Parafin Raises $100M Series C

Sahill Poddar and Vineet Goel, Parafin founders. Photo by Darius Riley.

Parafin, the startup building embedded financial infrastructure that quietly powers some of the biggest platforms in the world, has just landed a $100 million Series C round, pushing its valuation to $750 million.

Leading the charge is Notable Capital, with major backing from Redpoint Ventures. Long-time supporters Ribbit Capital, Thrive Capital, and GIC doubled down on their confidence as well.

If the numbers feel dizzying, so is Parafin’s growth. Since its last funding round in September 2022, the company’s annual funding volumes have exploded by 400%, now nearing a whopping $1 billion annually for tens of thousands of small businesses in the U.S. and Canada.

Oh, and profitability? Parafin says it’s just about six months away.

At its core, Parafin does something deceptively simple but transformative: it helps platforms like Amazon, DoorDash, and Walmart embed financial products—think financing, spend management, and savings tools—directly into their ecosystems.

For small business owners, it means accessing capital or financial services in the same place where they already work and sell.

No awkward bank visits, no messy third-party applications. Just streamlined, customized solutions built on real-time performance data.

“Since we launched Parafin, our mission has been to empower small businesses with financial services,” said Sahill Poddar, CEO and co-founder. “Small businesses are the backbone of the American economy yet banks do not have their backs. Incumbent methods systematically bias against women- and minority-owned businesses. This has historically hindered small business growth. At Parafin, we’ve worked tirelessly to construct our entire company—from our products and teams to our processes—to solve this problem.”

It’s hard to argue with the results. Using machine learning, Parafin bypasses outdated financial metrics like credit scores and personal guarantees. Instead, the platform taps into real-world data—performance, transactions, and behaviors—to determine eligibility and pricing.

For a restaurant on DoorDash or a small seller on Amazon, this means financing opportunities that might have been impossible through traditional banks.

Hans Tung, Managing Partner at Notable Capital and now a board member, is clearly all-in. “What immediately drew us to Parafin was their differentiated approach to solving small business financing at scale through strategic partnerships with the world’s largest platforms.

The team has executed flawlessly in building enterprise-grade infrastructure for marketplaces like DoorDash, Walmart, and Amazon, as well as their small and medium business merchants. This is beyond lending—it’s about empowering these businesses through data analytics to grow with the digital economy.”

The company’s infrastructure is the kind of thing you don’t see but can’t ignore.

Platforms integrate it once and unlock a suite of financial tools for their sellers.

• For Parafin, it’s scalable.
• For small businesses, it’s lifeline-level support.

The numbers speak loudly: over $8 billion in financial offers delivered since the company’s founding in 2020.

For Parafin’s CPTO and co-founder Vineet Goel, the story is as much about the platform partnerships as it is about the businesses they serve.

“Today, a small business such as a restaurant on DoorDash can get access to financing to grow their operations. As Parafin expands its reach, we’re excited to bring to life solutions that help small businesses not just access capital but also save, store, and spend money via the platforms they transact on.”

With the new cash infusion, Parafin plans to keep pushing the boundaries: scaling existing products, launching new ones, expanding into international markets, and deepening relationships with platforms that form the backbone of the global small business economy. If small businesses are the heart of commerce, Parafin wants to be the arteries—keeping the money flowing efficiently and sustainably.

It’s not often that a company finds itself both behind the scenes and in the spotlight. But for Parafin, those two realities are just the nature of embedded finance done right. This Series C isn’t just a big win for the company—it’s a signal of where small business financial services are headed next.