Lloyds Launches 'Get Paid' In-App Invoicing Tool to Tackle Late Payments for SMBs

Lloyds is integrating invoicing and payment collection directly into its business banking app through a strategic partnership with BankiFi. For fintech professionals, this "embedded accounting" move signals a shift where tier-one banks are reclaiming financial workflow territory previously ceded to third-party software providers, offering these tools for free to secure SME loyalty and deposit data.

What was announced

The new tool, branded "Get Paid," is scheduled for launch later this year and will be available to Lloyds business banking customers at no additional cost. The service allows users to create and send professional invoices, issue secure payment links, and track the status of outstanding requests directly through the Lloyds mobile app and online banking portal. By integrating these features, the bank aims to eliminate the need for small businesses to purchase or toggle between separate invoicing and accountancy software for their basic financial administration.

A core feature of the Get Paid tool is the use of automated reminders, designed to reduce the manual effort required to follow up on late payments. This functionality addresses a significant economic hurdle for the UK's small business sector. Government research indicates that 49% of small businesses report that customers typically exceed agreed payment terms. According to data from the Office of the Small Business Commissioner, approximately 14,000 businesses close annually due to late payment issues. At any given time, UK businesses are owed an estimated £26 billion in overdue payments, representing an average of £17,000 per business.

The rollout follows a previous collaboration between Lloyds and BankiFi earlier this year, which introduced Making Tax Digital for Income Tax functionality within the Lloyds Business Current Account. This expanded partnership focuses on embedding wider financial workflows into the primary banking experience, allowing businesses to manage day-to-day finances, tax administration, and payment tracking in one consolidated environment.

"Businesses shouldn't have to pay extra for the tools they need to get paid. By building invoicing and payment collection directly into the Lloyds banking experience at no additional cost, we're making it easier for customers to manage cashflow and spend more time growing their business."

Ruchir Rodrigues, BCB Client Strategy & Commercial Director at Lloyds.

The companies involved

Lloyds Banking Group is a major pillar of the UK financial services industry, with a massive footprint in retail and commercial banking. The group has been the subject of 186 reports by FF News, reflecting its central role in the digital transformation of the British high street. In recent years, the bank has pivoted toward a partnership-heavy model to modernize its legacy infrastructure and offer competitive digital services to its SME customer base.

BankiFi, founded by Mark Hartley, is a technology provider that specializes in helping financial institutions move beyond traditional banking products. The company’s platform is designed to embed fundamental financial workflows—such as invoicing, accounting, and tax—directly into a bank’s existing digital interface. This approach, which BankiFi describes as making banks more relevant to how businesses operate, has seen the firm gain traction as a key enabler for "embedded accounting." BankiFi has been featured in 14 FF News stories, highlighting its growing influence as a strategic partner for large-scale lenders looking to defend their SME market share against specialized fintech challengers.

What FF News has reported before

FF News has consistently tracked the digital evolution of Lloyds Banking Group as it navigates the intersection of traditional finance and modern technology. Recently, the publication covered how Lloyds and Societe Generale Complete First UK-France Fully Digital Letter of Credit, a milestone in trade finance digitisation. This move towards digital-first solutions is a recurring theme for the bank as it seeks to streamline complex processes. While Lloyds continues to expand its SME toolkit, the broader UK fintech sector remains highly active; for instance, FF News recently reported on how Monzo Accelerates European Expansion with Adclear AI to Cut Compliance Approval Times by 82%, highlighting the intense competition for business and retail customers in the British market.

What this means

This announcement places significant pressure on standalone SME accounting software providers who have long monetized basic invoicing and payment tracking features. By embedding these tools for free, Lloyds is effectively commoditizing a service that was once a distinct revenue stream for third-party platforms. This move raises questions about the future of the "app gallery" model in banking; instead of just connecting to external tools via APIs, banks are now absorbing the functionality entirely. For the wider industry, the success of this rollout will determine if "embedded accounting" becomes a standard expectation for business accounts, potentially forcing other high-street lenders to follow suit or risk losing SME engagement to more integrated competitors.