Bench, the VC-backed accounting startup that left hundreds of consumers locked out of their accounts after it instantly shut down final week, shall be acquired by Employer.com for an undisclosed worth in a last-minute deal, TechCrunch has completely realized.
The San Francisco-based HR tech firm Employer.com focuses on payroll and onboarding, in distinction to Bench, which focuses on accounting and tax. Employer.com’s chief advertising officer Matt Charney informed TechCrunch the corporate will revive Bench’s platform and supply directions for patrons to log in and acquire their knowledge.
Clients shall be given the selection to port their knowledge or hold their service below new possession, Charney informed TechCrunch. Bench’s earlier suggestion to file for a six-month extension with the Inside Income Service to search for a brand new bookkeeper is not wanted if prospects resolve to remain on, Employer.com confirmed.
Bench’s web site, which continues to be offline on the time of writing, beforehand touted greater than 35,000 “American small enterprise house owners” on its platform, in line with an archived copy. (Submit-publication, Employer.com informed TechCrunch that Bench has roughly 12,000 prospects.) Bench’s web site presently reads: “Extra data on learn how to proceed your providers shall be obtainable quickly.” The startup’s abrupt shutdown on Friday triggered chaos, with prospects discovering themselves locked out of their accounts proper as tax season is about to start, and emails from TechCrunch to Bench workers bouncing again.
TechCrunch confirmed the acquisition with a Bench board member. Neither Bench nor Employer.com would touch upon the acquisition worth.
Employer.com is a brand new firm: Its CEO, Jesse Tinsley, introduced his acquisition of the area title in November for about $450,000. Tinsley is behind a number of HR, onboarding, and recruiting-related companies, together with Recruiter.com and BountyJobs. In a submit on December 11, Tinsley stated that the corporate is “nonetheless buying corporations” within the HR area. Employer.com shouldn’t be VC-backed and is completely self-funded, Charney informed TechCrunch.
In a press release saying the acquisition, Employer.com stated Bench prospects can count on to proceed “working with the identical professional in-house bookkeepers they know and belief.”
“This acquisition ensures that Bench prospects can proceed counting on the identical high-quality service they’ve all the time obtained, whereas additionally opening the door to future enhancements and capabilities powered by Employer.com’s in depth sources,” Employer.com’s assertion stated.
Which may be tough in apply. Bench employed greater than 600 folks, in line with its web site, a few of whom posted on LinkedIn after the shutdown discover that they have been now searching for work. Bench is now beginning to name “many” — however not all — of its workers again to work to make sure continuity, Jennifer Bouyoukos, Bench’s chief folks officer, informed TechCrunch.
TechCrunch archived Bench’s authentic shutdown discover from December 27 under:
