Melio

What Melio does

Melio is a B2B payments platform that provides unified accounts payable and accounts receivable automation for United States small and mid-sized businesses. Founded in 2018 and headquartered in New York with an R&D center in Tel Aviv, the platform enables businesses to pay vendors and contractors by ACH bank transfer (free standard delivery), credit card (2.9% transaction fee), same-day ACH (1%), or international transfer through a partnership with Wise US Inc., and to receive payments via invoicing and payment links. Products span Accounts Payable, Accounts Receivable, Pay By Card, Pay Over Time (up to 12 monthly installments), Fast Payments over FedNow and RTP networks, W-9/1099 management, Approval Workflows, Mobile Apps, and an Accounting Firms module for bookkeepers managing multiple clients. Two-way automatic sync with QuickBooks Online/Desktop, Xero, and NetSuite, plus embedded distribution through Xero, Gusto (400K+ SMBs), Shopify, Amazon Business, and Fiserv's CashFlow Central / U.S. Bank bill pay for business, are core to the GTM motion.

The technology stack combines a money-transmitter regulated payment infrastructure with AI-driven features: Agent Mel, an embedded conversational assistant launched January 2026 for natural-language queries on bills, vendors, and cash flow; an agent-powered B2B payment network launched June 2026 that executes supplier payments via their preferred rails without requiring supplier onboarding; and AI bill capture that extracts invoice fields from camera, email, or manual input. Melio reports over $100 billion processed, more than 40 million bills paid, 2 million vendors paid, and 100,000+ (119,000 reported in late 2024) business customers. Bank partners include JPMorgan Chase, Evolve Bank & Trust, and Silicon Valley Bank; Melio Solutions Inc. holds Money Transmitter licenses in 40+ US jurisdictions under NMLS ID 2376858.

Melio monetizes primarily through transaction fees (2.9% credit card, 1% same-day ACH, FX margin via Wise) and a subscription tier (Melio Platinum) for high-volume businesses spending $100K+ monthly, supported by an affiliate program on PartnerStack and a direct self-serve product-led growth motion. After raising approximately $600 million in venture capital, including a $250 million Series C at a $4 billion valuation in 2021 and a $150 million Series E led by Fiserv at a $2 billion valuation in November 2024, Melio was acquired by Xero in June 2025 for $2.5 billion in cash and equity plus up to $500 million in earnout (deal closed October 2025). Melio now operates as a wholly-owned subsidiary of Xero, with Matan Bar serving as CEO of both Melio and Xero US.

Name

Melio

Legal name

Melio Payments Inc.

Website

https://meliopayments.com

Company type

Private

Founded year

2018

Operating status

Acquired

Headcount range

501–1,000 employees

Short description

Melio is a New York-based B2B payments platform that provides accounts payable and accounts receivable automation for US small and mid-sized businesses, processing $100B+ in cumulative volume across 119,000 customers with native QuickBooks, Xero, and NetSuite integrations and embedded distribution through Xero, Gusto, Shopify, and Fiserv.

Ownership category

akta.pro rank

Product category

B2B Payment Platform

akta.pro primary industry

A2A Payment Initiation Service Providers (PISPs) (FSAMAFAB)

Keywords

• B2B payment platform
• Accounts payable automation
• Accounts receivable software
• Vendor payment processing
• Embedded bill pay

Headquarters

HQ city

New York

HQ country

United States

HQ region

North America

Offices3 records

Markets served

GTM type

B2B

Offering type

Software

Cost components

Personnel, Technology or R&D, Marketing or Sales, Operations, Infrastructure, Supply Chain

Revenue model

1. Transaction Fees - Credit Card: Melio charges 2.9% per credit card transaction for processing vendor payments. This is the primary revenue stream for standard payment processing.
2. Transaction Fees - Same-Day ACH: 1% fee for same-day ACH payments, providing faster delivery for vendors who need expedited payment.
3. Bank Transfers: Free bank transfers (ACH) are available as a free option, with faster payment options available for additional fees.
4. International Payment Spreads: Margin on foreign exchange for international payments processed through Wise US Inc., with transparent fees and competitive exchange rates.
5. Subscription Plans (Melio Platinum): Paid subscription tiers for high-volume businesses requiring advanced features, team management, and dedicated support.
6. Embedded Finance Partnerships: Revenue from embedding payment capabilities into platforms like Gusto, Amazon Business, and Shopify, generating transaction fees from payments made through partner ecosystems.

