Xero a global small business platform, has introduced online bill payments for its US customers, enabling businesses to manage and pay bills directly within the Xero ecosystem. This launch follows Xero’s acquisition of Melio and the integration of its advanced bill payment technology, setting a new benchmark in the US small business accounting landscape.
With this enhancement, Xero delivers greater flexibility and choice in payment methods, becoming the only major US small business accounting platform to offer on-platform bill payments via credit card. The move positions the company to capitalize on the $29 billion US SMB payments market and supports its broader 3×3 growth strategy and expansion ambitions in the region.
As part of the strategic transition, Melio CEO and co-founder Matan Bar has been appointed CEO of Xero US, overseeing both the Xero US and Melio operations. This leadership alignment reinforces Xero’s focus on delivering a unified, AI-powered platform designed to streamline financial operations and improve decision-making for small businesses.
“Small business bill management has been highly fragmented,” said Diya Jolly, Chief Product and Technology Officer at Xero. “By embedding online bill payments into Xero, we’re closing the gap between bill payments and bookkeeping. Paired with JAX—our agentic AI platform—reconciliation is automatic, giving business owners a real-time, 360-view of their cash flow that is unmatched by standalone providers.”
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The introduction of online bill payments addresses a critical need among US small businesses, with more than 70% prioritizing tight integration between accounting and accounts payable systems. Powered by Melio, the feature consolidates bill management, payment execution, and reconciliation into a single automated workflow, reducing operational friction.
Businesses and their advisors gain enhanced control over cash flow, with the ability to pay vendors instantly through multiple options, including bank transfer, debit card, or credit card—even when vendors do not accept card payments. The integration with JAX ensures transactions are automatically reconciled, improving accuracy and enabling businesses to transition from retrospective reporting to forward-looking financial planning.
“The US payments landscape is uniquely complex but vital for small businesses,” said Matan Bar, Co-founder of Melio and CEO of Xero US. “Xero and Melio together replace slow, manual processes with a modern, scalable tech stack. By embedding flexible, self-serve workflows, we remove payment friction and streamline operations, saving business owners and their advisors time and optimizing cash flow to fuel confident growth.”
This launch builds on Xero’s recent advancements, including the expansion of its global platform with enterprise-grade analytics and the introduction of its agentic AI platform, JAX. The addition of embedded payments shortly after completing the Melio acquisition highlights the company’s commitment to rapidly delivering integrated financial solutions.
Xero’s continued investment in its full-stack financial operations platform is driving strong business momentum. In the first half of FY26, the company reported increased year-on-year revenue growth in the US, while global revenue rose 20% year-on-year to NZD $1.2 billion (approximately USD $0.7 billion), underscoring its expanding presence and impact in the small business market.
