Melio, a Tel Aviv, Israel-based company which helps small businesses digitally manage their supplier payments, raised $110m in funding.
The round, which brings Melio’s total funding in 2020 to $240m ($256m since inception in 2018) and the valuation of $1.3 billion, was led by Coatue with participation from Accel, Aleph, Bessemer Venture Partners, Corner Ventures, General Catalyst, and Latitude. Salesforce and American Express Ventures.
The company intends to use the funds to expand its product offering across the US.
Led by CEO Matan Bar, CTO Ilan Atias and COO Ziv Paz, Melio provides small businesses with digital payments tools to manage their supplier payments, to pay their invoices for free using a bank transfer or debit cards. Businesses can also use a credit card for a minimal 2.9% tax-deductible fee, even if suppliers don’t accept cards.
The company has seen major traction with US SMBs, with monthly active users (MAU) growing by over 2,000% in 2020 and payment volumes reaching multi-billion dollar levels.