Vancouver-based bookkeeping fintech company Bench has been acquired by Employer.com, a startup that specializes in human resources technology, just days after announcing its shutdown.
On December 27, Bench informed its 12,000 small business clients of its decision to cease operations. The company, which has secured over $100 million in funding and employed hundreds of professionals, did not provide specific reasons for the closure. However, sources from tech news outlet The Information suggest that a bank may have called in a venture debt loan, contributing to the firm’s abrupt exit from the market.
Remarkably, three days later, Employer.com announced its acquisition of Bench. In a statement, the company emphasized that this acquisition allows former Bench clients to continue benefiting from the high-quality services they are accustomed to, while paving the way for future enhancements fueled by Employer.com’s extensive resources.
Employer.com was founded by CEO Jesse Tinsley, who has a history of launching successful HR and recruitment businesses, including Recruiter.com and BountyJobs. Tinsley highlighted the strategic acquisition of the Employer.com domain for $450,000 in November and has expressed a clear intent to expand his portfolio through the acquisition of HR-related companies.
The addition of Bench significantly enriches Employer.com’s offerings, integrating essential accounting and tax services with its existing payroll and onboarding solutions. Tinsley stated, “While the challenges Bench recently faced were unexpected, we recognized an extraordinary opportunity to integrate their capabilities into our suite of solutions. By combining forces, we can create even more value for Bench’s loyal customers while extending the reach and impact of Employer.com’s offerings.”