Accounting Startup Bench Abruptly Closes, Stranding Thousands of Small Businesses
Bench, a well-funded accounting software startup, abruptly shuts down its platform and takes its entire website offline. The sudden closure leaves over 35,000 customers scrambling to recover essential tax and bookkeeping documents before a tight deadline.
Bench, a Canada-based accounting startup, abruptly shuts down its platform on December 27, 2024, leaving thousands of small and medium-sized businesses without access to their financial records. The company takes its entire website offline except for a brief notice, creating sudden chaos for the more than 35,000 U.S. customers it touted just hours before the closure.
The unexpected shutdown sparks outrage and panic among affected business owners who rely on the platform to store years of critical tax reporting and bookkeeping documents. Many users, including those who recently migrated from competitors like QuickBooks, express deep frustration on social media as they face immediate disruption to their financial operations.
Bench advises its stranded customers to file a six-month extension with the IRS and promises that users will be able to download their data by December 30, with a final deadline of March 2025. The failing company notably directs its former users to Kick, a newer accounting startup that raises a $9 million seed round in October and quickly steps in to offer migration support.