Ashton Kutcher-backed FinTech startup Neighborly can’t pay its employees

Neighborly, a FinTech startup set up to enable people to buy cheaper municipal bonds, has told its staff to stop working as it is unable to pay them.

That is according to an internal memo obtained by Bloomberg. Neighborly had previously attracted investment from Ashton Kucther’s Sound Ventures, Maven Ventures and Stanford University. All these investors bought into the venture’s idea of enabling people to invest in their own communities by buying cheaper municipal bonds.

However, the CEO Jase Wilson has told employees in the memo that Neighborly is now unable to pay their wages and that they should stop working. It employs fewer than 100 people.

The company has raised over $30.67m since launching in 2012, according to FinTech Global’s data.

Kutcher’s Sound Ventures recently made the news when it was one of the investors behind Ethic’s, an asset management platform for sustainable investment portfolios, $13m Series A round. The round was raised in July this year.

FinTech Global

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