Paramify (Lehi, UT) has raised a $12 million Series A after FedRAMP changes disrupted federal compliance, forcing a strategic pivot toward automation-first enterprise risk management across government and commercial frameworks.
Lehi, Utah–December 18, 2025
Paramify's Series A round follows a significant shift in federal compliance requirements earlier this year, which forced Paramify to overhaul its roadmap and refocus its platform around automation-first authorization workflows.
Paramify, a Lehi, Utah–based risk management and compliance platform used by large enterprises and government-adjacent organizations, has raised a $12 million Series A funding round following a major shift in federal compliance requirements that upended its original go-to-market strategy.
The round was led by New York–based Moore Strategic Ventures, with participation from Album VC (Lehi), Next Frontier Capital (Salt Lake City and Bozeman), and Fraser VC (Lehi). The funding will be used to expand Paramify’s platform beyond federal authorization into broader enterprise risk and compliance management, including frameworks such as SOC 2, HIPAA and others.
The raise comes after a turbulent period earlier this year, when changes to the federal government’s FedRAMP program—known as FedRAMP 20x—forced vendors and agencies alike to rethink how cloud services achieve and maintain authorization.
“We were in D.C., not sleeping, and then we’re told our entire go-to-market is getting blown up,” shared Paramify founder and CEO Kenny Scott with TechBuzz.
A Regulatory Shock Becomes an Opportunity
For Paramify, which built its early business around simplifying federal compliance, the March changes landed hard. Budget freezes and new efficiency mandates left federal buyers temporarily sidelined, even as regulators pushed for automation and reduced documentation burdens.
“We had conversations where people told us, ‘We love what you’re doing, but I have one dollar on my P-card,’” Scott said. “Everything froze.”
Rather than wait out the disruption, Paramify scrapped its roadmap and reoriented the product around automation-first compliance workflows aligned with the government’s new direction.
“FedRAMP wasn’t really working anymore,” Scott said. “The focus shifted to efficiency and automation, and that’s exactly where we decided to go all in.”
The shift moved Paramify away from traditional, document-heavy authorization processes toward continuous assessment and automated evidence generation—an approach that mirrors where both regulators and large enterprises are headed.
From Federal Wedge to Enterprise Platform
Founded in 2022, Paramify initially gained traction by helping organizations navigate FedRAMP and Department of Defense compliance requirements faster than legacy tools. Early customers included Palo Alto Networks, Cisco, and Axon, giving the company credibility in security-sensitive environments.
“Paramify has fundamentally improved how Axon runs its compliance program,” said Colton Bohn, Senior Security Engineer at Axon. “Automation, built-in controls, and continuous product expansion have delivered significant efficiency gains and are helping our teams operate at scale.”
Previously, Paramify raised a $3.5 million seed round in August 2024 to scale its GRC documentation automation platform and expand support for continuous monitoring and additional compliance frameworks.
At the time of its seed round, Paramify had roughly 15 customers. Today, the company serves more than 150 enterprise organizations and is approaching 200, according to Scott. Customers range from large technology companies to universities and government-adjacent institutions with complex security obligations.
One Utah-based customer, Filevine, moved from zero to FedRAMP authorization in eight days using Paramify’s platform—a process that historically took months or longer.
“You lose your will to live creating thousands of pages of compliance documents,” Scott said. “We knew we weren’t going to build a billion-dollar company just milking inefficiencies in the federal government.”
With the Series A, Paramify plans to expand its platform to support a broader set of compliance and risk management frameworks, including SOC 2, HIPAA, ISO 27001, and enterprise-wide risk and issues management. The goal is to consolidate fragmented compliance efforts into a single system that can scale across products, business units, and regulatory regimes.
Growing Team, Growing Footprint
Paramify currently employs about 50 people, primarily in Utah, and expects to more than double its workforce over the next year as it expands product development and customer support. The company operates out of Salt Lake City and counts several Utah-based companies among its customers, including Filevine, LVT, DigiCert, and Adobe.
Scott said the company intentionally raised only the amount of capital needed to prove out its enterprise expansion before pursuing a larger growth round.
“We wanted to raise exactly what we need to validate this next phase,” he said. “Now it’s about execution.”
If successful, Paramify’s pivot positions the company not just as a FedRAMP specialist, but as a broader enterprise risk management platform designed for organizations operating under increasing regulatory, security, and operational pressure.
Learn more at paramify.com.