FINTECH

Melio Raises $250M To Fuel Expansion Of Its B2B Payments Platform And Forge New Partnerships, Tripling Valuation To $4B

Melio | September 15, 2021

Melio, a leading B2B payments platform for small businesses, today announced it has raised an additional $250 million, tripling the company's valuation to $4 billion since January 2021. The capital raised will accelerate the company's expansion through partnerships with leading financial institutions, software providers, and marketplaces interested in enabling B2B payments for their customers.

The Series D round, which comes as the company grew its monthly processing volumes by 5,000% over the last 18 months, was co-led by new investor Thrive Capital of New York, along with existing investor General Catalyst. U.S. investment firm Tiger Global Management also invested in the round, along with existing investors Accel, Bessemer, Coatue, Corner Ventures, and Latitude.

"2021 has been a year of rapid growth for Melio. We found ourselves in a fortunate position to support small businesses more than ever before, helping them digitize their vendor payment operations, saving them valuable time, and maximizing their cash flow," said Melio CEO and co-founder Matan Bar.

Melio provides a single, integrated solution that allows small businesses to quickly and seamlessly transfer and receive payments – helping with cash flow needs, reducing or eliminating late payment costs, and giving businesses back valuable time. A survey carried out by Melio found that 31% of small business owners said embracing new technologies helped their business during COVID-19.

Melio also announced that General Catalyst Chairman and Managing Director Ken Chenault, the former chairman and CEO of American Express, will join Melio's board as an observer.

"Melio is leveling the playing field for small businesses, empowering them with solutions focused on cash flow and workflow issues, which are critical for small business owners," said Chenault. "Since our initial investment in Melio, I've worked closely with Matan. I've been very impressed with his leadership and with what he and the team have accomplished. Most importantly, I am very excited about the opportunity that lies ahead of them as one of the fastest growing companies in the small business payments space."

"Melio has been a critical partner for small businesses as they navigated the financial constraints of the pandemic-induced economic downturn," said Vince Hankes, Investor at Thrive Capital. "For many, the ability to implement and adopt these digital payment solutions has been the key to keeping their doors open – proving that digital payment platforms are critical to small business growth."

Melio, which raised $110 million in its last funding round in January, is growing rapidly. Its strategy includes integrating with some of the nation's leading financial service and software as a service (SaaS) companies to enable accounts payable and receivable capabilities for their customers by embedding Melio's technology into their products.

In June, the company partnered with Capital One to increase access to accounts payable and receivable cash flow management tools for small business customers.

In 2020, Melio partnered with Intuit's QuickBooks, the leading accounting software for small businesses. It offers Bill Pay powered by Melio, a free, integrated accounts payable solution that allows QuickBooks users to easily pay business bills in the office or on the go.

Investors from previous rounds include Accel, Aleph, Bessemer, Capital One, Coatue, Corner Ventures, General Catalyst, and Latitude. American Express Ventures, Intuit, and Salesforce are also strategic investors, solidifying these companies' interests in the small business economy.

About Melio
Melio's mission is to keep small business in business, helping them to improve their cash flow and workflow, gain more control over their finances, and optimize their business's financial health. Melio was founded by CEO Matan Bar, CTO Ilan Atias, and COO Ziv Paz in 2018, with headquarters in New York and an R&D center in Tel Aviv. Melio also selected Colorado for its western U.S. headquarters and has begun recruiting for 250 new jobs in the state. The company has raised $506 million to date. Melio's smart B2B online payment solution is tailor-made for small businesses' needs. It is a free, simple, and secure solution that allows small businesses and their suppliers to transfer and receive payments quickly and easily.

Spotlight

In today’s international business environment, tax requirements and legislation are becoming increasingly complex, which can leave multinational businesses struggling to keep up. Many businesses also face a heavy burden on business profits and capital gains with global tax costs that are excessive and disproportionate. To ensure you pay the least amount of tax possible, it’s important to work with experienced professionals who understand the legislation of various countries and are familiar with the requirements of international business. That’s where MNP can help.


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FINANCIAL MANAGEMENT, FINTECH

Finastra and Modefin partner to provide best-in-class fintech solutions for banks in Africa and selected Indian subcontinent markets

Finastra | November 14, 2022

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FINANCIAL MANAGEMENT, FINTECH

