No exact close date was given, except Block said the deal will close “in a few months”. Wave is expected to add $40 million to $45 million to Block’s revenue for the year ending April 30, 2020, based on a nine-month ownership. Block will absorb Wave’s loss and related transaction costs of $25 million to $35 million. “We do not expect Wave to be profitable in the near to medium term,” Block's CFOTony Bowen said during this week's earnings webcast for financial results for fiscal 2019. Wave, founded in 2009, was one of several low-end financial software companies that emerged after 2000. Others included Freshbooks, started in 2002, and Kashoo, which was organized in 2008. Since then, companies like this seem to be largely picking up the scraps left by Intuit and Xero. That tough market probably explains this deal and also that payroll service provider Paychex invested in Kashoo in 2013. These companies needed another plan. Wave generates revenue by providing payment processing, payroll services, and bookkeeping services. It offers a free suite of products featuring accounting software, invoicing and receipt scanning.