SAN FRANCISCO–(BUSINESS WIRE)–#crossriverbank—Parafin, a leader in embedded financial infrastructure, today announced a new forward-flow agreement with Cross River Bank (“Cross River”), a technology infrastructure provider that offers embedded financial solutions. Through the agreement, Cross River’s Principal Finance Group (“PFG”) has committed to purchasing up to $360 million in aggregate assets.
This arrangement provides Parafin with a significant source of committed capital, strengthening its ability to support the growing funding needs of small businesses through its embedded finance platform. Parafin provides white-labeled embedded financial services for platforms, including working capital and business financing, delivered directly to their small businesses and merchants. For Parafin, the forward flow commitment represents their inaugural off-balance sheet commitment.
“This is a key milestone in our mission to deliver fast, flexible, and accessible financing products to small businesses,” said Sahill Poddar, CEO and Co-founder of Parafin. “It enhances our ability to scale responsibly and meet rising demand from platforms and merchants that depend on Parafin to drive growth for their respective businesses. We’re excited to partner with Cross River in our shared commitment to innovation and our mission to equip businesses with the financial tools they need to grow.”
“We’re proud to provide a committed capital solution that empowers Parafin to expand its reach and deliver frictionless access to financing where it’s needed most,” said Rahul Jha, Head of Principal Finance at Cross River.
Cross River’s Principal Finance Group provides credit facilities and forward flow purchase arrangements to support the scalable growth of innovative fintech platforms solving for gaps in the financial system, and their capital partners.
Cross River is committed to expanding access to capital to unlock the full potential of small businesses. Through this capital commitment from CRB, the companies can continue in their shared mission to build the infrastructure that empowers entrepreneurs to grow, innovate, and compete—fueling a more inclusive and dynamic economy for the future.
About Parafin
Parafin is a financial infrastructure company that provides platforms with embedded financial products for their small businesses by abstracting the complexity of capital markets, underwriting, servicing, compliance, and customer support. By powering the embedded financial services of merchants platforms, small businesses can run and grow themselves despite uncertain economic conditions.
To date, Parafin has launched on Amazon, Walmart, DoorDash and more platforms to serve hundreds of thousands of businesses and extended over $14 billion in offers.
Parafin was founded in 2020 by Sahill Poddar, Vineet Goel, and Ralph Furman, and is backed by Ribbit Capital, Thrive Capital, GIC, Notable Capital, and Redpoint Ventures.
For more information about Parafin, please visit parafin.com or contact [email protected].
About Cross River Bank
Cross River provides technology infrastructure powering the future of financial services. Leveraging its proprietary real-time banking core, Cross River delivers innovative and scalable embedded payments, cards, lending and crypto solutions to millions of consumers and businesses. Cross River is backed by leading investors and serves the world’s most essential fintech and technology companies. Leading the industry, Cross River is reshaping global finance and financial inclusion. Member FDIC. Find out more at www.crossriver.com.
Cross River
Mackenzie DeLuca
201-808-7000 ext. 778
[email protected]
Contacts
Parafin
[email protected]
