On Monday, October 28, 2019, BlueSnap (MGI 360 Rated) announced the acquisition of Armatic, a start-up focused on invoice management and accounts receivables automation.
This is a smart addition for BlueSnap and highlights the growing demand for AR automation tools.
Financial details were not disclosed, but this is essentially an acqui-hire for BlueSnap. Founded in 2016, Armatic has employees in Los Angeles, Austin, Texas, and Kiev, Ukraine. The two companies have experience working together as they had previously integrated their solutions at approximately 20 joint customers. Like BlueSnap, Armatic serves mid-market accounts with invoice management, a self-service portal, and integration with leading mid-market financials vendors like Sage Intacct, Oracle NetSuite, Salesforce, and Quickbooks.
As BlueSnap places more focus on B2B customers, the acquired product will provide deeper payment integration, enhanced workflow, and some additional invoicing functionality. This combination will likely result in more comprehensive reporting and analytics. This is a savvy deal for BlueSnap–it adds incremental capabilities and a focused team that is familiar with the BlueSnap platform and organization. 2019 has been another year of growth for this company with the acquisition of Armatic confirming its focus on the needs of B2B customers and helping BlueSnap get closer to eventually reaching and surpassing its $100 million revenue goal.
The acquisition of Armatic by BlueSnap is a net positive for current customers and underscores the growing importance of AR automation and billing for Payment Facilitators. More M&A activity in this area is highly likely.