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Selena Gomez’ Struggling Mental Health Startup Lays Off Nearly Two-Thirds Of Its Employees

  • Wondermind, a mental health startup co-founded by Selena Gomez and headed by CEO Mandy Teefey, laid off nine of its 15 employees in May 2025 in Austin, Texas.
  • The layoffs followed months of financial struggles beginning after Teefey became sole CEO in January 2023, with staff missing paychecks and losing health benefits due to delayed investor funding.
  • Wondermind had raised $5 million in 2022 but failed to close its Series B funding round, leading Teefey to take a loan against her home to cover employee wages and debts to vendors.
  • Employees received one missed paycheck and two weeks severance but freelancers and vendors still await hundreds of thousands owed, including roughly $60,000 to a PR firm, while Wondermind insists it has rectified payment issues.
  • Despite these setbacks, Wondermind plans to continue its mental health mission, with Teefey focusing on recovery and Gomez maintaining an innovation role amid her broader entertainment and business commitments.
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Page Six broke the news in on Sunday, May 11, 2025.
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