Selena Gomez‘s billionaire status is becoming a topic of conversation after her mother Mandy Teefy’s mental health foundation, Wondermind, is speculated to be under a cash crunch. “Is Selena Gomez a billionaire?” searches began trending amid reports that the startup is facing a financial crisis. According to Forbes’ exclusive report, the company is falling behind on paying its employees. It was also reported that Teefey had taken out a loan against her home to pay the outstanding debts. Meanwhile, a source clarified to PEOPLE that it wasn’t true before stating more details about the startup’s financial setback.
Selena Gomez’s mental health foundation, Wondermind, reportedly ran out of cash
On May 10, Forbes reported that Wondermind, a mental health startup co-founded by Selena Gomez and her mother Mandy Teefy, is facing a cash crunch crisis. The LA-based company is supposedly facing a major financial issue, as it has been unable to pay its employees their salaries since late March. The report further stated that the CEO, Teefy, told the employees last week that she had taken out a loan against her home to solve the cash crisis.
According to the outlet, the foundation repaid employees for one unpaid salary. However, it has yet to settle for the second month. Amid the crisis, a Wondermind spokesperson told Forbes that the foundation has “rectified” the situation. In a statement, they revealed that the company “has been working through its own set of growing pains.” The spokesperson also assured of fulfilling the salaries of employees, vendors, and freelancers on May 12.
On the other hand, a source clarified the situation around Wondermind’s reported financial crisis. In an exclusive statement to PEOPLE, the insider dismissed reports that Teefy took a loan against her home to pay back the debts. The source revealed that Gomez has contributed significantly to the foundation over the years, given that the mother and daughter share a mutual interest in mental health.
The source noted that Gomez quickly took note of Wondermind’s financial constraints. The singer also “immediately invested more money as she’s not involved in the day-to-day operations.” The insider also clarified that Teefy has taken out a personal loan to “invest in the future of the company.” The mother-daughter duo founded the start-up in 2021. The following year, they secured $5 million in funding at a $100 million valuation.
On the other hand, in September, Selena Gomez’s net worth crossed the $1 billion mark. According to the Bloomberg Billionaires Index, it stands at $1.3 billion.
