Parafin Launches AI-Powered Pay Over Time to Support Small Businesses with Flexible Financing
Parafin today introduced Pay Over Time, an AI-powered financing solution that lets small businesses defer essential expenses like inventory, equipment, payroll, advertising, and rent directly within the platforms they already use. This embedded finance tool gives them faster, more flexible access to credit exactly when needed.
Expanding Access to Real-Time Financing
Parafin, a notable name in embedded finance, has already delivered over USD 14 billion in financing to hundreds of thousands of small businesses. With the launch of Pay Over Time, it embeds credit at points like checkout, invoicing, or even payroll, making borrowing more seamless and contextually integrated.
By enabling businesses to request credit from within their existing workflows, Parafin reduces friction and avoids reliance on separate lending platforms helping firms bridge gaps in cash flow without disruption.
AI-Driven Underwriting for Instant Decisions
Rather than relying solely on traditional credit scores, Pay Over Time uses a large language model–powered AI to analyze raw banking data instantly. This approach converts a company’s transaction history into deep insights, enabling credit approvals in as little as 10 seconds.
Vineet Goel, Parafin’s Chief Product & Technology Officer, explained:
“By leveraging large language models combined with proprietary tools, we assess business finances in real time and provide high-approval credit decisions. Pay Over Time allows platforms to support customers exactly when they need it at purchase, payroll, or payment.”
Momentum Across Industries & Use Cases
Pay Over Time is already live with Gusto for payroll financing and is expanding into verticals like:
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Freight booking
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Restaurant equipment financing
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Dental supply procurement
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Digital advertising
These early deployments showcase the flexibility of embedded financing and the appetite small businesses have for credit options that integrate directly with their operations.
Building a Comprehensive Financing Suite
Pay Over Time complements Parafin’s existing credit and capital tools together forming a full suite of solutions aimed at helping small businesses manage cash flow, invest in growth, and access credit instantly, without leaving their software environments.
With this move, Parafin strengthens its role as a partner to platforms (accounting, payroll, procurement, etc.), enabling them to embed financing experiences directly for their users rather than leaving it as an add-on.
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