# $340 Million TSheets Acquisition by Intuit

> Intuit's December 2017 acquisition of time tracking service TSheets for $340 million, which was later rebranded as QuickBooks Time. The acquisition demonstrated the strategic value of time tracking in the accounting and payroll ecosystem.

- **URL:** https://techcrunch.com/2017/12/05/intuit-acquires-time-tracking-service-tsheets-for-340m/
- **Category:** Business Model
- **Tags:** Acquisition, Market Validation, Integration
- **Updated:** 2026-03-19 14:40
- **Canonical page:** https://timetrack.works/hi/items/340-million-tsheets-acquisition-by-intuit

## Details

## Overview

In December 2017, Intuit acquired TSheets, a time tracking and employee scheduling service, for approximately $340 million in cash and other consideration. The transaction closed on January 11, 2018, and represented one of the largest acquisitions in the time tracking software space.

## About TSheets

### Company Background
- **Founded**: 2006
- **Location**: Eagle, Idaho
- **Founders**: CEO Matt Rissell and CTO Brandon Zehm
- **Customer Base**: Over 35,000 customers at time of acquisition
- **Employees**: Became Intuit's Eagle, Idaho office post-acquisition

### Product
TSheets was a leading time tracking and scheduling platform that allowed hourly employees to clock in and out with ease via:
- Computer
- Tablet
- iPhone or Android app
- Phone call
- Text message
- Tweet (Twitter integration)

## Strategic Rationale

### Existing Overlap
At the time of acquisition:
- **12,000 shared customers** between Intuit and TSheets
- Significant natural integration between QuickBooks and time tracking
- Complementary user bases in small business market

### Market Positioning
The acquisition positioned Intuit to:
- Offer integrated payroll and time tracking
- Compete with standalone time tracking competitors
- Deepen QuickBooks ecosystem
- Provide end-to-end business management

### Value Proposition
For QuickBooks users:
- Seamless time-to-payroll workflow
- Integrated invoicing from tracked time
- Unified data across accounting and time tracking
- Single platform for business management

## Post-Acquisition Evolution

### Rebranding
- **Original Plan**: Re-brand as "Time Capture"
- **Final Name**: QuickBooks Time
- **Integration**: Full integration into QuickBooks ecosystem

### Product Development
- Maintained TSheets' core functionality
- Added QuickBooks native features
- Improved cross-product data flow
- Enhanced mobile capabilities

## Market Impact

### Validation of Time Tracking Market
The $340M price tag demonstrated:
- Significant market size for time tracking
- Strategic value beyond standalone product
- Integration potential with accounting/payroll
- Recurring revenue model attractiveness

### Competitive Landscape
The acquisition:
- Raised barriers for independent time trackers
- Encouraged other integrations and acquisitions
- Validated freemium and SMB-focused models
- Showed importance of mobile-first design

### Industry Consolidation
Followed by:
- Increased M&A activity in time tracking space
- More integration partnerships
- Platform plays by major software vendors
- Consolidation of standalone time trackers

## What Made TSheets Valuable

### Technology
- Mobile-first architecture
- Multiple clock-in methods
- GPS and geofencing capabilities
- Robust API for integrations
- Scalable cloud infrastructure

### Market Position
- 35,000+ customers
- Strong SMB focus
- Industry-specific solutions
- Positive customer sentiment
- Growing recurring revenue

### Team & Culture
- Experienced founding team
- Strong engineering culture
- Customer-focused development
- Geographic advantage (Idaho talent)

### Strategic Fit
- Natural QuickBooks complement
- 12,000 shared customers proved demand
- Clear integration path
- Similar target market

## Financial Analysis

### Valuation Metrics
Assuming TSheets had:
- 35,000 customers
- ~$30-50M estimated annual revenue
- Revenue multiple: 6-11x (typical for SaaS)
- Premium paid for strategic fit

### Return on Investment
For Intuit:
- Cross-sell to QuickBooks base
- Upsell Time to TSheets customers
- Platform lock-in increases
- Reduced churn through integration

## Lessons for Time Tracking Startups

### What Drives Acquisition Value

**Strong Integration Potential**
- Complementary to existing products
- Shared customer base
- Natural workflow connections
- Cross-sell opportunities

**Mobile Excellence**
- Mobile-first architecture
- Multiple access methods
- Location-based features
- User-friendly interface

**Market Position**
- Significant customer base
- Industry-specific offerings
- Brand recognition
- Growth trajectory

**Technology Stack**
- Scalable architecture
- API-first design
- Modern cloud infrastructure
- Integration-ready

### Building for Acquisition
- Focus on specific market segment
- Build deep integrations early
- Demonstrate product-market fit
- Maintain high customer satisfaction
- Develop recurring revenue model

## Current Status (2026)

### QuickBooks Time Features
- Automatic time tracking
- GPS and geofencing
- Mobile and desktop apps
- Payroll integration
- Project time tracking
- Scheduling
- PTO management
- Reporting and analytics

### Market Position
- Leading time tracking for QuickBooks users
- Competitive with standalone trackers
- Strong SMB market share
- Continued feature development

## Competitor Response

### Market Reaction
Other time tracking companies:
- Focused on differentiation
- Built alternative integrations
- Targeted different market segments
- Emphasized independence

### Integration Race
Increased focus on:
- Accounting software integrations
- Payroll platform connections
- Project management ties
- Business software ecosystems

## Key Takeaways

### For Entrepreneurs
- **Integration is valuable**: Products that connect workflows command premiums
- **SMB focus works**: Small business market can support significant businesses
- **Mobile matters**: Mobile-first design is table stakes
- **Recurring revenue**: SaaS model attracts acquirers

### For the Industry
- **Consolidation continues**: Expect more time tracking M&A
- **Platform advantage**: Integrated platforms have competitive edge
- **Specialization opportunity**: Niche solutions can still thrive
- **Innovation required**: Continuous improvement necessary

### For Users
- **Integration benefits**: Seamless workflows from acquisitions
- **Product continuity**: Core features typically maintained
- **Platform lock-in**: Consider multi-platform strategies
- **Price implications**: Acquisitions may affect future pricing

## Conclusion

The $340 million TSheets acquisition validated time tracking as a strategic, high-value market segment. It demonstrated that well-executed time tracking products with strong integration potential and loyal customer bases can command significant premiums, while also showing the ongoing consolidation trend in business software toward integrated platforms.

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