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Layoffs hit leading cannabis tech platform Dutchie

Jun 7, 2022 | Media Partners, The GrowthOp

This post is presented by our media partner The Growth Op
View the original article here.

“Yesterday was a pretty tough day and one I certainly never saw coming.”

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Dutchie, an Oregon-based software startup that works with over 5,000 dispensaries across North America, has laid off “approximately eight per cent” of its workforce. The company employs about 650 people.

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Ross Lipson, who co-founded the company with his brother Zach in 2017, told GeekWire that it was a “difficult decision to restructure a few areas of the business.”

“We are forever grateful for everyone’s contributions to Dutchie and the cannabis industry that were impacted,” he added.

  1. Dutchie's CEO Ross Lipson, left, and his co-founder brother and chief product officer, Zach Lipson, pose pre-pandemic at the Dutchie office in Bend, Oregon. Photo: provided

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The company, which specializes in cannabis e-commerce and point-of-sales systems, cut roles across accounting, customer service, recruiting and product management, according to a LinkedIn News roundup.

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“Yesterday was a pretty tough day and one I certainly never saw coming,” posted one former employee. “[Three] months ago I accepted a Recruiter role with a company that I fully expected to be with for the long haul. Unfortunately, I was notified this morning that it would be my last day,” wrote another.

Last March, Dutchie was named to Fast Company’s annual list of the Most Innovative Companies. Seven months later, the company closed a $350 million financing round and was valued at $3.75 billion.

Investors in the company include Casa Verde Capital, the investment fund co-founded by Snoop Dogg, as well as NBA superstar Kevin Durant and Starbucks chairman Howard Schultz.

“We believe cannabis is good for humanity, and we’re committed to doing our part to propel this remarkable industry forward based on that core belief,” Ross Lipson, Dutchie’s CEO, said in a statement after that funding round.

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Lipson, who co-founded the food ordering service Grub Canada in 2008 before selling the business to, previously told The GrowthOp that Dutchie is an “intersection of my passion for cannabis and my experience in online ordering.”

“The idea was we need to apply the online ordering model that we had learned in the food space, to the cannabis space,” he said.

Earlier this month, Eaze, a leading cannabis delivery platform based in California, laid off 25 of its employees, according to Business Insider. A few weeks earlier, Akerna, a cannabis enterprise software company based in Denver, announced it was also reducing its workforce in an effort to cut operating costs.

In his statement to GeekWire, Lipson said that Dutchie remains “in a strong position and we are focused on continued growth.”

“We will continue to hire top talent and pursue growth opportunities that map to our business objectives in order to advance our mission to provide safe and easy access to cannabis while helping to drive the cannabis industry forward,” he added.

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