Bento Africa failed to remit taxes and pensions for some of its Ghanaian clients, Techpoint Africa has learned. The startup, which has recently come under fire in Nigeria for failing to remit taxes and pensions for its clients in Nigeria, expanded to Ghana, Kenya, and Rwanda in 2021.
According to two sources familiar with the matter, its failure to remit these monies was a result of poor documentation and a high employee turnover rate.
“Bento, over the years, has failed to document information that clients give to them,” one source said.
“Clients are asked to provide employee tax numbers and salary details at registration, but months later, they are still being asked for the same information. This leads to delays, and in some cases, Bento collects the money but doesn’t file the taxes,” they added.
A former employee of a business that previously used Bento in Ghana told Techpoint Africa that they first discovered unremitted withholding tax, Social Security and National Insurance Trust (SSNIT) contributions and PAYE deductions in January 2023. They then contacted their account manager at Bento for a resolution.
However, frequent personnel changes at Bento made it tough to resolve the issue with former CEO Ebun Okubanjo stepping in at some point.
"Eventually, all the staff left, and then the MD/CEO came in. He assured me that I should send emails and he would respond. I sent emails upon emails, and Ebun did not mind me during this time. As I speak to you, we have withholding taxes and PAYE of more than GH₵ 12,000," they said.
About seven months of PAYE and pension contributions for this business went unpaid by Bento despite promises to do so.
Okubanjo did not provide any insights into the allegations when Techpoint Africa reached out for comments.
Written by Omoruyi Edoigiawerie, a seasoned startup attorney with over a decade of experience. Learn more.
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In Nigeria, Okubanjo has blamed Nigeria’s complex tax system, but these revelations suggest that much of its problems were self-inflicted.
Bento's failure to remit taxes and pensions in Ghana often led to penalties from Ghana's tax authority for the affected businesses.
Some clients, frustrated by repeated delays, lodged complaints, putting pressure on Bento to pay the fines. However, Bento’s internal financial struggles often made this difficult.
“I have seen cases where Bento had to pay penalties because they failed to remit taxes on time. But then, a few months later, there wouldn’t be enough funds to make future tax payments because of these penalties. The company would then delay filings again, leading to even more penalties; it’s a vicious cycle,” the former employee said.
Another major issue appears to be the company’s inability to retain employees. While Bento Ghana had less than 15 employees, it had a high turnover rate. These frequent departures combined with its poor documentation culture meant that new hires often struggled to access necessary data, further delaying tax filings.
“If you don’t have the right data, you can’t file the taxes. And if new employees keep coming in without proper handovers, tax deadlines will be missed. Clients would complain that Bento had taken their money but hadn’t filed their taxes, leading to penalties that Bento was not prepared to pay,” the employee explained.
Bento’s struggles in Ghana mirror its issues in Nigeria, raising questions about whether the startup’s expansion outpaced its ability to maintain operational efficiency.
With growing concerns from clients and investigations in at least one country of operation, Bento Africa faces an uphill battle to rebuild trust and stabilise its operations. Whether the company can address its systemic issues before further fallout remains to be seen.
