Inova Payroll Inc. and Computerized Payroll Solutions (CPS) today announced that a final agreement has been executed to combine the two entities. The transaction was closed on May 1, 2012, and all clients and business partners have been properly notified. The terms of the transaction were not disclosed.
As a result of the merger, the combined company will become the largest Tennessee-based payroll service provider, processing payrolls and providing tax filing and other related services for nearly 800 corporations encompassing more than 25,000 client employees across the United States. The company’s 40-person team of payroll professionals will staff a network of four (4) field offices in Nashville, Chattanooga, Knoxville, and Atlanta. “I believe the strategic combination of Inova Payroll and CPS positions us as a major player in the payroll industry,” said Farsheed Ferdowsi, President and Chief Executive Officer of Inova Payroll. “We will be well equipped to provide our clients and business alliance partners with a broader suite of products and services, which will enable us to accelerate our growth while maintaining our standards in high-touch customer service.”
Commenting on the business combination, Sean McDaniel, CPS’s Chief Operating Officer said, “We are all very excited about this new phase in the growth and development of our company. I look forward to working with an industry veteran like Farsheed and Inova Payroll’s knowledgeable and talented management team to continue making Inova Payroll a highly respected and well-known brand in the payroll service industry.”
Jordan Rush, Vice President of Sales and Marketing for CPS, added, “CPS’s reputation as a solid and reliable payroll service provider coupled with the wealth of experience from Inova Payroll’s executive team positions us favorably as we expand to penetrate new markets.”
CPS will retain its field offices in Chattanooga and Knoxville, Tennessee along with its sales office in Atlanta. “There shall be no changes in the personnel, technology platforms, or service offerings,” said Farsheed Ferdowsi. “Preserving a formula that has succeeded with an impressive track record of growth and customer satisfaction is simply, smart! And that’s my post-transaction strategy.”
Financing for the transaction was provided by a syndicate of investors that includes Tennessee Angel Fund, Chattanooga Renaissance Fund, NCN Angel Fund, and other individual investors. “This is a significant development that will advance Inova Payroll’s growth strategy,” said Sid Chambless, Executive Director of Nashville Capital Network. “We are very excited about the future of this important business combination.”
About Computerized Payroll Solutions: CPS has built a loyal customer base over the last 18 years. CPS offers a full suite of payroll, HR, and ancillary services with the highest commitment to customer care. Focused attention to client payroll needs has earned CPS the reputation as one of the premier payroll service providers in the region.