Parafin, an embedded financial infrastructure company, renewed and upsized its warehouse credit facility. With Silicon Valley Bank, a division of First Citizens Bank (SVB); EverBank, which joins as a new A-note lender; and Trinity Capital, the expanded facility increases Parafin’s borrowing capacity and reduces its cost of capital.
This upsize builds on Parafin’s existing $125 million warehouse facility from SVB and Trinity Capital in 2024. Now, the new facility will enable Parafin to deliver even more flexible financing products to small businesses directly within the platforms it already uses, like Amazon, DoorDash, Gusto, TikTok Shop, Walmart and others.
“Small businesses are core to our economy, yet access to the debt markets remains one of their most persistent challenges,” Sahill Poddar, co-founder and CEO of Parafin, said. “We built this company to change that: to embed fast, fair and flexible credit products directly into the platforms small businesses already use every day. This facility upsize from our banking partners gives us the capacity to reach even more of them.”
Brian Foley, market manager for SVB’s FinTech group, said, “By helping address financing, Parafin is enabling entrepreneurs to stay focused on building and scaling their businesses. SVB is proud to support this next phase of Parafin’s growth by providing financial infrastructure and insights that will help the company’s continued expansion.”
Jonathan Lustig, lender finance director at EverBank, added, “EverBank is pleased to support Parafin as it continues to expand and scale its embedded finance platform for small businesses. Our participation in this credit facility reflects our commitment to delivering tailored lending solutions that address the unique needs of our clients. We look forward to continuing to build our strategic relationship with Parafin.”
Steven Lambe, managing director of asset-based lending at Trinity Capital, said, “We’re excited to build on our strong partnership with Parafin and continue to support the expansion of their platform. This upsized facility reflects our confidence in their team and the strength of what we’ve seen over the past two years of partnership. It’s always a pleasure to work alongside SVB and EverBank, and to continue partnering to provide capital that supports Parafin’s ongoing growth.”
The facility is supported by a syndicate of leading institutions with experience in specialty finance and structured credit.