Strongpoint Partners Announces Platform Launch and Leadership Appointments

Strongpoint Partners and Shore Capital Partners | October 20, 2022

Strongpoint Partners, a tech-enabled financial services platform focused on third-party administration of retirement plans, recordkeeping, payroll, and HR solutions for SMBs, today announced the Company’s launch. Backed by Shore Capital Partners, a Chicago-based private equity firm focused on microcap investing, Strongpoint combines an integrated software platform for outsourced retirement services alongside a relentless passion for service and innovation. Together, Strongpoint and Shore will continue to explore opportunities for growth through new partnerships and business development, and will continue to invest in the Company’s products and infrastructure. Strongpoint partnered with HowardSimon, a leading independent retirement TPA and payroll services provider based in Riverwoods, Illinois, in December 2021. In addition, Strongpoint recently partnered with the Jocelyn family of companies (Investment Management and Pension Consulting) to expand its services to Boulder, Colorado and Northern California. Strongpoint is launching with an experienced management team that includes Danny Hest, former CEO of Roadpass Digital and senior leader at Orbitz Worldwide and Expedia Group, who will serve as the Company’s CEO, and Sean Morris, a seasoned financial executive, who will serve as CFO. Hest has over 20 years of experience leading business development, sales, marketing, strategic planning and operations. In his nearly 10 years at Orbitz Worldwide and Expedia Group, he led rapid growth of their B2B distribution business units, primarily through organic partnerships, sales, marketing and product development. Most recently, Hest served as CEO of Roadpass Digital, a road-based travel technology company with several consumer-focused brands that it has both acquired and developed organically. “I’m thrilled to serve as CEO of Strongpoint and join a great team as we aim to build the leading retirement and payroll services provider across the United States, As we explore opportunities for organic growth and acquisitions, we remain fully committed to our company’s core mission to provide the highest quality services for our customers while pursuing a relentless passion for innovation.” -DannyHest Morris has over 16 years of experience leading finance, accounting, operations and M&A teams. He has worked at several fast-paced financial services and investment firms, including Citadel, Northern Trust and, most recently, PEAK6 Investments, where he led a finance team of 60 employees. Mickey Jiang, Principal at Shore Capital, reflected, It’s tremendously exciting to partner with Danny, Sean, our Board, and our founders to establish the premier network of retirement TPAs. We have a deep conviction in these leaders to expertly execute on our collective vision of growth and unwavering service quality. I am certain that this talented team will enhance, empower, and elevate every new administrator affiliation in our burgeoning network. Hest and other members of the Strongpoint Partners executive team will be attending the ASPPA TPA Growth Summit next week in Washington, D.C., and the Spark Forum in November in Palm Beach, Florida. About Strongpoint Partners Strongpoint Partners is a tech-enabled financial services platform that provides third party retirement administration (“TPA”), payroll, HR, and recordkeeping to small-and-medium businesses (“SMB”). Headquartered in Chicago, Illinois, with offices in Riverwoods, Illinois, Boulder, Colorado, and Northern California, Strongpoint combines an integrated software platform for outsourced retirement and payroll services alongside a relentless passion for service and innovation. About Shore Capital Partners Shore Capital Partners, a Chicago-based private equity firm with offices in Nashville, is focused on microcap investments within the Healthcare, Food and Beverage, Business Services and Real Estate industries. Shore supports management partners with capital, business development expertise and industry knowledge to accelerate growth, fund acquisitions and generate value for shareholders. Shore targets investments in proven, successful private companies with superior management teams, stable cash flow and significant growth potential, including organic growth and growth through industry consolidation. Shore has approximately $3 billion of cumulative capital commitments through various investment vehicles.

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FINANCIAL MANAGEMENT

Green Check Verified Partners with HSLC to Strengthen Cannabis Business Compliance

Green Check Verified | November 07, 2022

Green Check Verified (GCV), the leading fintech provider of compliant cannabis banking solutions and services, today announced a partnership with The Home Savings and Loan Company of Kenton, Ohio (HSLC). Through this partnership, HSLC will launch its newly formed cannabis banking program, with plans to offer a full suite of products and services to the entire supply chain of businesses within the cannabis industry ecosystem. As the cannabis industry continues to expand in Ohio and legalization efforts on the federal level carry on, the perception of cannabis banking is evolving. Not only are more financial institutions (FIs) finding their way in this space, the financial offerings being provided to the legal cannabis businesses continue to expand as well. In spite of this forward momentum, these legal businesses still have considerable financial services needs that have not been met. This partnership aims to improve integrated compliance for financial institutions and cannabis-related businesses in Kenton and the greater Ohio area. GCV will extend key components of monitoring for marijuana-related business and workflow solutions to automate license verification and monitoring for violations, negative news, and other compliance red flags. “The cannabis industry is growing at an exponential rate in Ohio, and FIs like HSLC are paving the way for these businesses to be successful through new banking services, This is another major step towards improved compliance for cannabis-related businesses, and Green Check Verified is thrilled to be an integral part of the journey.” -Paul Chesek, Chief Growth Officer at GCV We understand the challenges faced by cannabis related businesses when it comes to banking, that’s why we’ve established a Special Accounts Team, We’ve hired the best in class to help businesses navigate the complexities of the cannabis industry. Our team is made up of our BSA Analyst, Crystal Curry, and Ross Richards who serves as our Special Accounts Officer. Crystal and Ross are focused on providing the services businesses need,says Chris Jones, CEO at HSLC. HSLC is paving the way by introducing a cannabis banking program that offers all of the features of its serviced-based way of community banking to these legal businesses. The program includes deposit and lending products for businesses and owners, as well as their employees. HSLC also offers PIN debit merchant services to help facilitate payments by debit cards for cannabis related retail businesses. About Green Check Verified Green Check Verified (GCV) is a regulatory software and services company founded in 2017 by a team of technology, banking, and regulatory experts. GCV focuses on the intersection between community banking and the emerging legal cannabis industry and aims to provide the services and tools needed to connect these two industries in compliant and profitable ways. About HSLC The Home Savings and Loan Company of Kenton, Ohio is a state chartered, full-service community bank, headquartered in Kenton, OH with locations in Lexington, KY. Founded in 1888, HSLC’s focus has always been to serve communities, businesses and individuals with full service lending, banking and merchant services products.

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WEALTH MANAGEMENT

Secfi launches ‘Secfi Wealth’, a fully independent RIA to provide startup founders and employees with financial planning and investment management

Secfi | September 28, 2022

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Spotlight

In today’s international business environment, tax requirements and legislation are becoming increasingly complex, which can leave multinational businesses struggling to keep up. Many businesses also face a heavy burden on business profits and capital gains with global tax costs that are excessive and disproportionate. To ensure you pay the least amount of tax possible, it’s important to work with experienced professionals who understand the legislation of various countries and are familiar with the requirements of international business. That’s where MNP can help.

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