“Can a specialized private credit fund targeting the underserved $1T+ SMB lending market deliver institutional-grade yields by partnering with fintech lending platforms for deal sourcing and servicing?”
Payout (payout.ai) positions itself as a private credit fund manager targeting the SMB lending market, leveraging Loot's established lending platform to source and service short-duration credit products including lines of credit, term loans, and merchant cash advances. The fund targets institutional-level yields (20% net annual returns) through diversified SMB credit exposure, with a target raise of $50–$100 million structured as a Delaware LP. The company appears to be an asset manager operating atop an existing fintech lending infrastructure rather than a direct consumer-facing lender.
Payout processes payments through Adyen.
The Embedded Finance Index 2026 maps 2 layers in Payout's stack: Payments / PSP (Adyen); Lending (Payout Private Credit Fund — lines of credit ($50K–$150K), Term loans ($50K–$150K) and Merchant cash advances ($50K–$150K)).
Get a read on where your own stack stands against Payout and the rest of its category — what they built versus bought, which providers they use, and where the gaps in your own strategy and competitive set actually are.