Embedded finance has transformed consumer payments, making transactions seamless and convenient. Now, that same revolution is reshaping business-to-business commerce with even greater implications. In 2025, embedded B2B finance is growing fast, driven by businesses’ urgent demand for liquidity, instant digital issuance, and Application Programming Interface (API) powered integrations.

Key Takeaways:

• Consumer embedded finance laid the groundwork, but B2B is where the real value lies. While retail use cases normalized seamless payments, B2B transactions involve significantly larger volumes and higher stakes.

• B2B embedded finance faces higher complexity but delivers greater rewards. Unlike consumer applications, B2B solutions must navigate higher-value transactions, stricter compliance requirements, and legacy infrastructure. 

• Early movers will capture the embedded finance advantage. With many U.S. B2B service providers already offering embedded finance solutions and demand poised to grow further, the time to act is now.

From Consumer Convenience to B2B Imperative

The embedded finance playbook started in retail. Ride-sharing apps integrated payments. E-commerce sites added buy now, pay later buttons. Insurance became part of the car-buying journey. These innovations normalized the idea that financial services should fit into the background of everyday transactions.

But while consumer use cases matured, something bigger was brewing in the B2B world. The same forces that made consumer embedded finance successful are now moving into business transactions, where the stakes and transaction volumes can be significantly higher. 

The economics tell a compelling story. Working capital flows dwarf retail transactions. Once embedded, these financial tools tend to be stickier, creating recurring revenue streams and deeper customer relationships. In 2025, the embedded B2B market stands at approximately $4.1 trillion and is $4.1 trillion and is projected to reach $15.6 trillion by 2030, representing a quadrupling of market size in just five years.

Three Forces Accelerating Adoption

Several converging trends are pushing embedded B2B finance into the spotlight this year.

Macroeconomic Pressure

Rising interest rates and persistent inflation are forcing businesses to accelerate cash conversion. Small businesses are feeling the squeeze particularly hard, with 58% reporting inflation as a top financial challenge in Q1 2025, marking a new high. This economic reality makes embedded lending and working capital solutions especially valuable, offering businesses tools to strengthen cash flow, streamline operations, and provide more flexible payment options for suppliers and customers alike.

Technology Maturation

APIs and cloud-native infrastructure have evolved to make integration far more feasible than it was even a few years ago. What once required months of custom development can now be implemented in weeks through modular, API-first architectures. This technological shift has lowered barriers and enabled mid-sized firms to access enterprise-grade financial capabilities without massive IT investments.

Digital Issuance Capabilities

The ability to instantly issue virtual cards has become a game-changer. Platforms can now provide granular spend control and capture top-of-wallet positioning through real-time credentialing. Leading payments analysts now consider digital issuance not just valuable but essential. Javelin Strategy & Research recently awarded Galileo "Best in Class" status on its Digital Issuance Provider Scorecard, highlighting that digital payment issuance is no longer optional but required for platforms aiming to capture customer loyalty. Learn more about Galileo's card issuing capabilities.

The B2B Challenge: Higher Stakes, Greater Complexity

While the opportunity is massive, embedded B2B finance faces unique challenges that distinguish it from consumer applications. These barriers raise the stakes but also increase the rewards for businesses that execute successfully.

Managing Higher Transaction Values

Unlike retail, where transactions are small and risks diffuse, B2B finance deals with significantly higher dollar values, multiple stakeholders, and heavier compliance burdens. Embedded working capital products require access to real-time financial data combined with AI-driven risk models to manage greater credit exposure. Platforms that issue instant virtual cards must meet enterprise-grade regulatory and security standards.

In retail, embedding a BNPL button at checkout is relatively straightforward. In B2B, embedding financial services requires orchestrating multiple integrations across currencies, jurisdictions, and regulatory regimes. Even establishing a virtual International Bank Account Number can trigger extensive compliance reviews.

Overcoming Legacy Infrastructure

Many businesses continue to operate on outdated Enterprise Resource Planning and invoicing systems. Some still rely on paper-based workflows. These manual processes can create delays, limit visibility, and result in costly inefficiencies that compound macroeconomic pressures.

CFOs face mounting pressure to cut costs while driving growth. They confront the steep trade-off of modernizing financial systems or falling behind. Yet execution requires capable partners and scalable technology. For many businesses, the impetus to upgrade is strong, but without the right enabler, the complexity of B2B environments may delay adoption.

From Cost Center to Profit Engine

The most successful B2B platforms aren't just embedding finance for convenience. They're transforming financial operations into strategic growth drivers.

Where retail embedded finance focused on checkout convenience, B2B platforms are embedding tools that turn finance from a cost center into a profit generator. Embedded solutions like supplier financing, dynamic payables, and B2B buy now, pay later are redefining business relationships and creating recurring revenues.

Digital issuance sits at the center of this transformation. Virtual cards speed supplier onboarding while giving platforms precise control over spend, anchoring transaction volume within their ecosystems. Automation in accounts payable and accounts receivable eliminates friction, reduces manual errors, and creates sticky revenue streams.

Rather than outsourcing payments, invoicing, or credit functions, platforms are building financial functionality directly into workflows. This isn't just operational improvement; it's a fundamental strategic shift.

