CapitalOS closes $21.9M Series A to build embedded finance infrastructure for B2B platforms
CapitalOS closes $21.9M Series A to build embedded finance infrastructure for B2B platforms #
San Francisco-based CapitalOS has closed a $21.9 million Series A to expand what it calls a money orchestration layer for B2B software platforms, enabling them to embed financial products without building the underlying infrastructure themselves.
LGVP led the round, with participation from WEX Venture Capital, Great North Ventures, Night Capital, and repeat investor Group11, along with unnamed existing backers. The company said proceeds will go toward expanding the infrastructure that lets B2B platforms launch credit cards, digital wallets, bill pay, and receivables management in days rather than the months typically required to build from scratch.
CapitalOS was founded in 2022 by CEO Nir Dremer, who previously held general manager roles at Stripe and Tipalti, and CTO Matan Goldschmidt, who built and later sold a company to Lyft. The pair founded the company to address a gap in embedded finance: vertical software platforms serving small businesses increasingly want to offer financial services as a retention and monetization tool, but assembling the required banking partnerships, underwriting models, compliance frameworks, and risk management systems is prohibitively complex for most.
The company’s solution is a single API integration. A set of specialized AI agents handles underwriting, capital deployment, compliance, fraud prevention, and customer support behind the scenes, so platform teams can add financial features without standing up dedicated fintech operations. Platforms offer the products under their own brand, with CapitalOS not visible to end users.
Transaction volume processed through the platform has grown more than 20-fold over the past 18 months, according to the company. Its customers include property management software Guesty and field-service platform Workiz, and the platform has more than 25,000 active cardholders across dozens of B2B platforms.
The funding puts CapitalOS in competition with card-issuing infrastructure providers such as Stripe Issuing, Marqeta, and Lithic. The company argues it differs from those rivals through the breadth of its orchestration layer and its focus on the vertical SaaS and AI platform segment rather than enterprise or consumer programs.
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