The article discusses the story of Bench, an accounting and bookkeeping service that was acquired by Employer.com after it went through a sudden fire sale. Here are the key points from the article:
Bench’s Downfall
- Bench had been struggling with financial difficulties and was facing significant challenges in its operations.
- The company’s CEO resigned, and its employees were suddenly let go without notice.
Acquisition by Employer.com
- Employer.com, a company that specializes in payroll, recruiting, and other HR-related services, acquired Bench for an undisclosed sum.
- The acquisition was completed over a holiday weekend, which is unusual for such deals.
- Employer.com claims that it will honor customer contracts and fully service their accounts.
Uncertainty and Concerns
- There are concerns about the sustainability of Benchmark’s business model, given its last-minute fire sale.
- Acquisitions typically take months to complete and require extensive due diligence, which was not possible in this case.
- Employer.com has no direct experience in accounting, which raises questions about whether it can provide the same level of service as Bench.
Future of Benchmark
- Some employees are being offered only 30-day contracts, which raises concerns about job security.
- It is unclear how many customers will stay with Benchmark and what kind of service they will receive.
- The acquisition has raised concerns about the long-term viability of Benchmark’s business model.
