2025 was a year shaped by conviction and discipline. We made deliberate choices about where to invest so we could better support small businesses and the platforms they trust. Those decisions led us to introduce new products and features, deepen our partnerships, and strengthen our financial and tech foundation. Looking back, the year reflects how purposeful shifts can create momentum, and how staying true to our mission helps deliver on what small businesses need most.
In 2025, we introduced new products and strengthened the core capital experience, all in service to solving a broader set of pain points for small businesses.
We launched Pay Over Time to help businesses defer essential expenses like inventory, equipment, advertising, and rent. The product first launched with Gusto as a payroll line of credit and won an award for best embedded finance product for SMBs by Tearsheet. This recognition demonstrates that our new product is delivering meaningful impact for businesses that have critical, time-sensitive financing needs that traditional options often overlook.
We also made major enhancements to our capital program:
These rollouts, along with many other improvements across the year, allowed us to support a broader range of small business needs across industries and segments.
Our partner ecosystem grew significantly in 2025. Platforms reached new milestones, including Fullsteam surpassing $125 million in capital financing. Partners expanded their programs with us, adding new products and reaching new merchant segments. Our partnership with 360 Payments has evolved into a multi-product financing program. This year, 360 Payments exceeded $100M in total originations, a clear demonstration of how we grow with partners as they expand financing for their customers.
We also welcomed several new partners. Leading platforms such as Jobber, NMI, Kajabi, and accept.blue joined the Parafin network. We signed a major restaurant point-of-sale software provider, and are in active conversations with dozens of leading platforms.
Across industries, platforms made the same determination: they need a financing partner built for the long-run, one that can offer scale, product depth, and stability.
Our work in 2025 also focused on building the foundation that will support Parafin’s next stage of scale.
Increased our funding capacity: We expanded and diversified our funding sources through a new forward flow arrangement with Cross River Bank. This strengthened the financial infrastructure behind our programs and positioned us to support more partners and more complex financing products.
Advanced our underwriting infrastructure and tech stack: We made significant improvements to the systems that power our products. We upgraded our underwriting stack, introduced agentic workflows that accelerate speed, accuracy, reduce manual steps, and modernized money movement infrastructure to deliver greater reliability at higher volumes. These investments give us the stability and speed needed to scale responsibly.
Reached a major revenue milestone: We surpassed $100M in annualized revenue run rate1, signaling strong product-market fit and increasingly efficient unit economics. This scale gives us more operating leverage, strengthens our ability to reinvest in our infrastructure, and improves the financial durability needed to support profitable growth in the years ahead.
Even in a challenging environment, small businesses continued to invest and grow through our financing programs. With a strong 2025, we have now collectively served more than 39,000 businesses and extended over $25 billion in cumulative offers across restaurants, e-commerce, field services, health and wellness, beauty, automotive, and more.1
We maintained a 4.8-star rating on Trustpilot, reflecting consistent, high-quality customer experiences:
“I am extremely impressed with Parafin and their exceptional service. I received the funds within 24 hours, and this quick funding has made a huge difference for my business.”
— Gautam Paatel, restaurant business owner
“A source of stability for my business… without loads of paperwork or dealing with being denied by a bank.”
— Annemarie Shirley, health and wellness business owner
A truly amazing customer experience. Looking forward to continuing to partner with Parafin through FieldEdge. Highly recommend!
— Ryan Murphy, field services business
These stories highlight how embedded financing helps small businesses navigate uncertainty and invest in their future.
In 2026, we will continue building the market’s most comprehensive embedded capital offering and expand the capabilities of our new products. Together, these form a holistic program that supports broader small business needs and helps partners deepen engagement, drive retention, and differentiate their platforms.
As always, we remain grounded in our mission: to grow small businesses through responsible, accessible financing. With a strong 2025 behind us, we are poised to make an even greater impact in the year ahead.
1Based on internal Parafin analysis from December 2025.
All loans are issued by Celtic Bank. All loans and offers are subject to credit approval, identity verification, and are subject to periodic review and may change without notice. Bank transfers are subject to review.
