<ul><li>UK-based technology start-up Builder.ai collapsed after an internal investigation revealed potentially fraudulent sales practices, leading to a revision of 2024 sales to just a quarter of previous estimates.</li><li>Sales figures for 2023 were also restated significantly lower, from $180 million to around $45 million, causing lenders to declare a default and seize approximately $37 million from the company's accounts.</li><li>Builder.ai, which had raised over $500 million from investors including Microsoft and Qatar's wealth fund, faced challenges after its CEO requested more cash and subsequent due diligence revised revenue figures down to about $100 million.</li><li>An internal investigation found evidence of potential revenue inflation at Builder.ai through resellers, particularly in the Middle East, leading to concerns about the authenticity of sales figures and ultimately resulting in the company's announcement of going into administration.</li></ul>

Builder.ai Collapsed After Finding Sales ‘Inflated By 300 Percent’

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