Why Ula’s CEO walked away with $50m still in the bank

For a while, Ula looked like the next big Southeast Asian success story. The Indonesian B2B ecommerce platform raised more than US$140 million in under two years, backed by marquee investors like Tiger Global Management, Lightspeed, Peak XV, and Bezos Expeditions. It set out to revolutionize the country’s warung (roadside kiosk) economy, a massive but fragmented market.

Then came 2022. As global tech valuations collapsed and funding dried up, Ula co-founder and CEO Nipun Mehra realized the company’s survival was far from guaranteed.

Despite still having US$50 million in the bank, Ula faced a painful stretch of layoffs, stalled fundraising, and dwindling operations. By late 2023, the company shut its doors.

In his first in-depth conversation since the closure, Mehra joins the 60/40 Podcast to share what happened behind the scenes. His reflections go beyond one company’s rise and fall – they offer a candid look at the realities of building in Southeast Asia. Among his key takeaways:

• Cash is king. Valuations and revenue are nice, but free cash flow is the most important lifeline for any startup.
• Walking away can be winning. For founders, closing up shop isn’t always failure – sometimes, it’s the smartest decision.
• Have the courage to keep going. Founders can pick themselves up and try again, even after painful setbacks.

The story of Ula is a reminder that the founder’s journey is long and difficult, and that it’s shaped more by tough calls than flashy headlines.

And Mehra? He’s just kicked off his next chapter, which he announced exclusively on 60/40.

Check out the full episode on your favorite platform: YouTube | Spotify | Apple Podcasts.

Timestamps

00:00 – The single hardest thing to do as an entrepreneur 

01:35 – What’s happening in Indonesia’s startup scene

06:55 – Nipun’s own journey to founding Ula

09:05 – Why Ula set out to transform Indonesia’s warung economy

15:00 – Cracks appear: global downturn, local realities