On Aug 4, website-builder Wix launched Wix Checking and Wix Capital — fee-free business checking (powered by Unit) plus pre-qualified merchant-cash-advance offers, all inside the Wix dashboard. The rollout, confirmed in PYMNTS’ coverage, means merchants can now sell, bank, and borrow without ever filling out a separate loan app (or talking to a broker).
Embedded finance is still early — but the runway is long
- Global embedded-finance revenues are projected to reach ≃ $7.2 trillion by 2030 according to the Paypers 2024 report highlighted by Toqio — a market bigger than today’s entire payments industry.
- Shopify Capital has already advanced >$5 billion to merchants by leaning on first-party sales data instead of PDFs and phone calls. Shopify
Every time a platform like Wix or Shopify folds finance into its core product, “embedded” moves from novel to normal for Main-Street businesses.
Why Wix (and peers) don’t — and won’t — use brokers
| Legacy broker model | Embedded-finance model |
|---|---|
| Brokers only get paid when you borrow → incentive to upsell priciest deal. | Platforms already earn SaaS & payment fees → incentive is to keep you healthy so you keep processing. |
| Limited data → higher perceived risk → higher factor rates or APRs. | Real-time sales data reduces risk → platform can price funding cheaper. |
| Manual PDFs, bank statements, phone calls. | One-click, in-dashboard offers based on your live sales. |
Because Wix already sees your payment history in real time, it can underwrite instantly and profit with a slimmer margin. There’s simply no role (or commission) for an outside broker. If someone says they can “get you a better Wix deal,” that’s your red-flag moment.
A quick note on Amazon
You might recall Amazon Lending as one of the early embedded-lending pioneers. In March 2024 Amazon announced it would stop underwriting new loans directly to sellers, shifting to third-party finance partners instead.
The takeaway isn’t that embedded lending is fading — it’s that each platform will refine (or retreat from) funding programs based on strategy and risk appetite. Wix’s fresh entry shows plenty of momentum remains.
What to watch (and watch out for)
- Factor-rate math. Wix Capital uses merchant-cash-advance pricing; convert the factor to an APR before you compare.
- Platform lock-in. Move your store off Wix and you may lose access to the line.
- Ticket size ceilings. Embedded advances shine for five- and low six-figure working-capital gaps; banks or SBA lines are still king for multi-year, big-ticket needs.
brokerfreecapital.ai’s advice
- Benchmark your platform first. Selling on Wix, Shopify, Square, or Stripe? Get their in-house offer before talking to anyone else. It’s the cleanest “market price” you’ll find.
- Use apples-to-apples metrics. Our cost-of-capital calculator (launching soon) will translate factor rates and daily splits into plain-English APRs.
- Keep options open. Embedded funding can be great for inventory spikes; traditional lenders may be cheaper for expansion projects.
- Say no to hidden fees. If a broker quote comes in higher than your pre-qualified platform offer, that spread is their commission — full stop.
- Do NOT stack. If you get funding from an embedded funder like Wix, avoid the temptation to stack additional funding from a “pure” funder or broker. There are, literally, quite thousands of SMBs working for their financing sources rather than themselves as a result of stacking themselves into a debt bomb waiting to explode.
Bottom line
Embedded finance is still in inning one, but each new launch shrinks the broker’s relevance — and their 5-10 % hidden commission — while giving Main-Street merchants faster, cheaper, data-driven capital.
Need help decoding an offer? Fire up Diogenes, our blunt-truth chatbot, for an unbiased read — even if the best advice is don’t borrow today.
No brokers. No kickbacks. Just the truth.