Plaid

Cash Flow Is the Ultimate Business Truth

Bank accounts don't lie. Every dollar in, every dollar out, every balance at close of business—your transaction history is the most honest view of your business health. Founderpath's Plaid integration transforms this cash flow data into funding eligibility.

Why Bank Data Matters for Funding

Traditional lenders want tax returns and financial projections. We want to see what's actually happening in your accounts.

Complete Cash Picture

Unlike billing systems that only show one revenue stream, your bank accounts capture everything: all deposits from all sources, all expenses, actual cash position.

Real-Time Assessment

Bank balances and recent transactions show us where you are today—not where you were when you filed taxes last year.

Transaction Pattern Analysis

Deposit consistency, expense timing, and cash management patterns reveal operational discipline that financial statements can't show.

What Plaid Integration Analyzes

When you connect your bank accounts, we build a comprehensive cash flow profile:

Deposit Analysis

• Deposit frequency and consistency
• Average deposit amounts and trends
• Revenue source identification
• Seasonal and cyclical patterns

Expense Patterns

• Recurring expense identification
• Expense-to-deposit ratios
• Spending category breakdown
• Payment timing and discipline

Cash Position

• Average daily balance trends
• Minimum balance patterns
• Cash runway calculation
• Overdraft frequency (if any)

Cash Flow Health

• Net cash flow trajectory
• Deposit-to-expense ratio
• Cash velocity metrics
• Working capital signals

How Plaid Bank Connection Works

Step 1: Select Your Bank

Click "Connect Bank" in your Founderpath dashboard. You'll see a list of supported banks through Plaid's secure interface.

Step 2: Authenticate Securely

Log in to your bank through Plaid's encrypted connection. Your banking credentials are never shared with Founderpath—Plaid handles authentication directly.

Step 3: Automatic Transaction Import

We pull your transaction history and calculate cash flow metrics automatically. Most connections complete within minutes.

Step 4: Review Cash Flow and Offer

See exactly which cash flow metrics drive your funding eligibility. Most businesses receive an offer within 24-48 hours.

Bank Connection Options for Funding

Connect via Plaid when:

• Your bank supports Plaid (most do)
• You want universal bank account access
• You need to connect multiple banks
• You do not use a startup-native bank

Consider direct integrations when:

• You use Mercury, Brex, or another startup bank
• You want richer, platform-specific data
• Treasury and specialized account data matters

Bank Data vs. Other Integrations

When to prioritize bank connection:

• You have revenue from multiple sources (not just one billing system)
• You want funding based on actual cash position
• Your accounting is not perfectly up-to-date
• You want the fastest path to a funding assessment

Bank + Billing Data = Strongest Application

For the most complete picture, connect bank accounts alongside your billing or accounting systems:

• Bank (Plaid) shows actual cash movement and position
• Billing systems (Stripe, Shopify) show revenue-specific metrics
• Accounting (QuickBooks, Xero) shows profitability and margins

The combination validates data across sources and often results in better funding terms.

Direct Bank Integrations

If you bank with a startup-focused bank, you may also connect directly:

• Mercury for startup-native banking data
• Brex for corporate card and cash management

Direct integrations often provide richer, startup-specific context than generic Plaid connections.

Who Benefits Most from Plaid Integration

Multi-Channel Businesses

If you earn revenue from multiple sources (online + retail, subscriptions + one-time, multiple payment processors), bank data captures everything in one place.

Cash-Flow-Focused Companies

Service businesses, agencies, and consultancies often have strong cash flow even without SaaS metrics. Bank data tells that story effectively.

Rapid Assessment Needs

Bank connection is often the fastest path to a funding assessment—no need to wait for accounting to catch up or billing systems to sync.

Pre-Revenue or Low-Revenue Startups

Even without significant revenue, healthy cash management and runway can support funding. Bank data shows financial discipline.

Security and Privacy

Bank-Level Security

Plaid uses 256-bit AES encryption and is SOC 2 Type II certified. Your banking credentials are never shared with Founderpath or stored on our servers.

Read-Only Access

We can only view transaction data. We cannot move money, make purchases, or modify your accounts in any way.

Instant Revocation

You can disconnect your bank accounts at any time from your Founderpath dashboard or directly through Plaid's connected apps portal.

Beyond Funding: Cash Flow Intelligence

Even if you're not ready for funding, connecting your banks provides valuable insights:

• Cash runway: How many months of runway at current burn?
• Deposit consistency: How predictable is your revenue collection?
• Expense patterns: Where is money going, and is it sustainable?
• Cash management: Are you optimizing your cash position?