Xero, a New Zealand cloud-based accounting platform that helps small businesses manage finances, invoicing, payroll, and payments, is acquiring Melio, a SMB bill pay platform, for $2.5 billion to strengthen its U.S. presence and integrate payments with accounting for small businesses. The deal targets a $29 billion addressable market and aims to streamline AP processes that still rely heavily on manual methods. Xero says combining forces with Melio will help millions of U.S. SMBs manage cash flow more efficiently on a single platform.
