Leading payments provider Square has incorporated its payroll functions into a new “mobile-first” Payroll App, the company announced Tuesday.
The new app provides the same functions as its existing web-based experience, enabling businesses to enter employees’ or contractors’ hours and set up payments. It manages withholding, paying and filing payroll taxes automatically, the company said.
Square touts the solution as one that works for any business, whether they use the company’s payments acceptance solution or not.
As Square continues to demonstrate that it can serve the financial needs of larger businesses, the news reportedly stepped on the toes of dedicated payroll providers. ADP and Paychex stock prices fell on Tuesday, according to CNBC.
Square’s own stock was up following the announcement, which contributed to a surge of positive momentum for the company early this week.
Also on Tuesday, MarketWatch quoted Instinet analyst Dan Dolev as grouping Square in with the high-performing tech companies known as FANG – Facebook, Amazon, Netflix and Google.
“Similar to FANG stocks that have disrupted traditional markets with massive global total addressable markets, Square’s fully cohesive solutions and rapid rate of innovation suggest that it is en route to disrupt the global payments ecosystem,” the site said Dolev wrote in a research note.
The buzz that Square continues to create with its financial services for businesses follows on last week’s comments from CFO Sarah Friar at Recode’s Code Commerce 2018 regarding the company’s plans for the consumer space.
She said that the company is looking for more opportunities to provide money management services to consumers, including savings products or the ability to purchase stock.
“Anything you do today with a bank account, you should look to the Cash App to begin to emulate more and more of that,” she told the audience.