Melio, founded in mid-2018, is the latest VC-funded entrant in the payables space.


Money and cash flow are the lifeblood of a small business. And it's an area often overlooked by traditional online banking providers. So a number of companies have emerged during the past decade-plus to better serve SMB needs. Most providers operate on a dual revenue model which includes:
a.) monthly subscription fees to create predictable recurring revenue
b.) transaction fees to cover interchange and other variable processing costs.

We divided the payment providers into four categories:

  1. Charge card & expense management (see our list here)
  2. Bill payments and/or invoicing specialists (see below)
  3. Payment processors (here)
  4. Subscription management platforms (here)

Unlike other fintech areas, the majority of the large players in SMB payments launched in the first decade of the 21st century:

Years since founding:
15 to 22 years >>> 5 startups
10 to 14 years >>> 6 startups
5 to 9 years >>> 4 startups
1 to 4 years >>> 2 startups

NEW: Looking for digital banks, lenders, payment providers, insurance or digital accounting for small businesses? Check out our latest lists: SMB online lenders (33) | SMB challenger banks (12) | SMB insurers (15) | SMB charge cards/expense management (16) | Billpay & invoicing (17)| Payment processors (7) | Subscription processors (7) | SMB digital accounting/bookkeeping (21)

The FAB Score Ranking (Fintech Attention Barometer) is a proxy for the size of a private fintech company.


Top U.S. BillPay & Invoicing Startups (ranked by FAB score**)

Rank Was* Company FAB Score** Review Founded HQ Funding
***
Visits
(June 22)
1 1 Wave Payments (HR Block) 1485 5 Sep '22 2009 Toronto 80 7,400,000
2 2 Freshbooks 964 5 Sep '22 2003 Toronto 205 4,500,000
3 3 Bill.com 662 5 Sep '22 2006 SF 496 3,000,000
4 4 AvidExchange 490 5 Sep '22 2000 Charlotte, NC 1760 90,000
5 5 Tipalti 392 5 Sep '22 2010 SF 565 1,100,000
6 6 Melio 310 5 Sep '22 2018 NYC 504 530,000
7 7 Invoice2go (Bill.com) 256 5 Sep '22 2002 SF 60 1,300,000
8 8 Vcita 169 5 Sep '22 2010 Seattle 15 860,000
9 NEW Plastiq 108 5 Sep '22 2012 SF 142 455,000
10 10 Stampli 76 5 Sep '22 2015 SF 85 230,000
11 9 InvoiceNinja 69 5 Sep '22 2014 Hefa, Israel 0 350,000
12 NEW Autobooks 56 5 Sep '22 2015 Detroit 97.8 77,000
13 11 PaySimple 44 5 Sep '22 2006 Denver 145 160,000
14 12 Routable 36 5 Sep '22 2017 Seattle 46 84,000
15 NEW Onlinecheckwriter 19 5 Sep '22 2008 SF 2.7 130,000
16 NEW BillerGenie 17 5 Sep '22 2018 Miami 4.5 59,000
17 NEW Beanworks 15 5 Sep '22 2012 Vancouver 12 81,000

Source: FintechLabs, 13 Dec 2021 using data from Crunchbase, SimilarWeb, SEMrush

*Rank on 13 Dec 2021
**As nerds do, we are developing a proprietary score measuring the adoption of digital financial services at private companies that do not release traditional metrics (# customers, deposits, AUM, etc). We call it the FAB score, standing for Fintech Attention Barometer. The score uses money raised, valuation and website traffic as a proxy for company size and velocity of growth. It’s a work in progress, so expect changes down the road.
***Funding is the amount invested into the company as either equity or debt.


Challenger Billpay & Invoicing Suppliers in the United States


1. Wave (acquired by H&R Block)
FAB Score = 1,485
– HQ: Toronto
– Founded: 2009
– Raised $79.8M (Crunchbase)
– Exit: Acquired by H&R Block for US$400M in June 2019
– Website visits: 7.4M (June 2022; SimilarWeb)
– Employees: 350 (Pitchbook)
– Articles: 259 (Crunchbase)
– Linkedin:  13,000 followers (334 employees)
iOS rating: 4.5 (5,368 reviews)
– Rating: 4.4 ( 1,254 reviews per Software Advice).

