“Can a relationship-first, family-owned merchant services ISO differentiate through transparent pricing, local service, and bundled POS/MCA products against commoditized payment processors?”
Founded in 1994 as a family-owned, relationship-driven merchant services ISO (Independent Sales Organization) based in Houston, Texas. The company has remained focused on small business payment processing but has expanded its value proposition to include Clover POS hardware, a merchant cash advance (MCA) product branded as 'Redstone Funding', and fee-elimination programs. Redstone operates as a registered servicer alongside Woodforest National Bank under a co-servicer model for card processing, with Pathward also listed as a banking partner. The company has not pursued venture funding and has remained a privately held, boots-on-the-ground merchant services organization with approximately 34 employees.
Redstone Payment Solutions discloses Pathward as its banking provider, with Woodforest National Bank as its sponsor bank, according to the Embedded Finance Index 2026.
Redstone Payment Solutions does not disclose a bank charter of its own; its banking services are provided through Woodforest National Bank.
Redstone Payment Solutions processes payments through Woodforest National Bank (acquiring bank / co-servicer).
The Embedded Finance Index 2026 maps 4 layers in Redstone Payment Solutions's stack: Payments / PSP (Woodforest National Bank (acquiring bank / co-servicer)); Banking / BaaS (Pathward); Lending (Redstone Funding merchant cash advance); Sponsor bank (Woodforest National Bank).
Redstone Payment Solutions is founded in 1994 and headquartered in Houston, Texas, United States.
Get a read on where your own stack stands against Redstone Payment Solutions 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.