Flywire has announced plans to acquire Invoiced, aiming to
strengthen its B2B payments division. This move is expected to enhance
Flywire’s software suite for its global clients and target market. Flywire
estimates this market to encompass around $10 trillion in global payment
volume.

Invoiced Integrates Major Systems

Invoiced offers a SaaS platform designed to automate
Accounts Receivable (A/R) processes. The platform handles invoice management,
payer communication, and payment reconciliation.

It integrates with major
accounting and ERP systems, such as Oracle’s NetSuite, Sage Intacct, and
Microsoft Business Dynamics. Invoiced’s diverse client base and recent
recognition as the top A/R automation software by G2 Crowd highlight its
successful track record.

Flywire intends to combine Invoiced’s A/R automation
capabilities with its own global payment network. This network supports various
payment methods in over 140 currencies across 240 countries and territories.
The merger is projected to deliver a comprehensive software and payments
solution, aiming to streamline finance department workflows.

We’re announcing some exciting news – Flywire has acquired @InvoicedApp! The addition of Invoiced augments Flywire’s #B2B payments solution with workflow automation software purpose-built for mid-market companies to streamline the entire A/R process. Learn more:… pic.twitter.com/hyIhFcQ6lI

— Flywire (@Flywire) August 6, 2024

Investment in A/R Rises

Investment in A/R solutions is growing as businesses seek to
improve financial operations and cash flow. Industry research estimates the
global A/R Automation market will increase from USD 3.3 billion in 2022 to USD
6.5 billion by 2027, with a compound annual growth rate of 14.2%.

This growth
reflects the importance of A/R solutions in boosting efficiency, reducing
errors, and supporting financial decisions. The need for compliance with tax
regulations and streamlined cross-border transactions further drives demand for
advanced invoicing solutions.

The acquisition aligns with Flywire’s strategy to enhance
its organic growth and expand its business lines. Flywire anticipates Invoiced
will contribute approximately $2 million in revenue with software-like gross
margins in FY 2024.

Despite Invoiced’s strong Adjusted EBITDA margins, Flywire
plans to reinvest most of these funds to support business growth. Further
details will be provided in the upcoming earnings call scheduled for August 6,
2024.

This article was written by Tareq Sikder at www.financemagnates.com.

—

— CONTENT NOT MODERATED BY G6

— Please be careful with this content. If you don’t think it should be here, please get in touch with us at [email protected]