On July 1st, 2025, Flagship Advisory Partners co-hosted an event with UBS in London, where Anupam Majumdar, Partner at Flagship, presented on the rising wave of B2B and Office of the CFO SaaS innovation in Europe, highlighting its evolution in relation to the more mature US fintech landscape.
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Some Key Takeaways:
- B2B payments represent a substantial $135 trillion in volume as of 2023, which is 2.5x larger than the C2B segment.
- In contrast to C2B payments, where payments between consumers and merchants tend to be rather simple (often a click of a button or a tap of a phone), B2B payments between buyers and suppliers are significantly complex, often involving a series of workflows. Today, there are several pain-points in the buyer-seller transaction flows.
- However, these pain points offer opportunities for value creation through automation, digitization and embedded fintech, simplifying the naturally complex B2B transaction flows.
- B2B CFO workflow automation SaaS platforms continue to demonstrate strong linkages with payments and fintech, viewing embedded fintech as a strong driver of monetization and growth.
- The embedded finance maturity for B2B SaaS varies by region and functional orientation, yet overall, more mature in the US. In the U.S., companies such as BILL and AvidxChange offer successful examples of mature embedded finance strategies in B2B SaaS, having expanded their payments and fintech revenues from 2021 to 2024.
- B2B fintech and SaaS in Europe are still emerging relative to the more mature US market, with a fragmented ecosystem that continues to rely heavily on traditional bank transfers. However, market consolidation, and funding / M&A activity across the European of CFO Stack, as well as upcoming B2B e-Invoicing mandates will have an impact on B2B fintech and SaaS in Europe.
- Payments acceptance is only the starting point. Over time, successful platforms evolve to deliver new embedded finance use cases and products that go well beyond payments (e.g., into embedded lending, x-border payouts).
- There are a wide variety of opportunities for every stakeholder who are involved in the value chain – banks, fintechs, B2B SaaS and card schemes.
Please do not hesitate to contact Anupam Majumdar at Anupam@FlagshipAP.com with comments or questions.