Pricing tiers

Go-to-market motion3 records

Distribution channels10 records

Marketing channels9 records

Core offering

Melio is a B2B payment platform that enables small and medium-sized businesses to pay vendors and contractors and to get paid via invoices from a single unified interface. It supports multiple payment rails—ACH bank transfers, credit card (2.9% fee), same-day ACH (1%), international wires via Wise, and instant payments via FedNow/RTP—and provides AI-powered bill capture, approval workflows, and 2-way sync with QuickBooks, Xero, and NetSuite.

Product overview

Melio is a B2B payments platform offering a unified Accounts Payable and Accounts Receivable solution for small and mid-sized businesses. The core platform includes Accounts Payable (vendor and contractor bill payment via card, ACH, international, or check), Accounts Receivable (invoice creation and online payment collection), and an Accounting Firms module for bookkeepers managing multiple client accounts. The product portfolio includes AI-powered features (Agent Mel conversational assistant, AI bill capture), payment methods (Pay By Card with 2.9% fee, ACH transfers, Fast Payments, Pay Over Time up to 12 installments, International Payments via Wise), tax management (W-9s and 1099s), and workflow tools (Approval Workflows, Mobile App, Melio Network vendor directory). Melio operates under Xero following its $2.5 billion acquisition in June 2025.

Differentiator

Problem solved

Functional benefit

Brands

• Agent Mel: AI-powered conversational assistant for accountants, bookkeepers, and SMBs to query payment status, manage vendors, and monitor cash flow. Launched January 2026.
• Melio Platinum

Products and services

• Accounts Payable Core accounts payable module enabling businesses to pay vendors, contractors, and any business bill via credit card, bank transfer, international payment, or check.
• Accounts Receivable Invoice creation and online payment collection module enabling businesses to send professional invoices and receive payments via ACH or card.
• Agent Mel (AI Assistant) AI-powered conversational assistant embedded within Melio that allows accountants, bookkeepers, and SMBs to query payment status, manage vendors, and monitor cash flow through natural language.
• Agent-Powered B2B Payment Network Autonomous AI agent network enabling buyers to pay suppliers directly through their AR systems without requiring supplier onboarding; agents execute payments using suppliers' preferred methods and return structured remittance data.
• Melio Platinum Subscription tier offering for high-volume businesses with custom pricing, advanced features, team management, dedicated account management, and priority support.
• Melio Mobile App iOS and Android mobile application enabling businesses to send, track, and approve payments on the go.
• Accounting Firms Platform Dedicated offering for accounting firms and bookkeepers to manage client accounts payable and receivable through a single platform with multi-client dashboard, team management, and partner program benefits.
• Wealth Management Bill Pay (Accounting Firms) Bill payment solution within the Accounting Firms platform for trusts, family offices, and their advisors.
• Melio Network Local and nationwide vendor directory enabling businesses to pay vendors in Melio's existing network without requiring separate onboarding of each payee.

Quantifiable outcome

• 15+ hours saved on bill pay monthly on average
• +5 more outcomes

Named customers5 records

Segments9 records

Ideal customer profiles4 records

Technology focussed Yes

API detail

Has API

No

API docs

API detail

Core technology

AI maturity

App detail

Integration8 records

AI capability8 records

Feature10 records

Partnerships

Seven partnerships are on record, tiered core and minor.

• GustocoreChannel Partner/ Reseller/ Distributor · 8 May 2025Gusto integrated Melio's Bill Pay and Invoicing solution into its payroll and HR platform serving 400,000+ small and mid-sized businesses. The partnership enables Gusto customers to pay vendors and send invoices directly within the platform, supporting ACH transfers, credit card payments, check deliveries, and automated bill uploading via photo capture or email sync.
• U.S. BankcoreTechnology or Integration · 30 March 2025U.S. Bank partnered with Fiserv and Melio to launch 'U.S. Bank bill pay for business,' an all-in-one cash flow management platform integrating accounts payable, bill pay, and accounting software sync. The platform serves U.S. Bank's 1.4 million+ small business clients using CashFlow Central solution built with Melio technology.
• Amazon BusinesscoreTechnology or Integration · 10 September 2024Amazon Business integrated Melio's B2B payment platform to streamline invoicing and payments for small businesses purchasing on Amazon Business. The collaboration enables Melio users to easily pay their Amazon Business invoices through the Melio platform.
• Fiserv (Product Partnership)coreTechnology or Integration · 23 October 2023Fiserv and Melio partnered to streamline accounts payable and receivable for small businesses, combining Melio's payment technology with Fiserv's financial services infrastructure.
• ShopifycoreTechnology or Integration · 24 April 2023Melio and Shopify launched the first fully integrated accounts payable solution for Shopify merchants, enabling merchants to pay vendors directly from their Shopify admin.
• PartnerStackminorChannel Partner/ Reseller/ DistributorPartnerStack provides the affiliate program management platform for Melio's partner referral program, enabling partners to earn competitive commissions for referring businesses to Melio.
• XerocoreTechnology or IntegrationFollowing Xero's acquisition of Melio for $2.5B in June 2025, Melio operates as a standalone platform under Xero. The acquisition integrates Melio's bill payment capabilities natively into Xero's accounting software, making Xero the only major U.S. SMB accounting platform enabling on-platform credit card bill payments. Melio CEO Matan Bar also serves as CEO of Xero U.S.

