Bench Shuts Down, Leaving Thousands of Businesses Affected: Employer.com Steps In
In a shocking move, Bench, the VC-backed accounting startup, shut down last week. This sudden decision left thousands of small business owners locked out of their accounts, causing chaos just before tax season. Over 12,000 active customers who relied on Bench for accounting and tax services were impacted.
However, in a twist, Employer.com, a San Francisco-based HR tech company, acquired Bench. This acquisition will restore access to the platform and allow customers to continue using the service under new ownership.
What Happened to Bench?
Bench offered an innovative blend of automated bookkeeping software and human accountants. Before its abrupt shutdown, Bench had over 35,000 small business customers. But as reports suggest, the number was reduced to about 12,000 active users when the company shut its doors.
The shutdown left many business owners scrambling, especially with tax season just around the corner. With no communication from Bench, customers found themselves locked out of their accounts, making it difficult to manage their finances. TechCrunch’s attempts to contact Bench employees were unsuccessful, further adding to the confusion.
For more information, read the full article on SR Techverse.
Employer.com Acquires Bench: What’s Next?
In a surprise move, Employer.com, known for its payroll and onboarding services, acquired Bench. This acquisition aims to bring Bench’s platform back online. According to Matt Charney, Employer.com’s Chief Marketing Officer, the company is working to restore access to the platform and provide clear instructions for users.
- Customers can either port their data to Employer.com or continue using Bench under new management.
- No need to file for a six-month extension with the IRS anymore to continue bookkeeping services.
Challenges Ahead for Employer.com and Bench’s Customers
While Employer.com is stepping in, challenges remain. Bench employed over 600 people, many of whom are now seeking new jobs. Employer.com has started reaching out to some of Bench’s former employees to ensure continuity of service.
Additionally, integrating Bench’s platform with Employer.com will be complex. Bench specialized in accounting, while Employer.com focuses on HR and payroll services.
The Impact on Small Businesses
The unexpected shutdown of Bench highlights the risks small businesses face when depending on third-party services for accounting. With tax season approaching, many small business owners are concerned whether Employer.com will maintain the same level of service they had with Bench.
For those impacted, Employer.com assures a smooth transition. Customers will continue working with trusted expert bookkeepers, offering some relief to thousands of business owners who need accurate financial records for their operations.
Conclusion: What’s Next for Bench Customers?
The acquisition of Bench by Employer.com gives hope to small business owners who were left stranded when Bench shut down. The full integration of the platform will take time, but Employer.com has committed to delivering quality service.
The next few months will be crucial. Small business owners who depended on Bench can now breathe easier knowing their services will continue under Employer.com. But they will be closely monitoring the integration process to ensure the platform meets their needs during tax season.
Image Credits:Bench
