A New Player in Small Business Online Banking. What The Intuit/Bottomline Deal Really Means

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19 March 2012
Jacob Jegher
On March 5th, Bottomline Technologies and Intuit announced an interesting deal. There are two components to the deal:
  • Bottomline acquires Intuit Financial Services commercial banking business for $20 million
  • The two firms have formed a partnership and will work together "through cross promotions, referrals and joint sales efforts to deliver innovative solutions for financial institutions of all sizes."




Several Celent clients have contacted us to gain a better understanding of this deal and what it means for the market. I interpret this in a very straightforward manner:

  • Bottomline has lacked a small business offering and now they have one. This now allows them to attack an additional segment of the business market. It also allows them to move downstream to work with smaller financial institutions and their small business clients
  • Intuit is a small business powerhouse, and although they sold off their "commercial banking" business I have no doubt they will continue to tackle the small business market. What's interesting here is that although the assets they sold have been labelled "commercial" and have some commercial capabilities, they are in fact being used by plenty of small businesses. Celent has reviewed Intuit's solution as a small business solution, based on the size and nature of their current bank customers. It will be interesting to see how Intuit's consumer online banking solution will evolve in order to serve micro and small businesses. I see Intuit paying extra attention to the small business market moving forward, so even though they sold off some assets this is still a player to watch.

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