Paris-based fintech startup Formance has secured $21 million in Series A funding to expand its modular financial infrastructure platform.
The round was co-led by PayPal Ventures and Portage, with participation from existing investors Y Combinator, Hoxton Ventures, and Axeleo.
Solving Fintech’s Ledger and Payment Challenges
Formance initially focused on programmable financial ledgers, helping businesses track money flows across multiple bank accounts and payment providers. Now, the company is evolving into a broader fintech infrastructure platform, offering:
- Mass payout solutions for platforms needing seamless transactions.
- A connectivity hub for integrating financial services via a single API.
- Payment orchestration to move money efficiently across different wallets and payment providers.
- Automated reconciliation to simplify financial reporting.
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Aiming to Be the ‘AWS of Fintech Infrastructure’
Inspired by Amazon Web Services (AWS), the fintech is building a modular fintech stack, allowing companies to mix and match financial tools rather than stitching together multiple third-party services.
Clément Salaün, Co-Founder and CTO, explained:
“Instead of businesses spending $150,000 on three different SaaS products and another $150,000 on integration costs, Formance provides an all-in-one infrastructure to scale fintech operations efficiently.”
Growth, Expansion, and Hiring Plans
With a customer base including Booksy, Doctolib, Liberis, and Shares, Formance now serves 20+ clients worldwide, with two U.S.-based customers generating 40% of its revenue. The fresh funding will enable Formance to:
- Open a New York office to accelerate U.S. expansion.
- Grow its engineering and product teams, increasing headcount from 20 to 50 employees by the end of 2025.
- Develop new financial operations modules, enhancing integration with banking infrastructure.
Looking Ahead
Unlike fintech giants like Stripe, the company remains independent—it doesn’t process payments or hold client funds. Instead, it aims to become the go-to infrastructure layer for businesses managing complex financial operations at scale.
With its latest funding, the startup is well-positioned to redefine how companies build and manage fintech solutions, making financial operations more efficient, scalable, and cost-effective.
