After five years of its existence, Mumbai-based healthtech startup, Kenko Health is out of business. The startup which had attracted over $13 million investment from investors such as Peak XV, BEENEXT, and Orios Venture Partners had no cash at one point despite this funding. This resulted in their shut down of offices in Bengaluru and Mumbai, and employment termination of around 60 staffs.
It is common to know the reason behind the shut down of Kenko Health , the startup founders said that lack of insurance license from IRDAI , inability to raise new capital and increasing losses were the primary reasons that led to the shut down of Kenko Health. However, what with Kenko Health witnessed that its expenses rose much higher than the income it received and thus faced a financial issue.
The situation of the shutdown of Kenko Health has led its employees to unpaid salaries and inadequate communication from the management. The founders only pointed out problems of employees but pointed to the difficulties with which they cope with the ongoing conflict.
