Valley Bank's deal with Bluevine to expand financial tech access for small businesses

Valley Bank, which has a dozen Long Island branches, is expanding its offerings for small businesses through the $340 million purchase of Bluevine Inc., the company said this week.

Valley’s parent company, Valley National Bancorp, announced it will be purchasing the Jersey City-based financial technology company to grow the local bank's customer base of small-business owners on Long Island and nationally, access Bluevine’s $2.1 billion of deposits, and gain the digital company’s online banking, payment and lending software and artificial intelligence capabilities, the company said.

Bluevine offers small businesses lines of credit of up to $250,000 and tools that let business owners create professional invoices, online payment links and send same-day electronic money transfers, according to its website.

The deal, announced Monday, is set to be finalized in early 2027, Valley said.

The purchase "is expected to enhance our core funding capabilities, add a proven small business growth platform and meaningfully accelerate our digital and artificial intelligence capabilities," Ira Robbins, Valley’s chairman, president and CEO said in a statement.

By combining Valley’s existing assets and Bluevine's ability to attract customers across the country as an online company, "we can accelerate our aspiration to be the bank of choice for small businesses across the country," Robbins said. 

Hofstra finance professor Anoop Rai said it is becoming increasingly common for regional and community banks to invest in digital tools that appeal to small business customers.

"Today’s small businesses, they are all very comfortable doing things digitally," Rai said. 

But building the infrastructure for online banking tools is costly and time consuming, he said, making acquisitions like Valley's purchase of Bluevine sensible.

"It takes a lot to start up digital services that are functional and safe without having to go through many tests," he said. "By buying Bluevine, they are getting a company that already has itself established."

At the same time, regional banks are better positioned to work with small-business owners who often face greater hurdles to securing business loans and other financial assistance, he said. 

"The small-business owner definitely prefers local banks that they can approach in-person," Rai said. "If they area digitally advanced, even better."

Valley Bank, headquartered in Morristown, New Jersey has 12 branches on Long Island, including in Farmingdale, Jericho and New Hyde Park.

Founded in 2013, Jersey City-based Bluevine offers banking-like services specifically for small-business owners. As of June, the online-only company had approximately 175,000 active small business customers, the company said.

"Bluevine was founded to give small business owners the financial tools and digital experience they need to manage and grow their businesses," Eyal Lifshitz, co-founder and CEO of Bluevine said in a statement.

"Valley shares that commitment and brings the balance sheet capacity, relationship banking expertise and broader capabilities necessary to support our customers," Lifshitz said.

Once the deal is complete, Lifshitz will join Valley as head of small business banking, according to the announcement.

Experts on Long Island’s small business community said relationships with regional banks like Valley are invaluable for entrepreneurs seeking funds and guidance in getting their operations off the ground.

Smaller, regional banks like Valley, “are more apt to give you that loan as opposed to larger banks where they are going to want to see three years of positive financials,” said Erica Chase-Gregory, regional director of the Long Island Small Business Development Center at Farmingdale State College.”

By buying a fintech company focused on small business, Valley has “acquired more tools and resources for their business customers and those are all great to help a small business grow,” Chase-Gregory said.

Valley National Bancorp reported net income of $598 million for 2025, up from $380 million in 2024, according to annual financial filings. The regional bank has more than $66 billion in assets and over 220 branch locations and offices across eight states, including New York, the company said.