Klarna specializes in buy-now-pay-later services, a popular type of cash advance that competes with credit cards and lets customers pay for goods and services in installments without paying interest.

It’s these types of companies that could have the most problems, as the company better keep growing quickly.  Let’s say it has $2 billion in 2022 revenues projected, that would put it at a 15x revenue valuation, which is not completely unreasonable in normal circumstances.

In these times, though, who knows what it will result in.  The company was previously valued at $46 billion just last year.

The Wall Street Journal: SoftBank-Backed Fintech Giant Klarna Looks for New Funds at Lower Valuation