ETtechStripe, one of the world's most valued fintech companies, on Wednesday said that it has acquired Bengaluru-based provider of payments reconciliation software Recko, marking its first acquisition in India.
The buyout will help Stripe expand its offerings in India beyond collection of payments and billings for merchants. The Irish-American firm said in a media statement that the move will help Stripe automate collections, ease reconciliations, manage complex accounting of financial records as well as export reconciliation tolls to businesses.
“Stripe helps millions of businesses around the world streamline their revenue management—from subscriptions and invoicing to revenue recognition and bookkeeping. With Recko, we’ll automate their payments reconciliation, a critical input into their overall financial health,” he added.
Payments reconciliation is an accounting process that compares two or more sets of records—for example, a company’s internal sales log and their external bank statement—to confirm accuracy. Finance teams perform reconciliation to uncover discrepancies, avoid incorrect accounting, and understand a company’s financial health at a point in time.
Stripe, which is valued at $95 billion, entered India in 2017 but has not been aggressive in expanding in the market yet. Earlier this year in March, it announced an overhaul of its tech infrastructure in India hosting data of its Indian customers within the country to comply with local laws.
The payments firm at the time had said that it will continue making investments in India's burgeoning digital payments market as it sees the country as an important market.
“The acquisition of Recko is the latest milestone in Stripe’s expansion beyond payments acceptance, bringing millions of users another tool to manage and grow their revenue alongside Stripe Revenue Recognition, Stripe Billing, Stripe Invoicing, and more,” the company said in its media statement.
Four-year-old Recko, which was founded in 2017 by IIT Gandhinagar alumni Saurya Prakash Sinha and Prashant Borde, will build and scale Stripe’s products globally, the company said. The team will join Stripe’s remote engineering hub. Recko is backed by investors like Vertex Ventures and Prime Venture Partners.
“Joining Stripe is a perfect next chapter for Recko, and we can’t wait to help grow the GDP of the internet by removing the burden of reconciliation complexity. Internet businesses need new financial tools that can scale with their growth and automate the tasks required to produce an accurate picture of their financial health,” said Saurya Prakash Sinha, CEO and cofounder of Recko.
The startup’s offerings help solve payments reconciliation by automating transaction data and matching transaction logs. This allows businesses to produce periodic reconciliation reports. Its customers include prominent internet businesses in India such as Deliveroo, Meesho and PharmEasy are its customers.
The buyout will help Stripe expand its offerings in India beyond collection of payments and billings for merchants. The Irish-American firm said in a media statement that the move will help Stripe automate collections, ease reconciliations, manage complex accounting of financial records as well as export reconciliation tolls to businesses.
Payments reconciliation shouldn’t be a mild headache that balloons into a migraine as a company grows—it should be an easy, highly automated process,” Will Gaybrick, Stripe's chief product officer, said in a statement.
“Stripe helps millions of businesses around the world streamline their revenue management—from subscriptions and invoicing to revenue recognition and bookkeeping. With Recko, we’ll automate their payments reconciliation, a critical input into their overall financial health,” he added.
Payments reconciliation is an accounting process that compares two or more sets of records—for example, a company’s internal sales log and their external bank statement—to confirm accuracy. Finance teams perform reconciliation to uncover discrepancies, avoid incorrect accounting, and understand a company’s financial health at a point in time.
Stripe, which is valued at $95 billion, entered India in 2017 but has not been aggressive in expanding in the market yet. Earlier this year in March, it announced an overhaul of its tech infrastructure in India hosting data of its Indian customers within the country to comply with local laws.
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The payments firm at the time had said that it will continue making investments in India's burgeoning digital payments market as it sees the country as an important market.
“The acquisition of Recko is the latest milestone in Stripe’s expansion beyond payments acceptance, bringing millions of users another tool to manage and grow their revenue alongside Stripe Revenue Recognition, Stripe Billing, Stripe Invoicing, and more,” the company said in its media statement.
Four-year-old Recko, which was founded in 2017 by IIT Gandhinagar alumni Saurya Prakash Sinha and Prashant Borde, will build and scale Stripe’s products globally, the company said. The team will join Stripe’s remote engineering hub. Recko is backed by investors like Vertex Ventures and Prime Venture Partners.
“Joining Stripe is a perfect next chapter for Recko, and we can’t wait to help grow the GDP of the internet by removing the burden of reconciliation complexity. Internet businesses need new financial tools that can scale with their growth and automate the tasks required to produce an accurate picture of their financial health,” said Saurya Prakash Sinha, CEO and cofounder of Recko.
The startup’s offerings help solve payments reconciliation by automating transaction data and matching transaction logs. This allows businesses to produce periodic reconciliation reports. Its customers include prominent internet businesses in India such as Deliveroo, Meesho and PharmEasy are its customers.
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