Parafin, a leading embedded finance company, today launched Pay Over Time, an AI-driven payment solution for small businesses. The product allows businesses to defer essential expenses, including inventory, equipment, payroll, advertising, and rent, directly within the platforms they already use. With Pay Over Time, small businesses gain fast, flexible financing when they need it most, helping manage daily operations and long-term investments.

Expanding Access to Real-Time Financing

Parafin has already offered over $14 billion in financing to hundreds of thousands of small businesses. Now, Pay Over Time embeds real-time credit at checkout, on invoices, or during payroll runs, making financing seamless and immediate.

AI-Driven Underwriting for Instant Decisions

Unlike traditional lenders relying on credit scores, Parafin uses LLM-powered AI to analyze raw banking activity instantly. This approach converts thousands of transactions into actionable insights, enabling credit approvals in as little as 10 seconds. Platforms benefit as Parafin manages underwriting, compliance, and servicing efficiently.

“By leveraging large language models combined with proprietary tools, we assess business finances in real time and provide high-approval credit decisions,” said Vineet Goel, Chief Product and Technology Officer and Co-founder of Parafin. “Pay Over Time allows platforms to support customers exactly when they need it at purchase, payroll, or payment.”

Momentum Across Industries

Currently live with Gusto for payroll financing, Pay Over Time is expanding into multiple sectors, including:

  • Freight booking
  • Restaurant equipment financing
  • Dental supply procurement
  • Digital advertising

These early use cases demonstrate Pay Over Time’s flexibility and the rising demand for embedded financing that adapts to business realities.

A Growing Suite of Financing Solutions

Pay Over Time complements Parafin’s existing credit and capital products, forming a comprehensive financing suite. Together, these solutions empower small businesses to manage cash flow efficiently, invest in growth, and access credit instantly without friction.

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News Source: Businesswire.com