Bento Africa, a Nigerian HR software company, is pausing transactions following the resignation of its CEO and co-founder, Ebun Okunbanjo. He announced his departure in an email to investors, revealing plans to start a new venture, Ada AI, an AI-powered sales assistant.
Okunbanjo’s resignation comes as the company faces allegations of failing to remit pay-as-you-earn (PAYE) deductions for some clients. Akintunde Sultan, co-founder of AltSchool, previously accused Bento of providing fake receipts for unremitted PAYE and pension deductions. The Lagos Inland Revenue Service (LIRS) has since launched an investigation into the company.
In his email, Okunbanjo admitted that Bento’s business model was not working.
“I started to confide in some of you early last year that our thesis was not working. We did change it to something more pared down, but it is time for me to journey on. If Africa adopts the Western style of taxation and remittances, these companies are gold mines,” he wrote.
This isn’t the first time Okunbanjo has stepped down. In 2022, he temporarily left the company following reports of a toxic work environment. According to his email, he also stepped aside briefly in 2024.
While the recent allegations may have accelerated his departure, Bento’s struggles highlight deeper management concerns. The company claims to have processed over $40 million in payroll since its inception, but its future now looks uncertain.
With Okunbanjo gone, Bento’s board will search for a new CEO. The company could also become an acquisition target for competitors. Although Nigeria has seen a rise in HR tech startups, the dominance of the informal sector limits the overall market size. This could push companies toward consolidation to survive.
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