Flywire Buys Invoiced to Improve B2B Payments and Software Solutions

Boston-based company Flywire has acquired Invoiced, a software platform from Texas, to strengthen its business-to-business (B2B) payments and software capabilities. Flywire specializes in handling global payments and offering software solutions to various industries. By acquiring Invoiced, which provides cash flow management tools through a Software-as-a-Service (SaaS) platform, Flywire aims to improve its services to businesses that need better financial management.

Integrations with Leading Systems

Invoiced’s solution is particularly effective because it can integrate with several well-known accounting systems and ERPs. These include Microsoft Dynamics, Sage Intacct, and Oracle NetSuite. By connecting with these popular platforms, Invoiced enables businesses to streamline their financial processes, reducing the time and effort needed to manage AR.

Flywire’s Strategic Acquisition

Recently, Flywire, a global payments company, announced its acquisition of Invoiced. While the specific financial terms of the deal have not been made public, Flywire is optimistic about the benefits it will bring. The company plans to build on Invoiced’s success in providing invoicing software to a wide range of clients across different industries and regions.

Flywire’s CEO, Mike Massaro, highlighted the strategic nature of this acquisition. He mentioned that adding Invoiced to Flywire’s portfolio would significantly accelerate the development of their products. Invoiced’s focus on Accounts Receivable software aligns well with Flywire’s strengths in global payment processing. This combination is expected to enhance the services Flywire offers to its clients.

Enhancing the B2B Payments Sector

One of the key advantages Flywire sees in acquiring Invoiced is the potential to merge its own global payments network with Invoiced’s AR solution. Flywire believes this merger will create a comprehensive software and payment solution that will simplify workflows for finance departments in B2B companies.

Flywire’s payments network is already a powerful tool in the global market, capable of processing payments in over 140 currencies and operating in 240 countries and territories. By combining this network with Invoiced’s AR software, Flywire aims to offer a more robust and efficient solution to its clients, particularly those in the B2B payments sector.

Financial Impact and Growth

Massaro also noted that Flywire actively seeks out mergers and acquisitions (M&A) that can enhance the company’s value proposition and strengthen its financial performance. The acquisition of Invoiced is expected to do just that, with Flywire anticipating that the deal will add approximately $2 million in revenue to its financial results for 2024. Moreover, this revenue is expected to come with high profit margins, similar to those typically seen in software companies.

Expanding Flywire’s Portfolio

The acquisition of Invoiced is part of Flywire’s broader strategy of expanding its portfolio through strategic acquisitions. Prior to acquiring Invoiced, Flywire had already made notable acquisitions in the education payments sector. These include WPM, a UK-based education payments company, and Cohort Go, an Australian paytech focused on international education. These acquisitions have helped Flywire expand its reach and diversify its offerings, and the addition of Invoiced is expected to further strengthen Flywire’s position in the market.

Conclusion

In summary, Flywire’s acquisition of Invoiced represents a strategic move to enhance its product offerings and expand its presence in the B2B payments sector. By integrating Invoiced’s AR software with its global payments network, Flywire aims to provide a more comprehensive solution for its clients, improving efficiency and streamlining financial processes. As Flywire continues to grow through strategic acquisitions, it is well-positioned to strengthen its value proposition and achieve greater financial success.