Combined Company Creates No-Fee B2B Digital Payment and Spend Powerhouse That Services Over 1 Million Businesses
Paystand, the global leader in blockchain-enabled B2B payments, today announced the acquisition of Teampay, an industry-leading spend management software. The transaction creates a B2B payments powerhouse whose continued goal is to revolutionize payments by expanding the largest, fastest, and most cost-efficient B2B payments network.
The acquisition marks the next step in Paystand’s trajectory towards building an industry-wide decentralized finance (DeFi) network, once considered a pipe dream, capable of connecting buyers and suppliers at scale. This milestone, in combination with partnerships with NetSuite, Sage, and Microsoft Dynamics 365 Business Central, as well as the acquisition of the payment platform Yaydoo in 2022, represents a culmination of multiple years of payment innovation. The company and platform have been recognized by Deloitte, Juniper Research, Inc. Magazine, and most recently the FT 500 List of Fastest Growing Companies in the Americas.
The combined Paystand platform empowers CFOs to drive profitable behaviors among employees, vendors, and customers. Paystand brings its blockchain-based smart payments platform that helps finance departments speed up time-to-cash, reduce DSO, automate AR, and eliminate transaction fees. Teampay brings the ability to automate AP and corporate expense controls, eliminating inefficiencies. The combined company will help CFOs see direct contributions to profitability with quicker revenue and greater payment savings.
The acquisition of Teampay comes at a time marked by stagnation in fintech activity. The overall tech industry laid off 191,000 workers last year and 32,500 so far this year, according to Crunchbase. Meanwhile, the best tech companies are growing market share and consolidating a broader set of services for their customers.
Paystand's network of more than 800,000 companies with $10 billion in transactions—more than 1% of total U.S. account-to-account business payments—will be expanded by Teampay's network of 250,000 companies, broadening the largest B2B payment network running on a commercial blockchain to more than 1 million business participants. The terms of the acquisition were not disclosed.
“In a quiet fintech climate, this acquisition arrives with a bang,” said Jeremy Almond, Paystand CEO. “This brings zero-fee blockchain payment technology further into the heart of the traditional finance technology stack. Paystand can leverage its blockchain infrastructure to enhance Teampay’s impressive expense and AP management capabilities. The results will be game-changing – a truly next-gen, smart B2B payment network at scale that transforms the office of the CFO and brings radically better economics to businesses.”
The transaction was facilitated, in part, with financing provided by Stifel Venture Banking. Josh Dorsey, Managing Director at Stifel, emphasized the expansive growth opportunities within the B2B fintech sector. "The integration of Teampay into the Paystand ecosystem presents a compelling narrative for businesses aiming to adopt digital-first financial tools that enhance capital efficiency," remarked Dorsey. "This acquisition represents a pivotal moment not only for Paystand and Teampay but also for the entire B2B payments industry. We are thrilled to support and be part of this transformative journey."
While the fintech sector has been a hot industry in prior years, many of those startups were still built on legacy bank services, which simply mask the antiquated payment infrastructure that burdens businesses with high fees, intermediaries, and delays. This unique combination of Paystand's strengths in payments and cash management with Teampay's industry-leading approach to expense and AP management will leverage the blockchain to sidestep existing payment rails.
“To realize our vision of a truly decentralized financial system, it is key that we not only are able to facilitate receiving payments but impact the payable side of those transactions as well,” said Almond. “In time, we are helping our users, and the industry as a whole, to lessen reliance on antiquated money movement methods.”
Paystand is now poised to offer businesses a comprehensive suite of solutions, offering a holistic approach that will streamline financial operations, optimize cash flow, and provide valuable insights to drive business growth to bottom-line profitability. The suite enables:
- Digital payments
- Cash management
- Expense management
- A/R automation
- AP management
- Smart lockbox services
- Direct deposit management
“We are well on our way to a DeFi revolution – and it’s already happening without you realizing it,” said Almond. “You’re already a participant because if you do business in the U.S., you have likely worked with a company that makes transactions on the Paystand/Teampay combined network.”
About Paystand
Paystand is on a mission to create an open commercial finance system, starting with a zero-fee network for B2B payments. Paystand is the largest B2B receivables, payables and payments network running on a commercial blockchain. The company makes it possible to digitize receivables, automate processing, reduce time-to-cash, eliminate transaction fees, and enable new revenue. The AR/AP solutions are designed for both U.S. and LATAM businesses of all sizes. For more information about Paystand, visit us at paystand.com. Follow our blog, and connect with us on Twitter and LinkedIn.
About Teampay
Teampay’s award-winning platform helps larger SMBs and middle-market businesses across industries manage expenses. By streamlining the purchase process across virtual and physical cards, invoices, and reimbursements, Teampay makes company spend easy for employees and finance teams alike. To learn more about the company, see www.teampay.co. For inquiries, please contact press@teampay.co.
View source version on businesswire.com: https://www.businesswire.com/news/home/20240425681206/en/
Contacts
Erica Zeidenberg
PR for Paystand
erica@hottomato.net
