Earlier this morning, nCino Chairman & Chief Executive Officer Pierre Naudé sent the following email to all nCino employees.
As we have discussed with you over the past several quarters, the market we operate in has been changing significantly, with mortgage rates rising faster than at any time in memory, macroeconomic and geopolitical challenges in Europe, and a slowdown in the broader economy.
We’ve built nCino in such a way that we are agile and adaptive to changing market conditions, which is why I am confident in our potential for long-term success. In the short-term, however, as we announced on our Q3 earnings call, we are taking action to change from a pure growth company to a best-in-class profitable growth company.
Today, as part of these actions, I am announcing a decision that has required significant thought and analysis across the Executive Leadership Team (ELT) and our Board of Directors. While difficult to share, I am announcing that we will be reducing the size of our nCino team by approximately 7%.
If you know me, you know I care deeply about our team members, and I speak for the entire ELT when I say this is one of the hardest decisions we’ve made to date.
My goal in this message is to provide insight into this decision and explain next steps. For awareness, we will be filing this communication publicly in our Newsroom after the market closes today.
What can those departing expect?
If you are among those impacted, you will be sent a notification email within the next 15 minutes with meeting details for a conversation today with a leader from your department.
Those impacted will be provided a comprehensive severance package, which includes: 1) a minimum of 12 weeks of severance pay, 2) fiscal 2023 bonus eligibility, 3) 12 weeks of career support, and 4) health benefits for the defined severance period for US based employees and a lump sum payment for non-US based employees. Additionally, we will accelerate equity vesting such that any equity grants scheduled to vest on or before August 1, 2023, will be fully vested. Additional details will be discussed directly with impacted employees.
Counselors will be onsite at the Wilmington Headquarters and virtually at the Salt Lake City locations on January 18 and 19. Employees at all locations may also schedule time with a counselor as needed 24/7 through our Global Employee Assistance Program.
Given the macro environment, we must continue to grow with purpose. That means growing into the investments and commitments we have already made over the years – across sales, products, customer success and support, and geographies. Yes, there will be challenges, but more importantly, there are exciting opportunities ahead. At nCino, we embrace the idea of being on a rocket ship. I still firmly believe in our trajectory and expect that these changes, while difficult, will set us up for long-term success.
With all that said, today is a sad day for everyone as we say goodbye to a number of talented colleagues who have worked hard and made a positive impact on nCino. I ask that you support one another as we wish our impacted colleagues the very best.
Chairman & Chief Executive Officer