Stripe has agreed to buy embedded financial products platform Parafin. Financial terms were not disclosed.
Parafin enables platforms such as DoorDash and Jobber to provide credit offerings to small business customers. Since 2020, Parafin has helped more than 60,000 businesses gain access to capital.
Stripe says more than 18,000 platforms build on its stack, increasingly serving as the financial home for small businesses. Stripe has products like Stripe Capital for platforms to generate revenue. Neetika Bansal, business lead at Stripe: “Platforms power millions of small businesses throughout the world and are central to Stripe’s mission.”
“Sahill, Vineet, and the Parafin team bring acute expertise and leadership in credit, risk, and embedded financial products. Together, we’ll be able to offer a wider range of credit products to a larger ecosystem.”