Rainforest, a payment provider purpose-built for software platforms, announce a new $20M Series A funding round led by Matrix Partners, with participation from existing investors including Accel, Infinity Ventures, BoxGroup, The Fintech Fund, Tech Square Ventures, Ardent Venture Partners, and a number of strategic angels.The fresh capital brings Rainforest’s total Funding to $31.75 million and is intended to advance the company’s core technology and product offerings, expand the success team of its platform, and hasten growth through new go-to-market initiatives.
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Rainforest was built from the ground up to be the PayFac-as-a-Service provider that could compete against the giant modern processors and scaled merchant acquirers. Rainforest is the only payments provider built from the ground up to specifically support the unique needs of vertical software platforms. It provide highly-customizable, low-code, white-label integration technology, fully embedded payments and reporting, and a platform-specific merchant underwriting model.
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Rainforest PaaS approach is unique because clients don’t have to make tradeoffs between a lightweight referral partnership and building payments infrastructure in-house. Instead, they get the benefits of both worlds: strong unit economics with no upfront costs, plus full ownership and portability of their customer data.
“Historically, Stripe excelled at helping startups take their very first payment – but they’ve very publicly shifted their focus to large enterprises, leaving mid-market platforms to choose between a DIY Stripe solution built for early stage startups or cobbled-together solutions from a bevy of upstarts. These mid-market platforms tell us that, prior to Rainforest, it was impossible to find a payment provider that offers a full package of modern technology, platform-friendly commercials, and high-touch support,” said Joshua Silver, founder and CEO of Rainforest. “With Rainforest, software companies don’t have to sacrifice or choose between robust technology, excellent support, and attractive contract terms. By providing embedded payments via white glove service that’s risk-adjusted and customized for software platforms, we’re empowering more companies to focus on what they do best: building software that improves economies and experiences for everyone.”
Payments are still surprisingly siloed, inaccessible, and user-unfriendly. However, trillions in payment volume are shifting from old-school solutions to modern software platforms with embedded financial services. Rainforest is a dramatically better experience for buyers, sellers, and the platforms that connect them. I’ve founded and invested in companies with this software plus embedded financial services model over the last decade. I’ve seen dozens of approaches to payments, but none come close to Rainforest. They’ve built their core tech, not just a wrapper around others. They’re experts not just in payments, but in SaaS, platform growth, risk, and the many other areas you need to pull this off. Their impressive traction speaks for itself. I’m thrilled to support them as they continue modernizing embedded payments.
“Payments are still surprisingly siloed, inaccessible, and user-unfriendly. However, trillions in payment volume are shifting from old-school solutions to modern software platforms with embedded financial services,” said Matt Brown, Partner at Matrix and Rainforest Board member. “Rainforest is a dramatically better experience for buyers, sellers, and the platforms that connect them. I’ve founded and invested in companies with this software plus embedded financial services model over the last decade. I’ve seen dozens of approaches to payments, but none come close to Rainforest. They’ve built their core tech, not just a wrapper around others. They’re experts not just in payments, but in SaaS, platform growth, risk, and the many other areas you need to pull this off. Their impressive traction speaks for itself. I’m thrilled to support them as they continue modernizing embedded payments.”
About Rainforest
Rainforest was founded in 2022 by Joshua Silver,Rainforest is a Payments-as-a-Service (PaaS) provider. It help software companies build and optimize embedded financial services so that they can provide a best-in-class payments experience for their end merchants without the risk, compliance, and operational burdens of registering as a payments facilitator with the card networks.
