Irish-American digital payments firm Stripe is set to buy India-based Recko, which offers payments reconciliation software for digital businesses, for an undisclosed sum.

As part of the deal, employees of Recko will join Stripe’s remote engineering hub.

The deal adds payment reconciliation capabilities to Stripe’s revenue platform.

Payment reconciliation is performed by finance teams to find out discrepancies and eliminate incorrect accounting by comparing two or more sets of records to confirm accuracy.

The process allows to keep a check on the company’s financial health at a point in time.

Recko automates this process for businesses by tracking and analysing financial transactions, revenue receivables, payables and contract discrepancies.

Stripe chief product officer Will Gaybrick said: “Payments reconciliation shouldn’t be a mild headache that balloons into a migraine as a company grows—it should be an easy, highly automated process.

“Stripe helps millions of businesses around the world streamline their revenue management—from subscriptions and invoicing to revenue recognition and bookkeeping. With Recko, we’ll automate their payments reconciliation, a critical input into their overall financial health.”

The addition of Recko will enable the automation of the collection of transaction data from financial systems and non-Stripe payment processors.

It will enable accurate accounting of currency differences, refunds, fees, and chargebacks that may not get updated simultaneously in financial records.

Additionally, it will enable businesses to produce weekly, monthly, or quarterly reconciliation reports, that can be exported to third-party tools and platforms.

Stripe – expansion and strategy

The latest takeover builds on Stripe’s recent efforts to expand beyond the payment acceptance space.

Last month the company rolled out four new products in Canada as part of a strategy to ramp up its presence in the country.

These products were Stripe Tax, Pre-Authorized Debits, faster payouts, and a new smart reader for Stripe Terminal.

Stripe has also been increasing its capital deployment in India, with focus on updated data locality architecture and rapid local hiring.

In 2017, the firm launched an invite-only private beta in India with a limited number of companies.