Indonesia dealbook: Bornevia to shut shop, Wujudkan to close March end

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Indonesia’s digital customer service platform, Bornevia announced that it is going to shut down its software service by end of April 2017. Meanwhile Indonesia’s crowdfunding platform for creative projects, Wujudkan is also closing its business by March 31st 2017 according to media reports.

Bornevia to shut operations

According to media reports, Bornevia’s management have told their customers, that the decision to liquidise the company’s assets was the main reason behind the shutdown. They did not provide more details on the reason behind investors decision to do so. The company is also offering different options for their paying customers viz, moving to a US-based digital customers service platfiorm Zendesk, or exporting and migrating data to other platforms. The startup also stated that it will refund all annual subscribers’ money on pro rata basis, and it will only charge monthly subscribers until April. Some reports also indicate that at the core of the company’s struggles were differences between the co-founders.

Willson Cuaca of East Ventures confirms the development of closure with  DealStreetAsia, saying that, ” Since the company traction was not good, the management has decided to do so. The important thing is that we are focussed to stop the operations, minimise the business impact of our clients and help the staff move to new jobs. This is just a normal procedure to close down the company. We are likely to witness more such shut downs in future”. East Ventures was among the pre series A investors in Bornevia.

Bornevia is a web based platform that helps companies with their online customer support challenges. It was also called ‘ a helpdesk start up’ by many.The start up was founded in 2014, by Benny Tjia and Tjiu Suryanto. The company named brands such as Morinaga, Datsun, and fellow Indonesian startups  like Bridestory as their clients.It has raised an undisclosed pre-series A investment from East Ventures and Beenos Partners in january 2015. In 2015, the company had claimed to service 1100 companies, over 60 countries, but din’t disclose how many were paying users.

Wujudkan shutdown

Indonesia’s crowdfunding platform, Wujudkan, is going to close its business by end of March.According to media reports, the company’s inability to generate income through different campaigns is the main reason for the management to take this step.

“The number of campaigns that have successfully secured funding never reached more than 12 per cent. It’s too small a number for us since Wujudkan is not a funding agency.It is a business entity. It’s important number because the operational costs are too much to bear, Founder and CEO, Mandy Marahumun wrote in an official statement on the platform’s blog.

While March 31st is its last day, the platform is not taking any new campaigns from February 1, according to the announcement.

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