Latest news with #AvidXchange
Business Journals
20-05-2025
- Business
- Business Journals
AvidXchange CEO reveals pivotal decisions behind tech giant's success story
Michael Praeger, co-founder and CEO at AvidXchange, talks with Mike McGuire, former CEO at Grant Thornton, during the headline speaker portion of Seed The South on May 20. Melissa Key/CBJ
Business Journals
20-05-2025
- Business
- Business Journals
Michael Praeger shares AvidXchange's path to $2.2B acquisition
Michael Praeger, co-founder and CEO at AvidXchange, talks with Mike McGuire, former CEO at Grant Thornton, during the headline speaker portion of Seed The South on May 20. Melissa Key/CBJ
Yahoo
20-05-2025
- Business
- Yahoo
Media Agencies Under Pressure, Turning to AI to Strengthen Financial Health and Cash Flow, AvidXchange Survey Reveals
New Survey Reveals Top Financial Operational Challenges and the Expanding Role of Automation in Finance CHARLOTTE, N.C., May 20, 2025 (GLOBE NEWSWIRE) -- AvidXchange Inc. (Nasdaq: AVDX) a leading provider in accounts payable (AP) automation software and payment solutions for mid-market businesses and their suppliers, today announced findings from its 2025 Media Agency Health Survey. The survey polled financial leaders at U.S. media and advertising agencies, revealing rising concerns about cash flow management and growing demand for AI-driven solutions to strengthen their financial health. Key Drivers of Financial HealthAgencies cited revenue growth (92%), data protection (91%), and fraud prevention (88%) as vital to financial stability. Cash flow, improved invoicing, talent management, and operational efficiency also ranked as important contributors. These priorities reflect a continued need to protect profitability while safeguarding operations in an increasingly complex financial landscape. Adapting to Uncertainty Agencies continue to feel the pinch of economic uncertainty, with 35% losing clients to in-house advertising in 2025, a 20% jump from 2024. Rising turnover, up 32% from 2024, is further stretching teams that are already facing tight budgets. Cash Flow Pressures RiseDespite 85% of respondents rating cash flow as critical to financial health, many agencies struggle with managing it. In 2024, 54% of agencies reported extended payment terms from clients, and 36% expect continued disruptions to cash flow, making it harder to manage expenses and growth. AI and Automation are Transforming Financial Operations71% of agencies already use AI in finance, and 97% are open to new automation tools. Among adopters, 80% have automated significant parts of their finance function, including payment processes. Media finance teams are using AI-enhanced tools to tackle a key pain point—invoice reconciliation—which takes up 30–40% of finance leaders' time. 'Media agencies are under more pressure than ever as clients reallocate budgets to safeguard their businesses in today's uncertain economy, and as a result, agency leaders are scrutinizing operations, revenue strategies, and cost drivers more closely,' said Dan Drees, President of AvidXchange. 'That's where AvidXchange comes in. Our world-class AP automation technology provides greater visibility and control over their bills, backed by an incredible customer support team dedicated to helping them navigate change and drive efficiency.' Survey MethodologyAvidXchange used the third-party market research company Prodege to conduct an online survey to 156 decision makers at U.S. media and advertising agencies, conducted between January 23-26, 2025. About AvidXchange® AvidXchange (Nasdaq: AVDX) is a leading provider in accounts payable (AP) automation, offering intelligent AP software and payment solutions specifically designed for mid-market businesses and their suppliers. With 25 years of industry experience, AvidXchange modernizes the way businesses manage their expenses and payments by offering AI-enhanced software coupled with support from experts. Empowering over 8,500 growth-driven businesses, AvidXchange increases efficiency, control, and visibility in financial operations and has securely processed payments to more than 1.3 million suppliers through its proprietary payment network over the past five years. For more information, visit Media Contact: Alexis RiddickPublic Relations ManagerAvidXchange pr@
Globe and Mail
20-05-2025
- Business
- Globe and Mail
Media Agencies Under Pressure, Turning to AI to Strengthen Financial Health and Cash Flow, AvidXchange Survey Reveals
CHARLOTTE, N.C., May 20, 2025 (GLOBE NEWSWIRE) -- AvidXchange Inc. (Nasdaq: AVDX) a leading provider in accounts payable (AP) automation software and payment solutions for mid-market businesses and their suppliers, today announced findings from its 2025 Media Agency Health Survey. The survey polled financial leaders at U.S. media and advertising agencies, revealing rising concerns about cash flow management and growing demand for AI-driven solutions to strengthen their financial health. Key Drivers of Financial Health Agencies cited revenue growth (92%), data protection (91%), and fraud prevention (88%) as vital to financial stability. Cash flow, improved invoicing, talent management, and operational efficiency also ranked as important contributors. These priorities reflect a continued need to protect profitability while safeguarding operations in an increasingly complex financial landscape. Adapting to Uncertainty Agencies continue to feel the pinch of economic uncertainty, with 35% losing clients to in-house advertising in 2025, a 20% jump from 2024. Rising turnover, up 32% from 2024, is further stretching teams that are already facing tight budgets. Cash Flow Pressures Rise Despite 85% of respondents rating cash flow as critical to financial health, many agencies struggle with managing it. In 2024, 54% of agencies reported extended payment terms from clients, and 36% expect continued disruptions to cash flow, making it harder to manage expenses and growth. AI and Automation are Transforming Financial Operations 71% of agencies already use AI in finance, and 97% are open to new automation tools. Among adopters, 80% have automated significant parts of their finance function, including payment processes. Media finance teams are using AI-enhanced tools to tackle a key pain point—invoice reconciliation—which takes up 30–40% of finance leaders' time. 