Sasan Goodarzi, President and CEO of Intuit Inc., and Andy Jassy, CEO of Amazon.
David Paul Morris | Bloomberg | Getty Images
Amazon For years, we’ve relied on millions of third-party sellers to provide the majority of the inventory our consumers buy. But for outside retailers, especially small mom-and-pop stores, keeping track of their finances has long been a challenge.
Amazon announced the partnership on Monday. intuition The software company’s online accounting tools will be rolled out to its vast network of merchants in mid-2025. The companies said Intuit QuickBooks will be available in Amazon Seller Central, the hub that sellers use to manage their Amazon businesses. Eligible sellers can also obtain financing through QuickBooks Capital.
“We are working with Intuit to provide our resellers with additional financial tools and access to capital to help them scale efficiently,” Dharmesh Mehta, Amazon’s vice president of worldwide reseller services, said in a joint release. We are working to provide access.”
The companies say sellers will be able to see the financial health of their businesses in real time, with clear visibility into profitability, cash flow and tax estimates.
The Intuit integration is not expected to become operational until the middle of next year, but the announcement comes as merchants ramp up their operations for the holiday season, the busiest time of the year for most retailers. Ta.
Representatives from both companies did not disclose specific terms of the agreement, including how revenue will be shared.
Marketplaces are an important part of Amazon’s retail strategy. In addition to accounting for about 60% of the products sold, Amazon generates fees by providing fulfillment and shipping services, providing customer support to sellers, and charging advertising fees on its site.
Third-quarter merchant services revenue increased 10% to $37.9 billion, accounting for 24% of total revenue, a number that has steadily increased in recent years. Amazon CEO Andy Jassy said in an earnings call:[third-party] Demand remains strong and unit sales are strong. ”
Amazon stock has risen nearly 50% this year and hit a new record on Friday, outpacing the Nasdaq’s 31% annual gain. Meanwhile, Intuit has underperformed broader tech indexes, with its stock expected to rise less than 4% in 2024.
Intuit stock fell 5% on Nov. 19 after the Washington Post reported that President-elect Donald Trump’s government efficiency team is considering developing a free tax filing app. Shares fell about 6% three days after the company released its earnings forecast for the current quarter, which fell short of analysts’ expectations due to delays in some sales.
QuickBooks is particularly popular as an all-in-one accounting, expense management, and payroll tool for small and medium-sized businesses, and has been one of Intuit’s key drivers of growth. The company announced in November that its QuickBooks Online Accounting division expanded 21% in the latest quarter, with total revenue up 10% to $3.28 billion.
Intuit has been adding generative artificial intelligence tools to other small business services such as QuickBooks and its email marketing product Mailchimp to provide users with more automated insights.
“As you can imagine, as we look to the future, our goal is to expand our entire platform, Mailchimp, QuickBooks, and all of our services,” said Intuit CEO Sasan Goodarzi. and creating tailored experiences for our users across the globe,” he said of fiscal first-quarter revenue. phone.
Goodarzi said in a release Monday that the company is introducing “an AI-driven expert platform that helps sellers increase revenue and profitability, save time, and grow with confidence.”
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