Corporate expense management comprises less than 1% of the $150 trillion+ B2B payments market, but it still is a huge opportunity for the fintech space.
Expense management processes are still mostly manual. Therefore, they are clunky, resource-intensive, costly, prone to errors and result in a lack of visibility and insights across the organization.
A huge amount of funding has poured into the field, especially to digital-first corporate card startups like Brex, Ramp, Pleo, Jeeves and many others. In 2021, over $2.8B have been invested in the segment and 2022 started even stronger with $1.6B to date.
The sector is becoming increasingly competitive especially in Europe and the US, with tens of highly capitalized players. We can foresee an increase in spending on customer acquisition and future consolidation of the market.
Horizontal differentiation (e.g. expanding to adjacent services like payment processing, payroll, invoicing and lending), targeting underserved segments and geographical expansion will play a key role in winning in the field.
Head over to Dealroom.co to discover 40+ corporate expense management startups. And for a more in-depth look at the ongoing corporate expense management war, read our latest blog by clicking the button below. 👇
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🇬🇧 Paddleraises $200M at a $1.4B valuation to supercharge SaaS payments. Paddle is solving a significant pain point for thousands of SaaS companies by reducing the friction and costs associated with managing payments infrastructure and tax compliance. 🇨🇦 Canadian challenger bank Neo Financial, raised a $185M Series C at over a $1B valuation.
🇪🇬 Egyptian fintech Paymob raises $50M led by PayPal Ventures and Kora Capital. Its omnichannel payment infrastructure allows businesses and merchants to accept payments from various methods; including bank cards, mobile wallets, QR payments, bank cards’ installments, BNPL, and consumer finance payment options.
Other notable fintech deals from around the globe:
🇬🇧 Impact-focused financial Tumelo raised a $19M Series A to help investment platforms and pension providers engage investors with shareholder voting.
🇺🇸 StellarFi closed a $7M seed funding and launched a public beta on its credit-buildingand financial tools platform.Stellar allows users to build credit through their everyday purchases.
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Job opportunities
🇬🇷 Greek challenger bank Viva Wallet is hiring for a Talent Acquisition associate and other 32 roles.
🇮🇹 Italian mobile payments startup Satispay is hiring for a Head of Corporate Business Development and other 36 roles.
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