Square, the financial services company, which is based in California, saw a sharp fall in its share prices after the CFO of Square, Sarah Friar announced her decision to step down from the post and get to becoming the CEO of Nextdoor, a private social networking site. This was announced bt Square’s CEO, Jack Dorsey.
A while back, Dorsey issued a statement which stated that “Friar steered the people at Square through an IPO and helped in building a growing ecosystem of businesses that would scale into the future. Friar would be leaving us having by having established a culture of entrepreneurship and discipline across the entire company. She has been an amazing leader, partner, and friend, and we are all grateful for all the work she has done for Square.”
Post this, Nextdoor released its own official statement about Friar and added that Friar would assume the position of CEO in December. Co-founder and outgoing CEO of Nextdoor, Nirav Tolia, during a statement, said- “Sarah is one of the most highly regarded executives in the Silicon Valley with an exceptionally rare mix of proven business skills, and authentic heart and soul. . . From the very beginning of our search for the position of CEO, Friar has been the top choice, and the board of directors and I feel extremely fortunate and excited for her to head and lead Nextdoor in the direction ahead.”
Friar is often described as Dorsey’s right-hand woman at Square. Friar grew up in the Northern part of Ireland, and her father was a farmer. She was the first in her family to go to a university, and study engineering at the prestigious Oxford University. After graduation, she joined McKinsey as a business analyst in London, then in Johannesburg. Later on, she moved to California in 1998 to take up an MBA at Stanford University. Further, she went on to spend a decade with Goldman Sachs in Silicon Valley, and her position before leaving the company was that of a managing director. She joined Salesforce as an SVP and then joined Square in 2012. In addition to this, she sits on the boards of 2 powerful companies- Slack and Walmart.
This seems like a smart move by Nextdoor, which is considered to be one of the fastest growing private social networks which work around neighborhoods. Three months prior to this, Tolia announced that he plans to step aside from the position of the CEO once the right person to take Nextdoor to the next level has been found.”
At that point in time, Tolia, in an email, told the employees of Nextdoor that the role of CEO will have to evolve similarly in the way the company evolves. He also added that would remain as the company’s board chairman further.
Nextdoor has raised $285 million from investors since its inception, 8 years ago. Their investors include Insight Venture Partners, Benchmark, Shasta Ventures, Tiger Global Management and Kleiner Perkins. The company might need to generate more revenue before it goes public.