Sara Routhier, Managing Editor of Features and Outreach, has professional experience as an educator, SEO specialist, and content marketer. She has over five years of experience in the insurance industry. As a researcher, data nerd, writer, and editor she strives to curate educational, enlightening articles that provide you with the must-know facts and best-kept secrets within the overwhelming worl...

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Joel Ohman is the CEO of a private equity-backed digital media company. He is a CERTIFIED FINANCIAL PLANNER™, author, angel investor, and serial entrepreneur who loves creating new things, whether books or businesses. He has also previously served as the founder and resident CFP® of a national insurance agency, Real Time Health Quotes. He also has an MBA from the University of South Florida. ...

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Reviewed by Joel Ohman
Founder, CFP®

UPDATED: Apr 19, 2012

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Fisker Automotive, the vehicle manufacturer that is responsible for creating the futuristic-looking Fisker Karma, is reported to have laid off dozens of employees who formerly worked at their automotive plant located in Delaware, reported the New York Times.

The layoffs occurred shortly after the U.S. Department of Energy (DOE) put a freeze on the company’s government-sponsored auto loans. The DOE has been the authority on determining eligibility for government auto loans meant to fund automotive companies’ endeavors to create energy efficient vehicles.

Fisker had originally been given $529 million in auto loans by the DOE, but those funds were frozen back in February after Fisker failed to meet certain deadlines that were included in the auto loan agreement.

The automotive company was only able to extract $193 million before the DOE froze the account. As a result of the frozen funds, California-based Fisker had to stop production in their Delaware manufacturing plant.

Since losing the government’s funding, Fisker has hired a new chief executive, Tom LaSorda, and has made a huge push to acquire funding through private investors.[[{“type”:”media”,”view_mode”:”media_large”,”fid”:”1357″,”attributes”:{“alt”:””,”class”:”media-image”,”height”:”320″,”style”:”padding-top: 10px; padding-right: 5px; padding-bottom: 5px; padding-left: 5px; margin-left: 5px; border-top-width: 0px; border-right-width: 0px; border-bottom-width: 0px; border-left-width: 0px; border-top-style: solid; border-right-style: solid; border-bottom-style: solid; border-left-style: solid; float: right; width: 350px; height: 233px; “,”typeof”:”foaf:Image”,”width”:”480″}}]]

“We want to make it very clear,” said Henrik Fisker, the company’s co-founder and chairman, according to the New York Times. “This car will be built and will be going into production.”

This week, the company disclosed in a Securities and Exchange Commission filing that it has successfully risen $392 million from private investors, bringing the company’s equity to more than $1 billion, as reported by the New York Times.

It’s also been reported that Fisker has again opened negotiations with the federal government in regards to unfreezing the DOE auto loans.

The Karma, which is a sporty electric hybrid, has gained the attention of car enthusiasts across the globe. Among its patrons are celebrities Leonardo DiCaprio, Justin Beiber, and Ashton Kutcher.

However, in March, Consumer Reports tried to test the Karma and found the $107,850 vehicle broke down with less than 200 miles on the odometer. The car reportedly flashed a warning light and completely disabled itself — inciting national embarrassment for the company.