In another strategic move, Employer.com has acquired MainStreet.com, a fintech startup focused on helping startups claim R&D tax credits. The acquisition amount remains undisclosed, but it’s the latest sign of Employer.com’s aggressive growth strategy in workforce and business back office management.
MainStreet, based in San Jose and founded in 2019, had early success by helping clients save an average of $51,000 and reaching $15 million in revenue in 2021. As a result of market turbulence, the company lost 30% of its staff by 2022, and its value dropped to $200 million from $500 million.
The 15-person MainStreet team will join Employer.com, which now employs around 500 people. According to co-founder Jesse Tinsley, this deal boosts Employer.com’s valuation to over $700 million.
Previously, Employer.com also acquired Bench, a struggling accounting startup, and had shown interest in acquiring Level and even TikTok. These moves align with its vision to build a complete G Suite-style back office automation platform for businesses.
Stay tuned to Jeffkom Story for more startup acquisition news and fintech updates.