Scale indicators12 records

Recent moves6 records

Expansion highlights6 records

Direct peers

• BILL Holdings: BILL (formerly Bill.com) is the closest direct competitor to Melio — both target US SMBs with accounts payable and receivable automation, bill capture, approvals, and accounting platform integrations (QuickBooks, Xero, NetSuite). BILL goes upstream into mid-market and AP outsourcing, overlapping Melio's middle segment, while Melio's Pay-By-Card and Agent Network differentiate.
• Ramp: Ramp is a B2B spend management and corporate-card platform for SMBs and mid-market that includes AP automation, vendor payments, and accounting integrations — directly competing with Melio's AP/AR and Pay-By-Card value proposition. Ramp's faster product iteration and broader card business create top-of-funnel overlap with Melio's SMB customer base.
• Brex: Brex is a B2B financial platform combining corporate cards, bill pay (Brex Pay), expense management, and accounting integrations for SMBs and mid-market. Like Melio, Brex is building embedded AP/AR capabilities powered by card-based payments and competes for the same SMB finance buyer.
• Airbase: Airbase provides corporate spend management including AP automation, vendor bill payment, corporate cards, and accounting integrations. It directly overlaps Melio's AP/AR automation and approval workflows for SMB and mid-market customers, with similar integrations to QuickBooks, NetSuite, and Xero.
• Tipalti: Tipalti offers AP automation including vendor onboarding, bill payment, global payouts, tax form management (W-9/1099), and reconciliation — many of the same product modules Melio offers. Tipalti skews slightly mid-market while Melio is SMB-anchored, but they compete head-to-head for accounting firms and growing businesses.
• Stampli: Stampli is an AP automation platform with AI-driven invoice capture, approval workflows, and payments (including credit card payments via Pivot), serving mid-market and SMB. Its Pivot card feature mirrors Melio's Pay-By-Card capability, making it a direct AP/AR competitor.
• MineralTree: MineralTree (acquired by AvidXchange) provides AP automation and B2B payment solutions for mid-market and SMB. Both Melio and MineralTree target the same AP/AR buyer with bill capture, approvals, accounting sync, and electronic payments, though MineralTree leans toward upper-SMB/mid-market versus Melio's lower-SMB concentration.

Broad incumbents

• Block (Square): Square (Block) is a broad B2B and B2C payments incumbent that serves SMBs with card acceptance, Square Banking, Square Invoices, and Square Bills — overlapping Melio's invoicing/receivables and SMB vendor payment surface. Unlike Melio's pure-software AP model, Square brings hardware, banking, and lending, making it a broader incumbent rather than direct AP specialist.
• Stripe: Stripe is a broad payments infrastructure incumbent used by SMBs and platforms (including Stripe Connect for B2B marketplaces). Overlap with Melio is indirect — Stripe powers much of the underlying card and ACH rails Melio's competitors use, and Stripe Invoicing addresses receivables, but Stripe is not focused exclusively on SMB AP.

Others

• Wise: Wise is a cross-border payments provider whose US entity (Wise US Inc.) is currently a Melio technology partner powering Melio's International Payments module. They are adjacent rather than directly competitive, since Melio wraps Wise for SMB vendor payments while Wise also sells cross-border accounts/payments directly. Comparable as ecosystem participant rather than direct SMB AP competitor.

Market position

Strengths5 records

Weaknesses5 records

Competitive moat5 records

Key risks6 records

Key highlights7 records

Customer concentration

• Xx.com/meliopayments
• Facebookfacebook.com/meliopayments
• LinkedInlinkedin.com/company/meliopayments
• Instagraminstagram.com/meliopayments

Compliance7 records

Revenue estimate

Valuation estimate

Number of profiles

Profiles6 records

Funding overview

Funding rounds6 records

Investors22 records

Funding detail is available on the Subscription and Enterprise plan.Contact sales →

M&A

Investments

M&A and investment is available on the Subscription and Enterprise plan.Contact sales →

Frequently asked questions about Melio