The news: Three companies announced new solutions that streamline payments for small and medium-sized businesses (SMBs), focusing on cash flow and invoice automation.
The opportunity: SMBs are a huge market opportunity, which is pushing payment providers to zero in on them and solve their pain points.
Four in 10 US SMB decision-makers feel their payable and receivable technology needs updating, per an October 2021 Bill.com survey conducted by Wakefield Research. Offering better solutions that tackle cash-flow pain points can help providers tap into the considerable demand for these types of products: Digital B2B payments are on the rise, and cards in particular will grow 8.3% this year, per our forecasts.
What’s next? Other providers are likely to follow suit with solutions that improve cash flow related to B2B payments.
Broadly, SMB payment players are building all-in-one ecosystems that let their clients access payments, value-added services, and other tools. Tools like these are prime candidates for integration into those ecosystems, so we’ll likely see forward momentum in the space this year. That should result in not only innovations from industry titans but also partnerships with fintechs—like the integrations that Plastiq announced.
Coming soon: Keep an eye out for our upcoming report on SMB Payment Disruptors, which focuses on how providers can best serve their small-business clients in the current ecosystem.