Curefit: A Leader in the Fitness Industry Forced to Downsize
Curefit is a Bengaluru-based fitness startup founded by Mukesh Bansal and Ankit Nagori in 2016. The startup’s mission was to help people lead healthier lives through a combination of physical fitness and mental wellness. The platform offers a range of services, including gym memberships, yoga classes, nutritional guidance, and mental wellness programs. The company quickly gained popularity and established itself as a leader in the Indian fitness industry.
The Journey So Far
Curefit has seen tremendous growth since its inception. The company has raised $405 million in five funding rounds to date, with its latest being a Series D round in February 2019. The investors in this round included marquee names such as Accel, Kalaari Capital, and Chiratae Ventures.
Curefit has also established a strong presence across the country, with a total of 180 fitness centers located in Bengaluru, Delhi-NCR, Hyderabad, and Mumbai. The platform is used by over two million customers, indicating the widespread popularity of its services.
The Layoff Crisis and Company Responses
Despite its impressive growth, Curefit has not been immune to the impact of the COVID-19 pandemic on businesses worldwide. The company announced in July 2020 that it was forced to lay off 120 employees due to the ongoing economic impact of the pandemic. This move was difficult, but necessary to tide over difficult times. The layoff figure accounted for approximately 5% of its total workforce.
Mukesh Bansal, the Co-founder of Curefit, expressed his sadness over the move and the toll it took on the company’s morale. He termed the decision to layoff employees as “one of the toughest calls,” but stresses that it was essential to nip the crisis in the bud.
As a company rooted in its core values, Curefit has always prioritized the physical and mental health of its employees. Bansal has been quick to affirm that the company has provided severance packages to affected employees and assisted them with relevant job placements. Furthermore, the company has reduced all leadership salaries by 20%, including Mukesh Bansal and Ankit Nagori.
Industry Trends and Implications
Curefit’s decision to lay off employees appears to be part of a broader trend in the fitness industry worldwide. The forced closure of fitness centers and gyms has led to a significant drop in revenue. Companies have been forced to adapt to the changing scenario by pivoting to online services or downsizing.
Despite the tough times, Curefit has remained committed to its core mission of providing high-quality wellness services. The company has taken steps to strengthen its online presence and offer virtual products to its customers. This move has helped the company recover from losses to an extent. However, there is still uncertainty as to whether the fitness industry will return to its pre-pandemic state anytime soon