← State of Embedded Finance 2026

Parafin

“Can a single embedded finance infrastructure layer become the default capital, credit, and spend OS for every platform serving small businesses?”

Founded2020
HQSan Francisco, CA, United States
FoundersSahill Poddar, Vineet Goel, Ralph Furman
Total raised$558M
Latest roundSeries C
IndustryInfrastructure / Lending
The story

Founded in 2020, Parafin started as a pure embedded-capital provider, enabling marketplaces like DoorDash and Amazon to offer white-labeled working capital to their sellers using platform sales data for underwriting. Over time it broadened from a single lending product into a multi-product embedded finance infrastructure suite, adding a Marqeta-powered Spend Card (credit + rewards), and in 2025 launching Pay Over Time (B2B BNPL / line of credit) and the Gusto Payroll Bridge. Celtic Bank is the issuing sponsor bank across lending products. The 2025 Cross River forward-flow deal signals a shift to off-balance-sheet capital markets sophistication, positioning Parafin as the full financial OS for platform-adjacent small businesses.

Last 12 months
2025-09
2025-09
2025-09
2025-08
2025
2026
Product timeline
2020
Parafin founded by Sahill Poddar, Vineet Goel, and Ralph Furman as a financial infrastructure company providing embedded capital to small businesses via platforms.· lending
2022
Launched on DoorDash and Amazon; raised Series B at $460M pre-money valuation backed by GIC.· lending
2023
Launched Spend Card product powered by Marqeta, offering credit, rewards, and spend management for platform merchants.· card
2025
Partnered with Gusto to launch Payroll Bridge, a payroll line of credit for small businesses, issued by Celtic Bank.· lending
2025
Launched AI-powered Pay Over Time product (B2B BNPL / revolving line of credit) for installment payments at checkout, invoices, and payroll; issued by Celtic Bank.· lending
2025
Secured up to $360M forward-flow commitment from Cross River Bank's Principal Finance Group — inaugural off-balance-sheet arrangement.· lending
The stack
Banking / BaaS
Marqeta
Card issuing
Marqeta
Ledger
Modern Treasury
Lending
Parafin (self-operated underwriting + servicing; Celtic Bank as issuing sponsor)Capital Term Loan (fixed-term, consistent repayments)Capital Flex (revenue-based financing, daily sales-linked repayments)Pay Over Time (revolving line of credit / B2B BNPL — installment payments at checkout, invoices, payroll)Payroll Bridge (payroll line of credit, launched with Gusto)
Open banking
Plaid
Sponsor bank
Celtic Bank
Accounting gap: minor