Meeting Evolving User Expectations

Today's CFOs and finance teams increasingly expect B2B tools that match the speed and seamlessness of consumer embedded experiences. By meeting these expectations, platforms can differentiate themselves in competitive markets and foster stronger loyalty.

Fintech infrastructure providers are enabling this shift with modular, API-first architectures. These providers create "invisible infrastructure," financial rails that run quietly in the background but deliver major value. This allows businesses to embed financial functionality without diverting focus from their core offerings. Research shows that 63% of U.S. B2B service providers currently offer some type of embedded finance solution to business clients.

The most effective providers don't think like traditional financial services companies. They think like enablers, partnering strategically to deliver embedded finance as a service and abstracting away complexity so businesses can focus on their customers.

The Inflection Point Is Now

With the embedded B2B market projected to reach $15.6 trillion by 2030, this represents a rare inflection point. Companies that act now, partnering with the right infrastructure providers and treating finance as a strategic differentiator, will define the next generation of digital commerce.

Platforms that seize this moment won't just serve customers better. They'll position themselves as the infrastructure behind tomorrow's global commerce. The question isn't whether embedded B2B finance will reshape your industry. The question is whether you'll lead that transformation or follow it.

To read more about the B2B embedded finance opportunity, download the latest Embedded Finance Tracker®, a Galileo and PYMNTS collaboration.

Frequently Asked Questions

What is embedded B2B finance?

Embedded B2B finance refers to financial services like payments, lending, and working capital solutions integrated directly into business platforms and workflows. Unlike traditional financial services that require businesses to leave their core systems, embedded finance operates seamlessly within existing tools like Enterprise Resource Planning systems, procurement platforms, and vertical SaaS applications. This integration eliminates friction, improves cash flow management, and creates more efficient business operations.

How does embedded B2B finance differ from consumer embedded finance?

While both share the principle of integrating financial services into non-financial platforms, B2B embedded finance deals with significantly higher transaction values, more complex compliance requirements, and multiple stakeholders. B2B solutions must navigate stricter regulatory frameworks, legacy infrastructure, and enterprise-grade security standards. Additionally, B2B embedded finance focuses more on profitability and operational efficiency rather than just convenience, transforming financial operations into strategic revenue generators.

What are virtual cards and why are they important for B2B embedded finance?

Virtual cards are randomly generated 16-digit numbers linked to credit, debit, or prepaid accounts, created specifically for particular transactions or purchase types. They're crucial for B2B embedded finance because they enable instant digital issuance, provide granular spend control, enhance security, and give platforms precise control over transaction volume. Virtual cards also eliminate the delays associated with physical card distribution and allow businesses to onboard suppliers faster while maintaining tight oversight of spending.

What are the main benefits of implementing embedded finance in B2B platforms?

The primary benefits include transforming finance from a cost center into a profit driver, creating recurring revenue streams, strengthening customer loyalty and retention, improving operational efficiency through automation, accelerating cash flow with faster payment processing, and gaining competitive differentiation in crowded markets. Businesses also benefit from reduced manual errors, better data insights, and the ability to offer seamless financial experiences that match consumer-grade convenience.

How can companies get started with embedded B2B finance?

Companies should begin by evaluating integration opportunities within their core platforms, identifying workflows where embedded tools can streamline operations and deepen client engagement. Next, partner with proven infrastructure providers that offer API-first, compliance-ready solutions capable of scaling across markets and regulatory environments. Finally, shift your strategic thinking to view finance not just as a way to cut friction but as a mechanism to create recurring revenue streams and strengthen long-term customer relationships.

What role do APIs play in embedded B2B finance?

APIs (Application Programming Interfaces) are the fundamental building blocks of embedded B2B finance. They enable different software systems to communicate and integrate seamlessly, allowing businesses to embed financial capabilities without massive custom development. Modern, open APIs provide the flexibility, speed and, and security necessary to integrate payments, lending, card issuance, and other financial services directly into existing platforms. API-first architectures make implementation faster and more scalable than traditional integration methods.

Is the embedded B2B finance market really growing that fast?

Yes, the embedded B2B market is experiencing exceptional growth. Currently valued at approximately $4.1 trillion, it's projected to reach $15.6 trillion by 2030, representing a quadrupling in size over just five years. This growth is driven by macroeconomic pressures demanding better liquidity management, technological maturation making integration more feasible, and businesses increasingly expecting consumer-grade financial experiences in their B2B tools. Research shows that 63% of U.S. B2B service providers already offer some form of embedded finance solution.

What industries benefit most from embedded B2B finance?

While embedded B2B finance can benefit virtually any industry, sectors seeing particularly strong adoption include e-commerce and marketplace platforms, vertical SaaS providers, supply chain and procurement platforms, legal and professional services, hospitality and travel, restaurant and retail, healthcare, and financial services technology. Any business that processes B2B payments, manages supplier relationships, or handles working capital can potentially benefit from embedding financial services into their platform.

Galileo Financial Technologies, LLC is a technology company, not a bank. Galileo partners with many issuing banks to provide banking services in North and Latin America.