4 ms·

Seems like a last second deal. Doesn't inspire confidence. For context: https://news.ycombinator.com/item?id=42523061 https://news.ycombinator.com/item?id=42523

Seems like a last second deal. Doesn't inspire confidence. For context: https://news.ycombinator.com/item?id=42523061 https://news.ycombinator.com/item?id=42523061 And former CEO's post: https://x.com/ianwcrosby/status/1872724231999381790 https://x.com/ianwcrosby/status/1872724231999381790

cj 2y ago
It's very possible it has been a deal long time in the making. When you're in an acquisition process, the acquirer will often prey on your weaknesses to get a better deal. If Employer.com had already been in talks prior to the shutdown, then they already knew the financial condition, they may have surprised Bench with a dramatic decrease in the purchase price at the 11th hour in an effort to get a better deal knowing Bench's only other alternative would be to shut down. Maybe Bench called their bluff, called off the deal and shut down. (The only rational reason to do that would be if they think they could successfully sue the acquirer or get the original deal back on the table) Pure speculation, but typically acquisitions take many months to come together. Even a firesale acquisition doesn't happen in a week.
- benatkin 2y ago
  This might not even be worthy of being called a firesale acquisition. It might just be selling the customer contracts locked in with Capchase.
- pbreit 2y ago
  Lousy behavior all the way around. And with SMB accounting on the last days of the year.
  - lazide 2y ago
    Yup. Though also, the time of maximum leverage probably?
- weisser 2y ago
  > It's very possible it has been a deal long time in the making. No. From the acquirer: “It fits our product roadmap. It was super serendipitous…I saw that news. I was like, ‘This is perfect.’ It checks a lot of boxes for us. It was just a really good synergistic opportunity, so we went for it.” https://multitudes.weisser.io/p/how-employercom-acquired-bench-accounting https://multitudes.weisser.io/p/how-employercom-acquired-ben...
ksec 2y ago
Now with a list of Board of Directors https://x.com/amasad/status/1873018020895047744 https://x.com/amasad/status/1873018020895047744
- lotsofpulp 2y ago
  The lust for a simple good guy vs bad guy narrative is insatiable.
  - lazide 2y ago
    People are spoiling for a fight. You can’t fight against a vague idea. You can’t fight against something which you’re complicit in. You can’t fight against ‘the good guys’ without being a ‘bad guy’. So eventually, either we stop spoiling for a fight…. Or someone gives us this kind of fight.

cj 2y ago

It's very possible it has been a deal long time in the making. When you're in an acquisition process, the acquirer will often prey on your weaknesses to get a better deal. If Employer.com had already been in talks prior to the shutdown, then they already knew the financial condition, they may have surprised Bench with a dramatic decrease in the purchase price at the 11th hour in an effort to get a better deal knowing Bench's only other alternative would be to shut down. Maybe Bench called their bluff, called off the deal and shut down. (The only rational reason to do that would be if they think they could successfully sue the acquirer or get the original deal back on the table) Pure speculation, but typically acquisitions take many months to come together. Even a firesale acquisition doesn't happen in a week.

benatkin 2y ago
This might not even be worthy of being called a firesale acquisition. It might just be selling the customer contracts locked in with Capchase.
pbreit 2y ago
Lousy behavior all the way around. And with SMB accounting on the last days of the year.
- lazide 2y ago
  Yup. Though also, the time of maximum leverage probably?
weisser 2y ago
> It's very possible it has been a deal long time in the making. No. From the acquirer: “It fits our product roadmap. It was super serendipitous…I saw that news. I was like, ‘This is perfect.’ It checks a lot of boxes for us. It was just a really good synergistic opportunity, so we went for it.” https://multitudes.weisser.io/p/how-employercom-acquired-bench-accounting https://multitudes.weisser.io/p/how-employercom-acquired-ben...

ksec 2y ago

Now with a list of Board of Directors https://x.com/amasad/status/1873018020895047744 https://x.com/amasad/status/1873018020895047744

lotsofpulp 2y ago
The lust for a simple good guy vs bad guy narrative is insatiable.
- lazide 2y ago
  People are spoiling for a fight. You can’t fight against a vague idea. You can’t fight against something which you’re complicit in. You can’t fight against ‘the good guys’ without being a ‘bad guy’. So eventually, either we stop spoiling for a fight…. Or someone gives us this kind of fight.