Gusto and Xero partner for payroll playtime
Payroll, benefits, and HR technology firm Gusto and cloud accounting company Xero have teamed up to enable Xero to provide full-service payroll in all 50 US states, reports David Penn at Finovate.
“We first began our partnership with Xero five years ago and, since then, they have quickly become one of the most popular integrations with Gusto,” Lexi Reese, chief operations officer for Gusto, says.
The alliance will involve a deeper technical integration of the two platforms that is expected to be completed by early 2019. The new service for SME owners and accountants will provide a single sign-on enabling access to Gusto accounts using Xero credentials, automatically updated cash flow management, and the ability to provide permissions to trusted third parties such as outside accountants.
Other benefits include access to Xero’s business task automation, and a shared ledger that provides a real-time view into business data and cash flow.
San Francisco-based Gusto has raised $170 million in funding. and its investors include Kleiner Perkins, General Catalyst, GV, Emergence Capital Partners, CapitalG, and Ribbit Capital.
The company was called ZenPayroll and rebranded as Gusto in the fall/autumn of 2015. The rebrand included an expansion of the company’s services to include both health benefits and workers compensation management.
Last month, Gusto launched Flexible Pay, which enables workers to get paid on a day other than their regularly scheduled payday.
Also in June, Gusto introduced its Partner Directory. Dubbed “Yelp for Accountants,” the directory is designed to help SMEs find the right accounting staff for their business. In addition to launching a freemium option this spring, the company began the year forging a partnership with accounting software provider Aplos.
Xero announced an integration with BBVA’s API Market for small businesses earlier this month. In June, the company introduced its Connected Accounting technology that automatically categorises accounting data to give businesses insights that can help them better manage their finances.
Back in February, Xero inked a partnership with IT management solutions provider Kaseya and announced ACH integration with Stripe.