'Media agencies are under more pressure than ever as clients reallocate budgets to safeguard their businesses in today's uncertain economy, and as a result, agency leaders are scrutinizing operations, revenue strategies, and cost drivers more closely,' said Dan Drees, President of AvidXchange. 'That's where AvidXchange comes in. Our world-class AP automation technology provides greater visibility and control over their bills, backed by an incredible customer support team dedicated to helping them navigate change and drive efficiency.' Survey Methodology AvidXchange used the third-party market research company Prodege to conduct an online survey to 156 decision makers at U.S. media and advertising agencies, conducted between January 23-26, 2025. About AvidXchange® AvidXchange (Nasdaq: AVDX) is a leading provider in accounts payable (AP) automation, offering intelligent AP software and payment solutions specifically designed for mid-market businesses and their suppliers. With 25 years of industry experience, AvidXchange modernizes the way businesses manage their expenses and payments by offering AI-enhanced software coupled with support from experts. Empowering over 8,500 growth-driven businesses, AvidXchange increases efficiency, control, and visibility in financial operations and has securely processed payments to more than 1.3 million suppliers through its proprietary payment network over the past five years. For more information, visit
Yahoo
09-05-2025
- Business
- Yahoo
AvidXchange swallowed in $2B deal
This story was originally published on Payments Dive. To receive daily news and insights, subscribe to our free daily Payments Dive newsletter. AvidXchange, an accounts payable and payments software provider, has agreed to be taken private by global asset management firm TPG in a transaction that values the business at $2.2 billion, according to a Tuesday press release from the two companies. As part of the acquisition, another payments company Corpay, formerly known as FleetCor Technologies, will buy a 33% stake in the publicly-traded AvidXchange for $500 million, according to its separate release Tuesday. Corpay, which is also publicly-traded, said in its release that it will have the option to buy all of AvidXchange. 'There is a very large opportunity for businesses to improve their accounts payable processes through automation and become more efficient, more secure, and more accurate,' TPG Partner John Flynn said in the joint release. Charlotte, North Carolina-based AvidXchange has focused its software business on the middle market, collecting some 8,500 clients in various verticals, including real estate, homeowners' associations, financial institutions and media, according to the Corpay release. When AvidXchange sold shares to the public for the first time in 2021, it had about 7,000 clients. The payments company is a good fit for Fort Worth, Texas-based TPG's $76 billion portfolio partly because it has previously invested in payments companies, including the digital payments processor Toast as well as payments orchestration company Freedom Pay, according to the investment firm's website. Flynn explained how AvidXchange offers payments set-up that easily integrates into corporate workflows, allowing for connectivity between businesses and suppliers. His TPG partner, Tim Millikin, predicted a growing need for such software. 'Modern businesses require modern payment technology, and we see significant opportunity for AvidXchange as a private company to continue enhancing its solutions to improve visibility and unlock efficiencies across the payment process,' Millikin said in the release. Corpay CEO and Chairman Ron Clarke also highlighted the business prospects for AvidXchange. He has experience with AvidXchange because Atlanta-based Corpay has acted as its card payments processor. 'We really like AvidXchange's business model: diverse revenue streams from payments and software, high retention rates, and very little working capital and credit exposure,' he said in his company's release. Last month, Corpay itself attracted an investment from Mastercard, which injected $300 million into its cross-border unit as part of a broader commercial, cross-border services agreement. AvidXchange's CEO, Michael Praeger, is a career entrepreneur who co-founded the company in 2000. Prior to launching AvidXchange, he co-founded career and recruiting web site and the tax billing and collections software company InfoLink Partners. 'With TPG and Corpay, we will have the resources and long-term focus to scale our platform and provide more innovative solutions that help our customers across the country transform their accounts payable processes,' Praeger said in his company's press release. In a Tuesday letter to employees, Praeger talked about the milestone deal as the company marks its 25th anniversary. 'We've accomplished a lot over the past 25 years, growing from an AP automation software company for the real estate business into a leading B2B payments network and processing more than 79 million transactions in 2024 with annual revenue of more than $425 million,' he said in the letter, which was included in a Wednesday filing with the Securities and Exchange Commission. A spokesperson for AvidXchange didn't respond to a question about whether Praeger will remain at the company once the transaction is completed. AvidXchange will institute a $3 million retention bonus program for top executives in an effort to 'to promote retention and incentivize efforts to consummate' the transaction, according to another SEC filing by the company on Wednesday. Those bonuses will vest annually over the next three years. The transaction is expected to close in the fourth quarter, subject to regulatory approvals, according to the releases. Recommended Reading Mastercard invests $300M in Corpay unit
