Canadian Fintech Bench had over $65 million in debt but less than $3 million in cash, documents reveal. © 2024 TechCrunch. All rights reserved. For personal use only.
This article reveals that failed fintech startup Bench accumulated over $65 million in debt, leading to its sudden shutdown.
The main conceptual idea is the severe financial mismanagement that ultimately led to Bench's collapse. The startup had a significant outstanding balance to its primary lender, National Bank of Canada, much of which was unsecured. Additionally, Bench owed substantial sums to its venture capitalist investors, further exacerbating its financial crisis. This combination of high debt, primarily unsecured, created an unsustainable situation that ultimately resulted in bankruptcy.
This article reveals that failed fintech startup Bench accumulated over $65 million in debt, leading to its sudden shutdown. The main conceptual idea is the severe financial mismanagement that ultimately led to Bench's collapse. The startup had a significant outstanding balance to its primary lender, National Bank of Canada, much of which was unsecured. Additionally, Bench owed substantial sums to its venture capitalist investors, further exacerbating its financial crisis. This combination of high debt, primarily unsecured, created an unsustainable situation that ultimately resulted in bankruptcy.
