Parlay Finance Secures $2M to Revolutionize Small Business Lending

Parlay Finance, the AI-driven Loan Intelligence System (LIS) startup, has raised $2 million in seed funding led by JAM FINTOP. This investment will help Parlay scale its technology, targeting a $1.4 trillion opportunity in small business lending by empowering community banks and credit unions to lend more efficiently and profitably

1. Solving the Small Business Lending Gap

• Small businesses contribute 44% to U.S. GDP but face outdated lending processes.
• Parlay’s Loan Intelligence System (LIS) modernizes these workflows, particularly for SBA loans.
• The platform removes legacy bottlenecks that have slowed loan origination and underwriting.

2. How Parlay’s LIS Works

• Complements existing Loan Origination Systems (LOS), not replaces them.
• Features include:
  • AI-powered decision management
  • Automated eligibility verification
  • Digital customer onboarding and data verification
• Helps lenders identify best-fit products for applicants, improving speed and accuracy.

3. Improved Efficiency Without Increased Risk

• Enables higher loan volumes with streamlined underwriting.
• Maintains rigorous compliance standards while reducing operational complexity.
• Ideal for SBA loans, traditionally difficult due to time and cost constraints.

4. Strategic Investment and Market Expansion

• JAM FINTOP’s network of partner banks provides market validation and growth pathways.
• New board member Stephen Schroder adds governance and strategic experience.
• Funding will accelerate:
  • Product development
  • Deeper system integrations
  • Expansion of lender partnerships

5. Enabling Community Lenders to Compete

• Empowers smaller financial institutions to serve local businesses more effectively.
• Provides access to modern AI tools without needing to overhaul existing infrastructure.
• Democratizes capital access and helps lenders compete with larger institutions.

Parlay Finance is reshaping the future of small business lending. With its Loan Intelligence System, community lenders can now underwrite faster, smarter, and at scale. The $2M seed funding marks a pivotal step in Parlay’s mission to create a more inclusive and efficient lending ecosystem for America’s small businesses.