Enlarge / Rendering of an individual crew quarter within the Axiom habitat module. (credit: Axiom Space)

Axiom Space is facing significant financial headwinds as the company attempts to deliver on two key commercial programs for NASA—the development of a private space station in low-Earth orbit and spacesuits that could one day be worn by astronauts on the Moon.

Forbes reports that Axiom Space, which was founded by billionaire Kam Ghaffarian and NASA executive Mike Suffredini in 2016, has been struggling to raise money to keep its doors open and has had difficulties meeting its payroll dating back to at least early 2023. In addition, the Houston-based company has fallen behind on payments to key suppliers, including Thales Alenia Space for its space station and SpaceX for crewed launches.

"The lack of fresh capital has exacerbated long-standing financial challenges that have grown alongside Axiom’s payroll, which earlier this year was nearly 1,000 employees," the publication reports. "Sources familiar with the company’s operations told Forbes that co-founder and CEO Michael Suffredini, who spent 30 years at NASA, ran Axiom like a big government program instead of the resource-constrained startup it really was. His mandate to staff up to 800 workers by the end of 2022 led to mass hiring so detached from product development needs that new engineers often found themselves with nothing to do."