Insurance startup Lenny has announced it is now “closed forever” following a loss of funding amid the ongoing pandemic.
The app-based broker revealed that its backers were “no longer in a position” to provide vital funding that was needed in order to keep operations running.
The startup had intended to launch the car insurance app, but was forced to close “before it had a chance to take off”.
Karen Nielsen, the CEO of Lenny, said: “It’s with a real heavy heart I need to let you know that Lenny is now closed forever. Like most startups we need cash to help us get off the ground, pay our team and keep the lights on.
“Unfortunately, our backers are no longer in a position to provide us with the funding we need and with the coronavirus outbreak so fresh we were forced to take the painful decision to close our doors before we really had a chance to take off.”
She added: “It goes without saying that myself and the rest of the team at Lenny HQ are heartbroken about this. We have worked tirelessly to make the app what it is today and had bold plans for the future.
“While it’s a massive shame to be ending this chapter now, there’s a tonne of stuff we’re all really proud of and we learned so much.”