After Blowing $40 Million, ReshaMandi Aims For A Comeback

Financial Turmoil

ReshaMandi faced financial turmoil in June 2023, offering employees unpaid work for three months amid cash crunch and revenue challenges.

Employee Struggles

Despite promises, salaries remained unpaid, and the workforce was reduced by nearly 85% by December 2023.

Transition to Genzr

Employees were asked to move to Genzr in Noida for back salary payments, with founders and key personnel also transitioning.

Genzr's Background

Genzr, previously an education company, pivoted to fibre and silk supply in March 2024, aligning with ReshaMandi's business model.

Financial Mismanagement

Employees reported revenue inflation and fake vendors. Rapid, poorly planned expansion contributed to ReshaMandi's downfall.

Loan Defaults and Legal Issues

ReshaMandi has debts and trade payables of INR 250-300 Cr, with multiple NCLT cases filed by lenders and vendors.

Inside The Upheaval At ReshaMandi: A Questionable ‘2nd Innings’ After A $40 Mn Collapse