Managed Services Journal featured Baxter’s analysis of fintech’s $5 trillion blind spot, revealing why construction and manufacturing sectors—representing $2.1 trillion and $2.9 trillion respectively—received less than 4% of fintech investment over the past decade. The comprehensive piece explores how AI is finally making enterprise-level financial intelligence accessible to blue-collar industries, transforming manual processes that previously cost mid-size contractors the equivalent of 1.5 full-time employees just for invoice reconciliation. Baxter demonstrates how intelligent payment systems are delivering 40-50% reductions in processing times while cutting costs by up to 80%, freeing up significant working capital for businesses stuck in 60-day payment cycles.
The article positions this transformation as the channel’s biggest embedded finance opportunity, with the market reaching $185 billion in 2024 and growing 25% since 2022. Baxter emphasizes how blue-collar industries offer ideal conditions for MSPs: high transaction volumes, manual processes ready for modernization, and business owners who understand operational efficiency’s direct profit impact. With construction averaging $18,000 in monthly billings and manufacturing showing 490,000 job openings, the piece warns that the competitive window is narrowing as early movers establish operational advantages while competitors remain stuck with manual processes.
