Parafin Raises $100M Series C for Embedded Financial Infrastructure

Parafin closed a $100 million Series C funding round in December 2024, making it one of the largest U.S. startup raises of the month. The company provides pre-built financial services infrastructure that enables platforms and marketplaces to offer financial products—such as lending and capital access—directly to their small business customers. Parafin's model is closely aligned with Banking-as-a-Service and embedded finance, as it abstracts away the complexity of financial product delivery for non-financial platforms.

The funding positions Parafin to deepen its product suite and expand its platform partnerships. The round reflects strong investor demand for infrastructure companies that power embedded financial services for the SME segment. Financial terms beyond the total raise amount were not publicly disclosed.