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PayPal Partners with Xero to Support B2B Invoice Payment


PayPal has teamed up with Xero to enable small business users of the cloud-based accounting platform to pay for platform-generated invoices with PayPal. Along with this new PayPal Express Checkout option, users will also be able to track outstanding invoices and get real-time updates when invoices are paid.

Previewing the partnership, Xero CTO Craig Walker wrote on the company blog: “This update will deliver a seamless new checkout experience for customers that will make it easy for invoices to get paid as soon as they are received, using Xero’s online invoices and PayPal Express Checkout.” Walker added that the new integration would also make payment reconciliation and automatic fee creation easier.


Steve Fusco, PayPal’s VP and GM for North American distribution, underscored Walker’s emphasis on the problem small businesses face with unpaid invoices. “Sometimes it feels like you have to go above and beyond to get your invoices paid,” he said. “But with PayPal Express Checkout, we are offering Xero customers a faster and simpler way to get paid, and reduce time spent on the payment process to just a couple of clicks.”  The technology is scheduled to be available “in the next few weeks.”

In writing about the news earlier this week, noted that the partnership with PayPal would help with Xero’s efforts to expand beyond its home market in New Zealand. Xero integrated with fellow Finovate alum BizEquity and launched a direct feed partnership with leading southeast Asia FI, UOB, earlier this month. In July, Xero announced a partnership with Commonwealth Bank, the largest bank in Australia.

Both a Finovate and FinDEVr alum, Xero demonstrated its Business Identification solution at FinovateSpring 2011. The company also presented its technology at FinDEVr Silicon Valley 2014, contributing a presentation and workshop on “Building an API-driven Ecosystem for Small Business.” Xero was founded in 2006 and is headquartered in Wellington, New Zealand.

Founded in 1998 and headquartered in San Jose, California, PayPal demonstrated its Instant Account Creation technology at FinovateEurope 2012. The company also participated in our developers conference, FinDEVr Silicon Valley, in 2014.