- 1Byzfunder reports 40% year-over-year growth and record originations in 2025
- 2ByzFlex, a revenue-based revolving product, is 20% of originations
- 3Plans a proprietary end-to-end AI Lending Management System in 2026
Byzfunder said on February 10, 2026 that it grew 40% year over year in 2025, with record originations, higher approvals and improving portfolio performance. The New York-based, AI-driven small business funder also reported a 30% rise in customer portal engagement, which it attributes to greater use of self-serve tools, faster visibility into funding progress and fewer handoffs. These figures come from the company's own announcement.
AI underwriting
Byzfunder says its Byz.AI system became the decision engine behind underwriting and pricing in 2025. It evaluates real-time signals, including cash flow patterns, revenue trends, banking behavior and industry cycles, and learns from repayments, defaults and merchant behavior. The company says Byz.AI widened what it could approve, with businesses that competitors could not underwrite becoming some of its strongest performers.
CEO and founder Ilya Fridman said most of the industry still runs on static rules and patched-together systems, and that Byzfunder built a credit engine designed to learn daily.
ByzFlex
ByzFlex now accounts for 20% of total originations, making it one of the fastest-adopted products in the company's history. It works like a business line of credit but is structured as revenue-based financing, with funding that resets as the merchant repays and flexible draws.
Service and hiring
Byzfunder says it pairs human support with automation, and Fridman said the company treats service as a growth lever rather than a cost center. In 2025 it added leaders across the CMO, CRO, CISO, Head of People and Head of Sales functions.
The 2026 plan
Byzfunder plans to launch a proprietary, end-to-end AI Lending Management System covering intake, underwriting, pricing, funding, servicing and collections. The company says it will replace outside vendors and handoffs with a single closed-loop credit engine.
Founded in 2019, Byzfunder describes itself as an AI-driven funder serving entrepreneurs underserved by traditional finance.
Source reporting: deBanked.
