-70%

est. 2Y upside i

FinTechSeries A

Formance enables Platforms and Fintech companies to build modern financial applications composing payments, banking, lending, investing, and insurance through complex fund flows. Formance provides an agnostic infrastructure, allowing them to build and operate sophisticated fund flows with the financial service providers of their choice.

Rank

#3501

Sector

Fintech

Est. Liquidity

~5Y

Data Quality

Data: Low

Given the company's low revenue growth (9% YoY), heavy competition from well-funded incumbents, and significant preference overhang ($30.8M on an assumed $50M valuation), the expected equity upside over 2 years is approximately -70%.

Last updated: July 3, 2026

Bull (10%)-1%

Formance achieves category leadership with open-source network effects, driving multiple expansion to 10x on $6.17M revenue ($61.7M exit). After 20% dilution, effective return is -1.3%.

Base (40%)-51%

Multiple converges to 5x, in line with public fintech infrastructure peers, on $6.17M revenue = $30.85M exit. After 20% dilution, upside -50.6%.

Bear (50%)-100%

Stripe and Modern Treasury intensify competition, multiple compresses to 2x, exit $12.34M below $30.8M preference stack, common stock worthless: -100%.

Est. time to liquidity~5.0 years

Preference Stack Risk

severe

Funding Intensity

6160%

Total preferred stock of $30.8M represents 62% of the assumed $50M valuation, meaning common holders are deep underwater in any downside. The bear case exit of $12.34M leaves nothing for common.

Dilution Risk

high

With $30.8M in total funding and 46 employees, the company likely has 12-18 months of runway, requiring a raise within 24 months, diluting existing holders by ~20%.

Secondary Liquidity

none

No secondary market data available.

Corporate Services — 1 role

Operations — 1 role

Support — 1 role

View all 3 open roles at Formance →

Last updated: March 10, 2026

Questions to Ask at the Interview

Strategic questions based on Formance's data — designed to show you've done your homework.

  • 1

    “How will Formance differentiate from Stripe Ledger and Modern Treasury as it scales?”

  • 2

    “What is the unit economics (e.g., CAC, retention) for customers like Doctolib?”

  • 3

    “Given the 9% growth, what levers are you pulling to re-accelerate?”

Community

Valuation Sentiment

Our model estimates -70% upside. What do you think?

Anonymous. Do not share material non-public information.

Community Discussion

Comments are reviewed before they appear publicly.

0/2000

Loading comments...

Disclaimer: This analysis is AI-generated and does not constitute financial or career advice. Always conduct your own due diligence.