Dubspot's CEO Steps Down After Student Complaints

The CEO of Dubspot announced that he is stepping down after dozens of students alleged that the New York DJ school failed to provide classes that students had paid for in advance. In an email sent to students and teachers for the organization seen by THUMP, Dan Giove apologized for letting down students and blamed expansion to its LA. location while undercapitalized as the reason for the school’s troubles.

“I write this letter to apologize,” Giove said in the email. “These past several months I have let you, our community, our staff, our partners and extended family down.”

Giove attributed the decision to expand Dubspot, which was founded in New York in 2006, to LA in 2014 as the main reason behind the company’s financial downturn. “To be blunt, and looking back on things, I now realize that Dubspot was undercapitalized and without enough infrastructure in place to open the new LA school.”

He said the expansion proved difficult to sustain and led him to make “some poor decisions.” Adding to the company’s woes, in June 2016, their flagship building on 14th Street in Downtown Manhattan was sold by its owner and left Giove scrambling to find a new location. “After almost a year of struggling, we weren’t able to afford the rent, even after many attempts to negotiate with our landlords.”

In the email, Giove also cited personal reasons as contributing to the lack of communication that many students and staff members complained about. “I have not been the person that I know myself to be and have been trying to get both my physical and mental health in order.” Giove acknowledged his unresponsiveness in addressing issues with the school on emails, calls, text messages, and social media. “For this, and for anything else I have done to disappoint you, I am truly sorry,” he said.

In the email Giove also outlined the company’s plans moving forward, including the creation of an interim director, whom he said would be announced soon. According to the statement, Giove will now be assisting in a support role and focused on making sure all students are either refunded or continue online courses. He also described some steps the company has already taken to correct the missteps.

“Over the past several months, I have been doing everything I can think of to save the company and make things right,” he said. “Contrary to some reports, we stopped taking registrations for NYC and LA Mid-March once we realized there was no way to survive in the physical locations.”

“We have issued many refunds over the last few months and will continue to do so,” Giove continued.

Giove added that he has found silent investors “to help turn things around and return Dubspot to the successful business it once was.” He said that online courses are now operating as usual and that there is a small staff in place “dedicated to insuring that each and every student who has paid for classes will receive one on one consultations in order to best fulfill the classes that were paid for.”

Dubspot is also looking for a new studio space in New York, according to Giove. No date was given but he said that live classes will be resuming.

Read the full text of his statement below:

I write this letter today to apologize. These past several months I have let you, our community, our staff, our partners and extended family down. I have not been the person that I know myself to be and have been trying to get both my physical and mental health in order. I have been unresponsive to emails, calls, text messages, and social media. For this, and for anything else I have done to disappoint you, I am truly sorry. When I started Dubspot 11 years ago, I had a vision of building a place where I could learn to create music while at the same time being around like-minded individuals who were also trying to do the same. I never could have imagined the worldwide success that Dubspot would become over the years that followed. We have had so many happy students since 2006 who have realized their dreams and I am sorry this wasn’t the case for many of you.

There are times when companies go through tremendous challenges and misfortunes. That time began for us about 3 years ago when I decided to open Dubspot LA. To be blunt, and looking back on things, I now realize that Dubspot was undercapitalized and without enough infrastructure in place to open the new LA school. From that point on, I have had a very difficult time sustaining and at the same time I have made some poor decisions. More recently, in June of last year, we were kicked out of our home on 14th street because the building was sold. We tried to move as quickly as possible to find our new space and did so. But after almost a year of struggling, we weren’t able to afford the rent, even after many attempts to negotiate with our landlords.

Over the past several months, I have been doing everything I can think of to save the company and make things right. Contrary to some reports, we stopped taking registrations for NYC and LA Mid-March once we realized there was no way to survive in the physical locations. We have issued many refunds over the last few months and will continue to do so. Fortunately, I have found silent investors to help turn things around and return Dubspot to the successful business it once was. To that end, the core teachers of Dubspot have all agreed to a going forward financial arrangement and our online courses are now operating as usual. We have a small active staff committed to answering the phones, responding to emails, live chat on our website and we are dedicated to insuring that each and every student who has paid for classes will receive one on one consultations in order to best fulfill the classes that were paid for. We are also actively restructuring and looking for new studio space so that in addition to our online presence, those of you that want to come to live classes will be able to do so.

I have been asked by my investors to formally step down from CEO of Dubspot for the foreseeable future to focus on my health and the birth my son. I will be assisting in a support role and will focused on making sure all students are either refunded or continue online. In the next few weeks, we will be announcing the new interim Director of Dubspot. Please stay tuned in the coming days for very important upcoming announcements about Dubspot and our students. In the meantime, please email us at support@dubspot.com, or call us at 1-855-9-DUBSPOT, so we can address any other questions or concerns. Or please email me directly here.

Thank You,

Dan

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