Accounting software FreshBooks has integrated with JPMorgan Chase’s WePay to offer small businesses same-day and next-day deposits, FreshBooks announced in a press release on Wednesday (Nov. 6).
FreshBooks Payments enables its U.S. customers with a Chase bank account to access funds using WePay the same day a client makes a payment. Customers who don’t bank with Chase can access funds as soon as the next day.
“This is a historic time for small businesses who have never been able to receive their funds so quickly,” said Mike McDerment, CEO and co-founder of FreshBooks. “After years of advocating for the needs of small businesses, the FreshBooks team is proud to deliver same-day deposits to market for our customers.”
It usually takes two to five business days for a client’s payment to clear, which hinders cash flow for small businesses. The same-day deposits feature is compatible with ACH payments and works with all major credit card providers. There are also no fees for customers who have a Chase business account.
“As a small business owner and longtime FreshBooks customer, I’m excited to take advantage of FreshBooks Payments. Being able to access funds on the same day we are paid is incredibly valuable,” said Jake Brenner, co-founder of Ship Lab in San Diego, California.
Launched in 2003 and headquartered in Toronto, Canada, FreshBooks has customers in 160 countries and serves over 20 million people.
“Cash flow is the main driver for small businesses – in fact, four out of five small businesses fail within the first five years due to limited cash flows,” said Bill Clerico, CEO of WePay and head of SMB product for Chase Merchant Services. “Together with FreshBooks, we’re excited to take one step forward in helping to solve this issue for their customers by delivering same-day deposits.”
In August, FreshBooks announced that JPMorgan Chase & Co. had made a strategic investment in the company. The investment came after two previous institutional funding rounds for FreshBooks, including a July 2014 $30 million Series A and a July 2017 $43 million Series B. A JPMorgan Chase representative joined FreshBooks’ board of directors as part of the investment.