The $4.5 billion startup Zenefits has lost half of its value after missing sales goals

Zenefits Parker Conrad ZenefitsZenefits co-founder and CEO Parker Conrad

It took less than two years for Zenefits to become one of the hottest startups in Silicon Valley, raising more than $US500 million at a $US4.5 billion valuation.

But a new report by The Wall Street Journal’s Rolfe Winkler suggests the company may be failing to reach its sales goals and lofty expectations — leading investors to mark down the value of the company by nearly half to $US2.34 billion in September.

The report says Zenefits is also on a hiring freeze, after growing its headcount from roughly 500 to 1,640 in a single year. It’s also allegedly cut pay of some of its employees, which led at least 8 executives to leave the company.

Read the full report here>>

NOW WATCH: Why ‘5+5+5=15’ is wrong under Common Core

Business Insider Emails & Alerts

Site highlights each day to your inbox.

Follow Business Insider Australia on Facebook, Twitter, LinkedIn, and Instagram.