other companies manage their online presence and engage with customers online. In the past five years, the company had been expanding aggressively, employing 110 people at offices in Toronto, New York, London and Gurgaon, India.
On Monday, the majority of staff at the company were told they were being laid off.
"Despite our best efforts, the organization lacks the resources to move forward successfully and as such must enter a period of restructuring," company founder and CEO Michael Scissons told employees in an email obtained by CBC News. "This unfortunately means that effective today, we are laying off a significant number of our worldwide employees and ending go-forward development for our platform."
"The objective of this process is the continuation of the company, whether purchased or restructured, to continue to support our client relationships and provide continued (or renewed) employment for our team members," Scissons wrote.
According to the letter, a limited number of staff will stay on at the company's Toronto, India and New York offices to manage existing client files.
Requests for official comment by Scissons or any other members of Syncapse's management team have not been returned
The company had 110 employees worldwide as of the end last year.