Latest news with #MichaelBarbosa
Axios
5 days ago
- Business
- Axios
Exclusive: OatFi nabs $24M for embedded B2B credit
OatFi, a startup providing an embedded working capital financing infrastructure, has raised $24 million in Series A funding, CEO Michael Barbosa tells Axios exclusively. How it works: OatFi partners with AP, AR, and B2B payment platforms to embed financing into invoice and payment workflows. Its APIs handle underwriting, origination, and capital deployment, which allows platforms to offer net terms and early payouts within their core systems. "We're building this credit layer that supports B2B payments, because a B2B payment is inherently a credit transaction," Barbosa says. The big picture: By standardizing embedded credit as a core part of B2B transactions, OatFi hopes to unlock liquidity for platforms, buyers, and suppliers. "The problem isn't so much the movement of the money; it's the workflow that sits on top of the movement of the money," Barbosa says. State of play: Embedded credit is becoming table stakes across B2B commerce and fintech infrastructure, with platforms like Square, Stripe, and Shopify already offering working capital to merchants based on payment flows. Meanwhile, standalone fintech lenders like Pipe, Parafin, and Settle target embedded lending through platform partnerships or direct integrations. Yes, but: Instead of bolting on a merchant cash advance product using payment data, OatFi embeds a full credit infrastructure inside AP and AR workflows, underwriting each transaction and funding it from its own warehouse lines. "Many are taking this classic, generation-one MCA strategy. That's very much not what we do," Barbosa says. Case in point: OatFi powers embedded financing for procurement tools like freight-forwarding platforms like Koverly, and spend management players like Cledara. By the numbers: The NYC-based company now works with over 20 partner platforms and says it has processed more than $500 million in total payment volume since launching in mid-2022. Zoom in: White Star Capital led the Series A round, which included participation from existing investors QED, Portage, and Lorimer Ventures.
Finextra
6 days ago
- Business
- Finextra
OatFi raises $24m to build credit network for B2B payments
Fintech infrastructure startup OatFi has raised $24 million in Series A funding to build a credit network for business-to-business payments. 0 White Star Capital led the round, with participation from existing investors Portage and QED backing OatFi's effort to tackle one of the main pain points in B2B commerce: payment terms. In traditional B2B transactions, buyers and suppliers often operate on opposing cash flow incentives. Suppliers seek fast post-delivery payments to recover working capital, while buyers look to delay payments to preserve operating cash and liquidity. By embedding its underwriting, origination, and funding capabilities directly into B2B payment platforms within their AP, AR, and commercial charge card workflows, OatFi's APIs enable platforms to facilitate B2B transactions with built-in financing at the point where it's needed most. 'B2B payments are not just a money movement challenge—they're a data and workflow challenge,' says Michael Barbosa, CEO, OatFi. 'That's why we've focused on deep API integrations that offer working capital solutions within the platforms that businesses already rely on to pay and get paid.'
Business Wire
7 days ago
- Business
- Business Wire
OatFi Raises $24M to Build the Modern Credit Network for B2B Payments
NEW YORK--(BUSINESS WIRE)--OatFi, the API-first fintech infrastructure company modernizing how B2B payments are financed, today announced it has raised a $24 million Series A led by White Star Capital, with continued participation from existing investors Portage and QED. OatFi solves one of the most fundamental pain points in B2B commerce: payment terms. By embedding its underwriting, origination, and funding capabilities directly into B2B payment platforms within their Accounts Payable (AP), Accounts Receivable (AR), and commercial charge card workflows, OatFi enables platforms to facilitate B2B transactions with built-in financing at the point where it's needed most. 'B2B payments are not just a money movement challenge—they're a data and workflow challenge,' comments Michael Barbosa, Co-founder & CEO of OatFi. 'That's why we've focused on deep API integrations that offer working capital solutions within the platforms that businesses already rely on to pay and get paid.' The company's API-first approach is purpose-built for integration into the existing workflows of AP/AR systems, issuer processors, and payment platforms. OatFi already counts leading infrastructure players like Unit, Transcard, and Galileo as partners, and has integrated with over 25 platforms over the past three years. In traditional B2B transactions, buyers and suppliers often operate on opposing cash flow incentives. Suppliers seek fast post-delivery payments to recover working capital, while buyers look to delay payments to preserve operating cash and liquidity. This fundamental misalignment has historically relied on outdated solutions like checks, or required suppliers to act as de facto lenders to their customers. OatFi solves this problem with a modern set of APIs that provides a seamless, behind-the-scenes credit layer that delivers the real-time underwriting, ledger and capital to facilitate these transactions. Through OatFi's APIs, parties on both sides of the transaction can operate on their terms without compromising working capital. 'Payment terms determine a business's cash flow conversion cycle—regardless of size,' Barbosa added. ' We're solving this problem where it matters most: at the point of invoicing and payment.' 'OatFi isn't a 'cherry on top' for B2B payment companies looking to unlock a new revenue stream,' said Eddie Lee, General Partner at White Star Capital. 'It delivers a table-stakes product that enables trusted B2B transactions in a world moving rapidly online. First-generation fintech lenders offering MCA products helped support merchants serving consumers. OatFi is helping platforms facilitate commerce between businesses, where the stakes—and the volumes—are even higher.' With this funding, OatFi will accelerate product development and integrations across AP, AR, and payments infrastructure providers – advancing its mission to build the modern credit network powering the $35 trillion in annual US B2B payments. About OatFi OatFi is building the modern credit network for B2B payments. Through API-first integrations with AP, AR, and commercial charge card platforms, OatFi enables financing at the point of transaction, solving payment term mismatches between businesses and facilitating more efficient business cash flow. For more information, visit
