Tide, a U.K.-based business banking startup, is integrating with Intuit QuickBooks to save users time and eliminate tedious bookkeeping tasks.
With the QuickBooks integration, which will go live by mid-November, small businesses using Tide have their transactions automatically filled out and categorized within the Tide app.
While the tie-up with QuickBooks makes banking more convenient for customers, it’s a data play for Tide, which can use its understanding of customer transactions to anticipate their needs more effectively.
According to Ali Travis, vice president of business services at Tide, adding QuickBooks provides Tide with a more holistic view of users’ financial data.
“We know the money coming in, and we know the money coming out,” Travis said. “We know what sort of transactions those were. We can help people by estimating their [value-added tax] liability and how much they’ll have to pay at the end of the quarter.”
Meanwhile, QuickBooks provides real-time updates on cash balances, expenses and payments, and it provides users with a way to categorize transactions for tax and bookkeeping purposes. Tide users can see two years of transactions through QuickBooks.
Tide generates revenue from transaction and subscription fees, along with referrals to third-party credit companies, including Iwoca. Tide also launched a subsidiary in September called Tide Capital that offers pre-approval for business loans to certain users.
The QuickBooks integration comes as Tide makes moves to expand the capabilities of its platform. Last month, it hired Guy Duncan, the former chief technology officer at BMW’s connected car venture, as chief technology officer. It also launched a receipt management tool that lets small businesses digitize physical receipts.
Tide is competing in a crowded field of well-funded competitors that are also aiming to reach businesses. In October, U.K.-based Revolut announced its own integration with QuickBooks. Meanwhile, N26 and Monzo offer business accounts.
According to Travis, what sets Tide apart is a tailored approach based on customer data. “We can infer information from your business,” he said. “We can automatically suggest and help customize the journey and experience for the sort of business you are.”
Tide onboards 12% of new business accounts in the U.K. and has so far raised more than £70 million ($90 million), according to the company.