Wix enters banking as AI threatens core business

Israeli website building company Wix.com Ltd. (Nasdaq: WIX) has announced that it is entering the financial services sector by launching two new products – current business accounts and loans for small businesses. The initiative is in collaboration with Israeli fintech unciron Unit and will allow business owners to manage their businesses and receiving financing directly on the Wix platform.

Wix is emulating platforms like Shopify and Square, which are already managing to combine website building and e-commerce services with financial services

Wix will work with Unit, founded in 2019 by Itay Damti and Doron Somech. Unit’s platform allows tech companies to integrate banking services, such as accounts, cards, and money transfers, into their products, without the need for direct financial operations management and licensing. In 2021, Unit was included in Globes’ list of Israel’s ten most promising Israeli startups.

Wix is entering the fintech industry at a sensitive time for the company. Wix’s share price has fallen by 45% since the start of the year, amid market concerns about the future of its core business, which is threatened by the rapid development of AI. Tools like ChatGPT and other dedicated platforms now allow users to create professional websites in minutes and at low cost, without using Wix’s interface. This undermines one of the key assets that built its success – making website building simple and accessible.

Operating in a competitive and broad market

Together with competition from AI tools, Wix is also facing new players that offer comprehensive service packages, such as Framer and Webflow, which enable the building, hosting, and management of websites and online stores with almost unlimited design freedom.

The company also faces competition from social networks like Instagram and TikTok, which allow small businesses to establish a digital presence without a website. Technology giants, including Google and Meta, are also investing in developing tools for small businesses.

In this situation, Wix’s entry into the fintech sector is a move aimed at diversifying revenue sources deepening its connection with existing users. The challenge now is to establish trust in a new market, while defending its position in the website building market, which is undergoing fundamental change.

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The first new product, Wix Checking, is a business bank account with no monthly fees and allows small businesses to manage their financial transactions directly from the website building platform.

The second product, Wix Capital, provides loans in the form of Merchant Cash Advances – cash advances given to a business in exchange for a commitment to repay a certain percentage of future sales revenue.

Wix’s entry into fintech also faces local competition. The financial market in which it chooses to operate is characterized by a large number of long-standing and reputable players, including large banks and established fintech companies, which have advantages such as extensive experience and operational systems and major development budgets.

Published by Globes, Israel business news – en.globes.co.il – on August 14, 2025.

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