Bill.com to acquire mobile-first AR leader Invoice2go for $625 mn

By Pavithra R

Bill.com, a leading provider of cloud-based software that simplifies, digitizes, and automates complex, back-office financial operations for small and midsize businesses (SMBs) has announced signing a definitive agreement to acquire Invoice2go in a stock and cash transaction valued at approximately $625 mn.

Founded in 2002, Invoice2go is a leading, mobile-first accounts receivable (AR) software provider that empowers SMBs and freelancers to grow their client base, manage invoicing and payments, build their brand, and more. With offices in Sydney, Australia and Palo Alto, California, Invoice2go serves a large global customer base of small businesses.

“We are investing to accelerate the adoption of our accounts receivable offering. The acquisition of Invoice2go will bring a leading product and a very talented team to Bill.com. It supports our strategy to invest in our platform to be a one-stop shop solution for businesses to transform their financial operations, make and receive payments, and manage their cash flow. Invoice2go’s international team and customer base will enable us to serve more businesses around the globe,” said René Lacerte, Bill.com CEO and Founder.

The acquisition is expected to enhance Bill.com’s current AR offering and supports Bill.com’s mission to make it simple to connect and do business. Invoice2go’s AR solution makes it easy for businesses to engage and interact with their customers, generate professional invoices, and simplify their AR operations through mobile and desktop solutions. Combined with Bill.com’s platform and payments expertise, the acquisition marks a significant opportunity to help businesses get paid faster and more conveniently with electronic payments.

“Most small business transactions today are made with paper checks. Yet we know from our customers that there is strong momentum to digitally transform and adopt e-payments. Our payments expertise and go-to-market capabilities combined with Invoice2go’s product capabilities can make it even easier for businesses to get paid quickly and electronically. Between Bill.com and Invoice2go, there are billions of dollars of invoices being sent annually that can be enabled for electronic payments,” added Mr. Lacerte.

“We are thrilled to join forces with Bill.com. Combining Bill.com’s market-leading payments platform and broad market reach with Invoice2go’s deep AR expertise provides a unique opportunity to offer SMBs and freelancers a powerful platform to streamline their day-to-day financial operations and control their cash flow. I am equally excited for employees of both organizations who share a culture that prioritizes delivering innovation and exceptional customer value for all small business owners,” said Mark Lenhard, CEO of Invoice2go.

The transaction has been approved by the Boards of Directors of both Invoice2go and Bill.com, and is expected to close by the end of the year. Recently, Bill.com acquired spend management leader Divvy for $2.5 bn.