← Embedded Finance Index 2026

Pennylane

“Can Pennylane become the financial operating system for European SMEs by embedding banking, lending, and AI-powered accounting into a single platform built around e-invoicing compliance?”

Founded2020
HQParis, France (2-4 rue Jules Lefebvre, 75009)
Total raised$450.9M
Latest roundSeries E, February 2026
Valuation~$4.25B / €3.6B post-money (February 2026)
IndustryHorizontal SaaS / Accounting
The story

Founded in 2020 as a modern accounting and financial management SaaS targeting French SMEs and accounting firms, Pennylane initially focused on unifying bookkeeping, invoicing, and cash flow into one platform. From 2023 onward, the company began embedding financial services directly into its product—first with a business bank account (Compte Pro) and corporate cards, then with invoice financing via Defacto embedded at the point of e-invoice issuance. The 2024 PDP certification transformed Pennylane into regulated e-invoicing infrastructure, and the 2026 Series E signals an ambition to become the financial OS for European SMEs, expanding geographically and layering in AI, lending, and payments terminals.

Last 12 months
2025-04
2026-02
2026-02
2024-12
Product timeline
2020
Founded in Paris as an all-in-one financial management and accounting platform for French SMEs and accounting firms.· pivot
2023
Launched a public accounting API allowing third-party tools to push and pull accounting entries, invoices, and attachments into Pennylane.· banking
2024
Received PDP (Partner Dematerialization Platform) certification, enabling e-invoicing compliance under French regulatory reform.· banking
2024
Launched integrated invoice financing in partnership with Defacto, allowing SMB clients to instantly finance accounts receivable directly from the e-invoicing tool.· lending
2025
Raised €75M Series D; launched Compte Pro (business bank account) with corporate cards; expanded into Germany.· banking
2026
Raised €175M Series E led by TCV and Blackstone Growth at a €3.6B valuation; launched cheque deposits, payment terminals, and SEPA direct debit; surpassed 800,000 business customers.· banking
Regulated entities
2
regulatory licences held by Pennylane
Licence types, jurisdictions and registered entities are in the Embedded Finance Index report.
The stack
5 layers disclosed in Pennylane’s embedded-finance stack
Money movement
SEPA
Banking / BaaS
in the full report
Lending
in the full report
Unified APIs
in the full report
Accounting
in the full report
Accounting gap: none
6 more providers across 4 layers, with confidence-scored evidence and source URLs, are in the Embedded Finance Index report.