Top Embedded Lending Providers 2026 – B2B Lending & Working Capital APIs

Embedded lending is credit — working capital, B2B BNPL, invoice financing, revenue-based financing, or term loans — offered natively inside a non-lender's software, marketplace, or checkout via a lending provider's APIs. The embedded lending provider underwrites the borrower (often using the host platform's transaction, payments, or accounting data), sources or holds the capital, and handles servicing and regulatory compliance. The platform owns the customer relationship and the experience, so the loan feels like a native feature rather than a redirect to a bank.

Leading embedded lending providers include Parafin (embedded capital for marketplaces like DoorDash and Amazon), Kanmon (term loans, lines of credit, and B2B BNPL for vertical SaaS), Defacto (instant B2B credit and BNPL across Europe), finmid (embedded financing for European marketplaces such as Wolt), Liberis and YouLend (revenue-based financing distributed through acquirers and PSPs), Pipe (capital-as-a-service on recurring revenue), and Lendio (SMB loan marketplace). See the comparison and full directory above.

A platform integrates the lending provider's API and surfaces credit offers inside its own product (a dashboard, checkout, or invoicing flow). When a customer applies, the provider underwrites in real time — frequently using data the platform already holds, such as sales volume, payment flows, or accounting records — then originates and services the loan. Capital comes from the provider's own balance sheet or its bank and institutional funding partners. The platform typically earns a referral fee or revenue share and carries little to no credit risk.

B2B BNPL (buy now, pay later for businesses) is one product within embedded lending — it lets a business buyer defer or split payment for a specific purchase at checkout, with the provider paying the seller upfront. Embedded lending is the broader category that also covers working capital, revenue-based financing, merchant cash advances, invoice financing, and lines of credit that aren't tied to a single transaction. Providers like Defacto and Kanmon offer both B2B BNPL and general working-capital products.

Usually not for the platform itself. The embedded lending provider (or its bank and funding partners) holds the required lending licenses and takes on the regulatory obligations — origination, disclosures, state licensing in the US, and consumer-credit rules where they apply. The platform integrates via API and distributes the product under its own brand. You should still review the provider's licensing coverage for your markets and confirm which party is the lender of record.

Most price on the cost of capital plus a margin: a factor rate or fee on revenue-based advances and merchant cash advances, interest on term loans and lines of credit, or a discount on financed invoices. Platforms that distribute the product typically receive a referral fee or revenue share. Because underwriting leans on the platform's first-party data, approval rates and unit economics are often better than standalone SMB lending.