REDWOOD CITY, CALIF. -Shutterfly announced that it has closed on a $10 million round of funding from initial investors Jim Clark, the company chairman, and Mohr Davidow Ventures, but it was not enough to halt a restructuring that cut 30 positions, or 25 percent of the current staff.
The company said that the funding will provide enough capital for the next four or five quarters as Shutterfly targets profitability. The positions cut were across the board and reduced the staff from 120 people down to 90.
In January, Shutterfly cut 25 positions throughout the company in an effort to better align its staffing needs with the changing market conditions. (See TWICE People on p. 6 for more on Shutterfly's management changes.)