Payment-as-a-service platform Rainforest has announced the raise of USD 8.5 million in funding round to offer software companies embedded financial solutions. The seed funding round was led by Accel, with a number of strategic angel investors also being included in the investment.

Rainforest also secured a USD 3.25 million venture debt facility from Silicon Valley Bank (SVB). The money is set to be used in order to invest in its products, as well as to improve the manner in which software businesses drive revenue and optimise retention. Furthermore, Rainforest will also focus on allowing businesses to enable their users to accept and send payments in a secure and efficient manner.

In addition, the company will also prioritise the process of hiring in order to grow its team and workforce. As Rainforest works in a number of different verticals (such as healthcare, trucking, nonprofit, retail, and membership management), the company also plans to expand the broadness of its services by securing strategic partnerships. Rainforest will prioritise offering customers contractual portability, allowing them to own the data that is collected during the onboarding process (such as ownership structure, bank accounts, and tax IDs).

More information on Rainforest’s strategy of development Following this announcement, the PaaS platform is set to improve the manner in which its customers and software companies will design and optimise their embedded financial services. Rainforest will continue to provide clients with its low-code integration technology, and true and secure merchant portability, as well as offering them the possibility to solve the risk and compliance burdens and challenges. Furthermore, included in the set of services provided by Rainforest are the risk management products and the merchant onboarding tools, which were designed to meet the needs, preferences, and demands of its clients while remaining compliant with the requirements and laws of the industry.

Rainforest leverages a revenue model that is entirely consumption-based, just like cloud solutions, which enables the company to earn a small percentage of each transaction of payment that is being processed. According to TechCrunch, Rainforest designed its modern processors in order to meet the expectations of its merchants and traders, not specifically for software platforms. In addition, the company aims to capture volume and to expand its suite of solutions as software platforms are currently migrating from legacy processors, including tools such as Fiserv and FIS.

Thus, Rainforest will prioritise its overall improvement and development of embedding financial services and payments. .