He pointed out the high inflation, interest rates, and the waning popularity of online shopping as factors that make the consultative negotiations necessary for the future of the business.
According to Kauppalehti, Swappie has about 1,600 employees in the world, about 1,000 of whom are based in Finland. The company stated only a few months ago that it intends to raise its headcount from around 1,200 to 2,200 by the end of the year.
The company is one of the fastest growing technology companies in Finland.
Swappie operates in 15 countries and has generated annual net sales of over 100 million euros, but its business model requires a lot of capital as all of the phones it buys for refurbishing and all spare parts needed for the refurbishments are incorporated into its balance sheet. Helsingin Sanomat said that the company has invested heavily in marketing and brand recognition.
In February, it revealed it had raised 108 million euros in funding to support its growth.
As investors focus more on profitability, startups are finding it harder to secure funding based on revenue growth.