Paramify’s $12M Leap: From Compliance Pain Point to Enterprise Risk Automation Powerhouse

How a Utah-based startup is redefining compliance workflows and transforming governance, risk, and compliance (GRC) with automation and AI.

In an era where regulatory complexity is soaring and unmanaged compliance processes cost organizations billions in time and resources, Paramify is emerging as a standout solution — automating what used to be an exhausting, error-prone maze of documentation and manual work. With its recent $12 million Series A funding round, Paramify has not only solidified its market position but also set the stage for a next-generation risk management platform that spans beyond federal frameworks into enterprise-wide compliance automation.

A Bold Vision: Automating Compliance & Risk Management

Founded in 2022 in Lehi, Utah, by Kenny Scott and Tyler Stephens, Paramify was built to tackle one of the most dreaded tasks for GRC professionals: turning sprawling regulatory requirements into accurate, audit-ready documentation. Before Paramify, preparing compliance deliverables like System Security Plans (SSPs) for frameworks such as FedRAMP, CMMC, and SOC 2 could take months or even years. Paramify’s platform dramatically cuts that timeline — in many cases down to hours — by automating documentation generation and evidence collection.

This bold approach resonated with enterprises and advisory firms alike, driving rapid adoption across highly regulated sectors. Today, Paramify supports 150+ enterprise customers, including technology leaders like Cisco, Palo Alto Networks, Elastic, Ramp, and xAI, as well as top consulting and assurance providers such as Coalfire, Schellman, and A-Lign.

Funding Milestones: From Seed to Series A

Seed Funding — $3.5M to Build the Foundation

Paramify’s funding journey began with a $3.5 million seed round in 2024, led by Album VC and Next Frontier Capital. This investment helped the company refine its core automation engine and expand framework support beyond initial offerings like FedRAMP and CMMC, adding capabilities for continuous monitoring, Plans of Action & Milestones (POA&Ms), and other compliance tasks.

The seed round empowered Paramify to tackle one of GRC’s most persistent bottlenecks: labor-intensive documentation. By using advanced modeling and automation standards like OSCAL (Open Security Controls Assessment Language), Paramify enabled organizations to rapidly transform legacy compliance efforts and reduce human error.

Series A — $12M for Enterprise Expansion

On December 18, 2025, Paramify announced a $12 million Series A funding round led by Moore Strategic Ventures, with continued participation from Album VC, Next Frontier Capital, and Frazier VC. The capital injection — bringing Paramify’s total raised to ~$15.5 million — is strategically earmarked to expand the platform well beyond federal compliance into broader enterprise risk and compliance management.

According to the company, this next phase of growth will accelerate:

• Enterprise risk & issues management across business units and frameworks like SOC 2, HIPAA, PCI DSS, and ISO 27001.

• Continuous monitoring for real-time triage and issue resolution.

• Automated evidence operations, reducing manual evidence gathering that traditionally slows audits and assessments.

This expansive vision positions Paramify not just as a compliance tool but as a unified risk operations platform capable of supporting organizations at every stage of regulatory and security readiness.

How Paramify Works: Automating the Hardest Parts of GRC

At its core, Paramify eliminates the paper chase — the endless cycle of spreadsheets, documents, and manual evidence collection that dominates most traditional compliance programs. Its capabilities include:

Automated Documentation Generation

Paramify automatically produces audit-ready compliance materials for frameworks ranging from FedRAMP and CMMC to commercial standards like SOC 2 and ISO 27001, saving teams countless hours of manual work.

Continuous Compliance Monitoring

Ongoing risk assessment and issue triage are integrated directly into the workflow, eliminating the need for periodic, manual status checks.

Risk & Issues Management

The platform consolidates risk across multiple departments and frameworks into a single dashboard, giving teams real-time visibility and governance control.

AI-Enhanced Evidence Operations

Future roadmap initiatives include AI-assisted evidence retrieval, intelligent gap analysis, and automated validation — further reducing the workload on security and compliance professionals.

Strategic Pivot & Market Timing

Earlier in 2025, significant changes to the federal government’s FedRAMP program (such as the transition to FedRAMP 20x) altered the cloud authorization landscape, prompting organizations to demand greater automation and efficiency. Paramify responded by recalibrating its product roadmap to prioritize automation-first workflows that aligned with these emerging expectations, positioning itself ahead of competitors still reliant on manual, document-centric approaches.

Rather than seeing the federal shift as a setback, Paramify embraced it as an opportunity to prove its automation strategy, expanding its relevance from government compliance to enterprise compliance and risk management for organizations of all sizes.

Market Impact & Customer Success

Paramify’s traction reveals a broader market trend: enterprises no longer want just compliance checkboxes — they want operational speed, accuracy, and risk-aware workflows. Its current customer roster spans leading tech firms and global brands with complex security obligations. Use cases include:

• Automated FedRAMP authorization packages delivered in days instead of months.

• Continuous monitoring across control frameworks — reducing audit backlog.

These successes reinforce Paramify’s position as a solution that drives real-world compliance performance and operational efficiency.

What’s Ahead: A Unified Risk Operations Ecosystem

With its latest funding, Paramify is poised to extend its automation deep into commercial and international frameworks, incorporate AI-powered workflows, and enhance dashboard capabilities for real-time compliance visibility. Enterprise teams will soon be able to manage risk and compliance across all frameworks and product environments within a single, intelligent platform.

Conclusion: Turning Compliance Into Competitive Advantage

Paramify’s evolution from a FedRAMP documentation tool to a comprehensive enterprise risk automation platform highlights the market’s insatiable demand for scalable, automated solutions. By combining smart automation, risk-aware workflows, continuous monitoring, and enterprise-wide governance, Paramify is helping organizations move beyond compliance as a checkbox to compliance as a strategic foundation for growth and resilience.