Home Improvement platform Houzz is moving towards going public, so it is making cutbacks to to make sure the change goes smoothly.
According to TechCrunch, which originally reported the story, Houzz has already laid off 110 people in the U.K. and Germany. Up to 7o staffers have been laid off in the U.S. The combined cuts account for 10% of Houzz’s 1,000 staff. Houzz did not confirm what department the cuts came from. Houzz confirmed they were hiring new staffers, but would not specify where the new hires originated.
A spokesperson told TechCrunch that an entire international department at the platform could be eliminated.
Houzz plans to get profitable before it files its initial public offering. It already has a valuation of $4 billion, more than making it an attractive buy for investors.
If it launches an IPO this year, it will join Airbnb, Lyft, Uber and Pinterest as startups that have hit unicorn ($1 billion plus valuation) status and plan to go public.