2. Freshbooks
FAB Score = 964

– HQ: Toronto
– Founded: 2003
– Raised $306M including $131M in 2021 and $100M in 2022 (Crunchbase)
– Website visits: 4.5M (June 2022; SimilarWeb)
– Mobile downloads past 30 days: 41,000 (Crunchbase)
– Employees: 672 (Linkedin)
– Articles: 598 (Crunchbase)
– Linkedin: 84,800 followers (672 employees)
iOS rating: 4.7 (10,400 reviews)
SoftwareAdvice rating: 4.5 ( 3,800 reviews)

3. Bill.com (see also #7 Invoice2Go)
FAB Score = 662
– HQ: San Francisco Bay Area
– Founded: 2006
– Raised $496M including $216M in its Dec 2019 IPO (Crunchbase)
– Annual revenue (TTM): $642M (Yahoo)
– Market Cap: $17B (31 Aug 2022, NYSE:Bill)
– Website visits: 3.0M (June 2022; SimilarWeb)
– Employees: 2,270 (Pitchbook)
– Articles: 153 (Crunchbase)
– Linkedin: 33,400 followers (1,645 employees)
iOS rating: 4.9 (27,700 reviews)
Capterra: 4.1 (394 reviews)

4. AvidXchange
FAB Score = 490
– HQ: Charlotte, NC
– Founded: 2000
– Raised: $1.8B of which $660M was in 2021 (Crunchbase)
– Market cap: $1.6B (5 Sep 2022); NASDAQ: AVDX
– Annual revenue: $282M (TTM) (Yahoo)
– Website visits: 90,000 (June 2022; SimilarWeb)
– Employees: 1,600 (Pitchbook)
– Articles: 117 (Crunchbase)
– Linkedin:  33,400 followers (1,501 employees)
G2 review:  4.4 (145 reviews)

5. Tipalti
FAB Score = 392
– HQ: San Francisco
– Founded: 2010
– Raised $565M including $270M in 2021 (Crunchbase)
– Valuation: $8.3B (based on Dec 2021 round)
– Website visits: 1.1M (June 2022; SimilarWeb)
– Employees: 1,049 (Pitchbook)
– Articles: 175 (Crunchbase)
– Linkedin:  28,500 followers (1,052 employees)
– G2 rating: 4.4 (116 reviews)

6. Melio
FAB Score = 310
– HQ: NYC
– Founded: 2018
– Raised $504M including $360M in 2021 (Crunchbase)
– Website visits: 530,000 (June 2022; SimilarWeb)
– Employees: 597 employees (Pitchbook)
– Articles: 58 (Crunchbase)
– Linkedin: 18,700 followers (595 employess)
Capterra rating: 3.7 (140 reviews)

7. Invoice2Go (acquired by Bill.com)
FAB Score = 256
– HQ: San Francisco
– Founded: 2002
– Raised $60M prior to 2021 (Crunchbase)
– Exit: Acquired by Bill.com for $625M in July 2021
– Website visits: 1.3M (Nov 2021; SimilarWeb)
– Employees: 106 (Pitchbook)
– Articles: 91 (Crunchbase)
– Linkedin:  5,500 followers (74 employees)
iOS rating: 4.8 (33,500 reviews)
Capterra rating: 4.3 (208 reviews)

8. Vcita
FAB Score = 169
– HQ: Seattle area (Bellevue)
– Founded: 2010
– Raised $15M prior to 2021 (Crunchbase)
– Website visits: 860,000 (June 2022; SimilarWeb)
– Employees: 172 (Pitchbook)
– Articles: 20 (Crunchbase)
– Linkedin:  6,800 followers (172 employees)
iOS rating: 3.6 (86 reviews)
Software Advice rating: 4.5 (198 reviews)

10. Stampli
FAB Score = 76
– HQ: San Francisco Bay Area (Mountain View)
– Founded: 2015
– Raised $84.7M including $50M in 2021 (Crunchbase)
– Website visits: 230,000 (June 2022; SimilarWeb)
– Employees:  200 (Pitchbook)
– Articles: 30 (Crunchbase)
– Linkedin: 18,500 followers (199 employees)
G2 rating: 4.8 (414 reviews)

11. InvoiceNinja
FAB Score = 69
– HQ: Hefa, Israel
– Founded: 20114
– Raised Unknown (Crunchbase)
– Website visits: 350,000 (June 2022; SimilarWeb)
– Employees: 4 (Linkedin)
– Articles: 12 (Crunchbase)
– Linkedin: 288 followers (4 employees)
iOS rating: 4.5 (12 reviews)
Software Advice rating: 4.8 (133 reviews)

13. PaySimple (division of EverCommerce)
FAB Score = 44
– HQ: Denver, Colorado
– Founded: 2006
– Raised $145M prior to 2021 (Crunchbase)
– Website visits: 160,000 (June 2022; SimilarWeb)
– Employees: 2,200 at parent EverCommerce (Pitchbook)
– Articles: 42 (Crunchbase)
– Linkedin: 4,000 followers (89 employees)
iOS rating: 4.0 (1 review)
Capterra rating: 4.5 (289 reviews)

14. Routable
FAB Score = 36
– HQ: Seattle
– Founded: 2017
– Raised $46M including $30M in 2021 (Crunchbase)
– Website visits: 84,000 (June 2022; SimilarWeb)
– Employees: 164 (Pitchbook)
– Articles: 10 (Crunchbase)
– Linkedin: 8,200 followers (165 employees)
FeaturedCustomers rating: 4.8 (197 reviews)