Melio, a leading accounts payable and receivable platform for small and medium-sized businesses (SMEs), has raised $150 million in a Series E funding round, bringing its valuation to $2 billion. The funding was led by Fiserv, with participation from Shopify Ventures, Capital One Ventures, Accel, Bessemer, Coatue, Frontline Ventures, General Catalyst, Latitude, and Thrive Capital. This capital injection will support Melio’s expansion efforts and boost its strategic partnerships across the financial sector.
Simplified Cash Flow for SMEs
Melio empowers SMEs by streamlining their payment workflows, simplifying cash flow management, and enhancing operational efficiency. Integrating seamlessly with financial institutions, e-commerce platforms, SaaS providers, and marketplaces, Melio enables small businesses to manage their accounts payable and receivable processes with ease, reducing time spent on manual processes.
Since 2023, Fiserv and Melio have partnered to integrate Melio’s accounts payable and receivable workflows with Fiserv’s comprehensive payment capabilities, giving rise to CashFlow CentralSM. This solution is now available to over 3,500 financial institution clients, helping SMEs address essential payment operations and manage cash flow more effectively.
Real-Time Payments Drive Flexibility
In 2023, Melio launched real-time payments to improve cash retention and payment timing. This new feature allows instant fund transfers from payors to vendors, giving businesses more control over cash flow while ensuring timely payments even at the last minute. Melio representatives noted that while real-time payments have long benefited consumers, small businesses and their vendors can now leverage this advanced payment technology.
“Through our partnership with Melio, CashFlow Central is designed to create significant value for financial institutions and their business clients or members,” John Gibbons, head of the Financial Institutions Group at Fiserv, said in a statement. “We are excited to leverage our unique position at the intersection of financial institutions and businesses to deliver a comprehensive, integrated experience that enables our clients to compete and grow their portfolios with this important segment of their communities.”
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