Synctera, a banking-as-a-service (BaaS) and embedded finance technology provider, has raised $24.5 mn in additional financing, bringing its total funding to $126.7 mn.
The investment round attracted Multiplier Capital, Fin Capital, 1st & Main Growth Partners, Diagram and NAventures.
- Synctera secured $24.5 mn in new funding from investors including Multiplier Capital, Fin Capital, 1st & Main Growth Partners, Diagram and NAventures, bringing total capital raised to $126.7 mn.
- The company expanded its sponsor bank network to eight active partners following the addition of Main Street Bank, with two more banks preparing to launch programs in Q4 2026.
- Synctera signed 20 new clients in 2026, doubled gross merchandise volume and interchange activity year over year, and strengthened compliance capabilities through its acquisition of Cable.
The company plans to use the capital to strengthen its financial position, expand its banking partnerships and support continued development of its embedded finance infrastructure.
The funding comes as financial institutions renew their interest in BaaS partnerships following a period of increased regulatory scrutiny and operational challenges across the sector.
Synctera expands funding to support long-term growth
Synctera provides technology that connects financial technology companies with regulated sponsor banks, enabling businesses to integrate banking and payment services into their products. Its platform includes an independent ledger, automated reconciliation, payment processing and compliance monitoring.
Peter Hazlehurst, co-founder and CEO of Synctera, said long-term reliability remains central to the company’s strategy because financial institutions and FinTech businesses depend on infrastructure providers to support customer accounts and transactions over many years.
The latest financing is intended to provide sufficient operating runway for Synctera to reach break-even.
Multiplier Capital Managing Director Ash Vaidya highlighted the importance of reliable infrastructure and automated compliance as banks reconsider opportunities in embedded finance.
The company believes its financial position and risk management capabilities will help it attract additional banking partners.
Synctera strengthens compliance through Cable acquisition
Regulatory compliance remains a major focus for Synctera as sponsor banks face increasing expectations around oversight of third-party financial technology programs.
In April 2026, the company acquired Cable, a compliance technology provider specializing in automated control testing.
Cable’s platform continuously assesses compliance controls across banks, FinTech companies and service providers, reducing reliance on periodic manual reviews.
Synctera has also established a dedicated Program Management team and registered as a money services business regulated by the Financial Crimes Enforcement Network (FinCEN). These developments are intended to improve visibility into financial programs and support more consistent compliance monitoring.
For sponsor banks, continuous testing can help identify operational weaknesses and potential regulatory issues earlier.
The company said Cable has added one bank and four FinTech customers since the acquisition.
Main Street Bank joins Synctera’s sponsor bank network
Massachusetts-based Main Street Bank has joined Synctera’s network, increasing the number of active sponsor bank partners to eight.
Two additional banks are in the final stages of implementation, with programs expected to launch during the fourth quarter of 2026.
Walter J. Dwyer IV, CEO of Main Street Bank, said the institution selected Synctera because of its approach to compliance and its ability to provide visibility into sponsored financial programs.
Synctera operates a multi-bank model rather than relying on a single financial institution to support all customer programs.
Each sponsor bank remains responsible for the financial services it provides, while Synctera supplies the technology and operational infrastructure.
The company argues that this structure helps reduce dependence on individual banking partners and provides greater flexibility as institutions adjust their business strategies and risk appetite.
Embedded finance demand supports customer growth
Synctera reported signing 20 new clients during 2026 across financial services, property management and small-business lending. The customers range from emerging FinTech businesses to publicly traded companies.
The company also reported that gross merchandise volume and interchange activity doubled year over year.
Synctera funding and business expansion in 2026
| Indicator | Reported result |
|---|---|
| New funding | $24.5 mn |
| Total funding raised | $126.7 mn |
| Active sponsor banks | 8 |
| Additional banks preparing to launch | 2 |
| New clients signed in 2026 | 20 |
| Gross merchandise volume growth | Doubled year over year |
| Interchange activity growth | Doubled year over year |
| Cable acquisition | April 2026 |
| Synctera Labs initial launches | February 2027 |
The company also introduced Synctera Labs in October 2026 to help businesses launch embedded finance products with lower initial development costs.
The platform provides access to banking accounts, payment cards and operational compliance services through a standardized infrastructure.
Its first customer programs are scheduled to launch in February 2027.
Banks renew interest in banking-as-a-service partnerships
The new funding reflects a broader shift in the BaaS sector as banks reassess opportunities to distribute financial products through technology companies.
Regulatory scrutiny has increased expectations around transaction monitoring, customer protection, compliance testing and third-party risk management.
These requirements have made technology infrastructure and oversight capabilities increasingly important when banks select FinTech partners.
Synctera’s strategy combines banking connectivity, payment infrastructure and continuous compliance monitoring within a single platform.
The company expects its expanded bank network and recent investment in compliance technology to support further customer growth.
Its next stage of development will focus on converting renewed institutional interest in embedded finance into additional banking programs while progressing toward operational profitability.
