Embedded finance is reshaping software companies’ growth strategies

AI-assisted source summary · not independently verified. Content standards

Embedded finance is driving independent software vendors (ISVs) to expand beyond payment acceptance into a broader range of financial services, differentiating customer experiences, deepening customer relationships, and creating new revenue. In 2025, approximately 90% of U.S. merchants used ISV payment or business management solutions, and the global ISV market is projected to grow from $4.12 billion in 2026 to $9.44 billion in 2035. Relevant capabilities include accounts receivable and payable automation, lending, invoice and tax management, payroll, and financial reporting; the PayFac model can simplify onboarding and underwriting.