Unit Finance News
8 articles
growth-positive
Wix enters banking as AI threatens core business
Wix.com Ltd., an Israeli website building company, is expanding into the financial services sector by launching business accounts and loans for small businesses. This initiative is in collaboration with Israeli fintech company Unit. The move aims to diversify Wixs revenue sources and deepen its connection with existing users amid challenges from AI-driven website creation tools and new competitors. The new products, Wix Checking and Wix Capital, offer business bank accounts and merchant cash advances, respectively. Despite the competitive fintech market, Wixs entry is seen as a strategic step to establish trust in a new market while defending its position in the changing website building industry.
Partners
growth-negative
יוניקורן הפינטק יוניט קיצץ 15% מעובדיו
Israeli fintech company Unit has laid off about 15% of its workforce, which totals around 150 employees, with about 60 in Israel. This means that between 20-25 employees have been let go. The companys founders explained that the move was made due to a slowdown in the fintech market, which is a result of increased regulatory checks. For now, they need to focus on efficiency and take into account slower revenue growth than expected.
Layoffs
Growth-Negative
Fintech unicorn Unit lays off 15% of workforce | CTech
Fintech startup Unit is laying off 15% of its workforce, affecting around 25 employees, due to slower than expected revenue growth and increased regulatory scrutiny in the fintech sector. The company, founded in 2019, has raised about $170 million to date, including a $100 million Series C round in May 2022 at a $1.2 billion valuation. The round was led by Insight Partners, with participation from existing investors Accel, Better Tomorrow Ventures, Aleph, Flourish Ventures, TLV Partners, and new investors Moving Capital and StepStone Group. Despite the layoffs, Unit manages the bank accounts of over 1.2 million end customers, with deposits amounting to $875 million.
LayoffsInvestment
growth-negative
Unit and Loop lay off staff and Brex ditches co-CEO model | TechCrunch
Banking-as-a-service startup Unit and car insurance company Loop have announced layoffs, with Unit letting go of about 15% of its staff. Brex is abandoning its co-CEO model in an effort to move faster and be more attractive to investors as the startup prepares for an eventual IPO. The company has also launched a new checking account for businesses in partnership with Column. Automated financial reporting fintech InScope has raised a $4.3 million seed round led by Lightspeed Venture Partners. India’s largest wealth manager focused on ultra-high-net-worth individuals, 360 One WAM, has agreed to acquire popular Indian mutual fund investment app ET Money for about $44 million. AccountsIQ, a Dublin-founded accounting technology company, has raised €60 million (about $65 million) to build “the finance function of the future” for midsized companies.
LayoffsManagement ChangesPartnersAcquisitionInvestment
growth-positive
Unit Offices - Tel Aviv | Office Snapshots
Switchup, a design company, has created a new office space for Unit, a company that provides a powerful banking service API. The new office space is designed to reflect the efficiency and positivity that Unit provides to its clients. The open plan layout encourages productivity and collaboration, while the modern and futuristic design reflects the innovative work that Unit is doing. The office space is sleek and minimalistic, yet detailed, making it an inviting and inspiring place to work.
Expand
growth-positive
Unit raises $100 million Series C at $1.2 billion valuation for banking-as-a-service platform CTech
Unit, an Israeli startup that offers a banking-as-a-service platform, has raised $100 million in a Series C funding round. The round was led by Insight Partners, with participation from existing investors. This brings Units total funding to $169.6 million and values the company at $1.2 billion, making it the first banking-as-a-service platform to reach unicorn status. Unit plans to use the funding to double its workforce and expand its R&D center in Israel. The company has already onboarded over 140 customers and has seen significant growth in transaction volume, card issuance, and deposit volumes.
InvestmentExpand
growth-positive
Banking-as-a-Service startup Unit announces $51 million Series B led by Accel
Israeli fintech startup Unit has raised $51 million in a Series B funding round led by Accel. The company plans to use the funds to expand its team and accelerate growth. Unit offers a banking-as-a-service platform that allows companies to build banking products in minutes. It recently launched Unit Go, a solution that enables companies to create live bank accounts and issue physical and virtual cards quickly. Since its launch, Unit has experienced rapid adoption and significant growth in deposit volume and new end users. The company aims to be the infrastructure of choice for fintech builders.
InvestmentExpand
growth-positive
Unit raises $18.6M to offer banking features as a service
Unit, a startup that offers an API-based platform for integrating banking services into third-party businesses, has announced $18.6 million in funding. The company aims to make it easier for companies to extend their relationships with customers by adding financial features. The funding comes from a mix of investors, including Better Tomorrow Ventures, Aleph, Flourish Ventures, Operator Partners, and TLV Partners. Unit believes that there is a significant opportunity to provide banking services to companies that are already engaged in some form of transactional work. The COVID-19 pandemic has accelerated the shift towards online work, creating a larger market for such services. Units API-based solution aims to reduce the costs and complexities associated with providing financial services. The article also mentions other companies in the space, such as Rapyd and Stripe, that are tapping into the growing market for financial services as a service.
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