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Byju's delays payments worth crores for data management tools, loses services: Report
As per the report, the firm has not paid dues amounting to ₹45 crore, and up to ₹50 crore.
According to a report, Byju's has not cleared monthly payments of data management platforms used by its employees, resulting in the vendors stopping or scaling back their services to the edtech giant.
The employees of India's most valued, but currently struggling, startup, use customer relationship management (CRM) tools such as Leadsquared, Orderhive, and Salesforce, along with data visualisation software such as Tableau and Tooljet, Moneycontrol said in its report on Friday.
‘Payments delayed for 2 months’
Byju's has not cleared dues to Salesforce, Tableau, and Tooljet for about two months, while Orderhive has not been paid since December last year, a senior executive of the Bengaluru-headquartered company told Moneycontrol.
The firm has not paid dues amounting to ₹45 crore, and up to ₹50 crore, the executive noted.
“You generally have to manage payments in case of delays. For example, if a payment is not made for six months, in order to continue service, you make partial payment for a month or two. But I think they (Byju's) did not do that. Now, many vendors are stopping services altogether,” the executive said.
Where do platforms stand?
On August 31, all Byju's staff lost access to Salesforce, Tableau, and Tooljet, while Orderhive – not paid since December 2022 – will suspend services starting today.
Leadsquared, on the other hand, has scaled down its services to the company.
Employees suffer
Employees told the publication they have been ‘assured’ that the problems would not last for more than a month.
“But till then, we will have to manage somehow. Apparently, the company is prioritising other things currently, our VP said. It is practically impossible to work without these systems. There was chaos today (August 31), everyone was losing their mind as we were asked to use Google Sheets instead of Salesforce today,” a staff member said.
The story further noted that while Byju's has confirmed losing services, the individual platforms either declined to comment or are yet to comment.
