Paystand Acquires Teampay, Leading Digital B2B Payment Transformation

Paystand has acquired Teampay to strengthen its position in the digital B2B payment industry. This merger unites two entities serving over 1 million businesses with a transaction volume exceeding $10 billion, representing a significant portion of annual US B2B payments. Paystand aims to leverage Teampay's expertise to enhance both accounts receivable and accounts payable processes and provide cutting-edge experiences to customers.

Paystand Acquires Teampay, Spearheading a Digital B2B Payment Revolution

In a transformative move that poised to revolutionize the business-to-business (B2B) payments landscape, Paystand (NASDAQ:PAYS) has strategically acquired Teampay, a leading spend management software startup. This acquisition marks a significant milestone in Paystand's mission to establish a "no-fee B2B digital payment and spend powerhouse."

The financial terms of the deal remain confidential, but Teampay's impressive track record of raising $65 million since its inception in 2016 underscores its value and the potential of this merger. The combined entity now boasts a reach of over 1 million businesses operating on a commercial blockchain, facilitating transaction volumes exceeding $10 billion to date—an impressive figure that represents nearly 2% of annual U.S. B2B payments.

Jeremy Almond, Paystand's CEO, expressed his enthusiasm about the acquisition, praising Teampay as a pioneer in the fintech industry. "Teampay represents a new breed of fintech companies that are offering innovative products to CFOs looking to modernize their workflows," Almond said. "This acquisition aligns perfectly with Paystand's vision of delivering next-generation experiences to our customers in the midst of a significant modernization wave."

Recognizing Teampay's established brand reputation in the market, Paystand plans to maintain its identity as a distinct entity. Almond emphasized the strategic importance of this decision, noting that it will allow Teampay to continue building upon its success while leveraging Paystand's resources and capabilities.

This acquisition marks Paystand's second in two years, following the acquisition of payment platform Yaydoo in 2022. With a valuation exceeding $1 billion and $98 million in venture capital funding since its inception in 2014, Paystand is well-positioned to leverage Teampay's strengths to enhance both accounts receivable and accounts payable processes.

Almond highlighted the growing trend of consumerization in the enterprise space, emphasizing Paystand's commitment to replicating the seamless payment experiences of consumer finance apps like Venmo and CashApp within the B2B realm. He pointed out that despite the recent growth in fintech, the banking industry continues to rely on outdated payment rails, resulting in higher fees, increased intermediaries, and processing delays.

Paystand addresses these pain points by leveraging decentralized financial infrastructure powered by the Ethereum blockchain. Through its Paystand Bank Network, the company offers zero-fee B2B payments, eliminating the traditional intermediaries and inefficiencies that have plagued the industry.

Almond expressed his belief that blockchain technology represents a paradigm shift away from traditional central banking systems, offering real value to businesses and finance teams. He emphasized that the readiness of blockchain and decentralized finance networks lies in their ability to create tangible benefits for users.

In conclusion, Paystand's acquisition of Teampay signals a bold move towards revolutionizing B2B payments within the decentralized finance landscape. This strategic alliance will empower businesses with enhanced efficiency, reduced costs, and streamlined processes, paving the way for a more optimized and transparent B2B payment ecosystem.