Fintech co BlueVine laying off 30 in Israel

Bluevine founders Eyal Lifshitz and Nir Klar
Bluevine founders Eyal Lifshitz and Nir Klar

Founded in Tel Aviv, the business banking solutions and services company is firing 20% of employees in its Israel development center.

Israeli-US fintech company Bluevine is firing 100 employees including 30 in Israel. The business banking solutions and services company currently has 500 employees worldwide, meaning that the layoffs represent 20% of the workforce. The 20% figure also applies to the Israel development center, which has 150 employees.

"It's obviously a difficult process and nobody would want to do this," Bluevine's CEO and cofounder Eyal Lifshitz tells Globes. "In terms of the company and its strategy, we are making positive progress. The strategy is working well, and we have expanded significantly in terms of our platform.

"We provide full banking services in the US. We have 200,000 accounts with a balance of over $1 billion in deposits. So we continue to grow in terms of the scale of activity and the need to have a wave of layoffs is purely for efficiency. The importance of charting a path to profitability here is becoming increasingly critical, by adapting to reality, the market, and investor expectations."

Lifshitz also told Globes, "The organizational change is focused on making employee teams more efficient. There has been no focus on layoffs in this or that department, but rather a real focus on how we, as an organization, can work more efficiently."

Business accounts without monthly fees, and geographical expansion

Bluevine was founded in 2013 in Tel Aviv by Eyal Lifshitz and Nir Klar, who identified a major gap in banking services for small and medium-sized businesses, as the comp[any itself describes it. Shortly after its founding, the company opened its headquarters in Silicon Valley and began expanding in the US market.

In 2019, the company reached a significant milestone when it granted loans worth $1 billion. In 2020, following changes in the banking world, Bluevine launched a business account with no monthly fees, while expanding the financial solutions it offers. The company's geographic expansion also continued with the opening of offices in Austin, Texas, and India.

In 2022, the company launched a payment management system and developed a dedicated interface for accountants and bookkeepers. Last year year, Bluevine launched a business credit card. Today, the company provides financial services that include business accounts, loans, credit cards, and international payments.

To date Bluevine has raised $250 million from investors including Citi Ventures, Greylock, Vintage Partners, Lightspeed, and OG Ventures.

The company said, "Out of a desire to adapt the company's activities to the changes taking place in the global market and the desire to continue to implement the company's long-term strategy in an efficient way and in line with the company's targets, it was decided to part ways with about 18% of the company's employees worldwide. The move was made in parallel with the continued growth of the company's small business banking platform and out of a need to ensure its continued success for many years to come. As part of Bluevine's commitment to the employees who have been supporting it, the company will assist them in finding a new job and will support them during the period of adjustment in their new path. Israel is the company's main R&D center, which will continue to drive the company forward and ensure that Bluevine remains a global leader in its field, strong, growing, and financially stable."

Published by Globes, Israel business news - en.globes.co.il - on December 10, 2024

© Copyright of Globes Publisher Itonut (1983) Ltd., 2024

Bluevine founders Eyal Lifshitz and Nir Klar
Bluevine founders Eyal Lifshitz and Nir Klar
Unframe founders credit: Yossi Yarom Israeli AI enterprise platform co Unframe raises $50m

Unframe’s turnkey AI solutions enable companies to solve any enterprise AI use case at scale with fully functional, customized AI solutions for businesses in a matter of hours, rather than months.

Combatica credit: Combatica Combatica launches next-gen VR AI training platform

The Israeli company's virtual reality platform includes 50 AI generated scenarios, seven maps and even situations for operating night vision.

Shekel credit: Shutterstock Vladirina 32 Shekel volatility after US tariffs announcement

The shekel is weakening sharply against the euro, which is gaining following the unveiling of Donald Trump's tariffs plan.

Minister of Finance Bezalel Smotrich credit: Noam Moskovitz Knesset Spokesperson Treasury assesses potential damage to Israel's US exports

Israel will be charged a higher tariff on its exports to the US - its biggest export customer - than Turkey and the UAE.

Iranian flag credit: Shutterstock Why inflation haunts Iran

With a month-on-month increase of 3.3% and an annual rate of 37.1%, inflation reflects the struggles of millions of Iranians.

APM merges with lawyers from Doron, Tikotzky Kantor, Gutman credit: Eyal Merilos APM merges with 12 lawyers from Doron, Tikotzky Kantor, Gutman

With the addition of these 12 lawyers, Amit Pollak Matalon & Co. will now have 135 lawyers.

US President Donald Trump credit: Reuters Sipa USA Israel on list as Trump unveils tariffs

Relatively low reciprocal tariffs will be imposed on Israeli goods sold in the US.

Deflated unicorn credit: Shutterstock Big Tech 50 reports more huge falls in startup valuations

Israeli R&D partnership Big Tech 50 reports that an investment of $2 million in Orcam made in 2021, shrank to just $31,000 at the end of 2024.

NextFerm technologies based on yeast credit: NextFerm Food-tech co NextFerm suspends operations

The company, which produces food ingredients in yeast without genetic engineering, cannot pay its debts and is seeking a buyer.

Minister of Finance Bezalel Smotrich credit: Shlomi Yosef OECD sees recovery in growth but high inflation

The OECD Israel Economic Survey 2025 recommends that the Israeli government take several restraining measures, in order to exit the economic storm created by the war.

Dano Ben-Hur credit: Dror Sithakol Statisticians contradict BoI on impact of housing finance deals

The Central Bureau of Statistics insists the impact of 20/80 buy now pay later financing deals on the real estate market and housing prices is minimal.

Governor of the Bank of Israel Amir Yaron  credit: Government Press Office Debt fears top Bank of Israel's concerns

Most unusually, Governor of the Bank of Israel Amir Yaron's press conference last week did not focus on inflation and the impending interest rate decision.

US President Donald Trump  credit: Reuters/Leah Millis Israel moves to avoid Trump's tariffs axe

Minister of Finance Bezalel Smotrich has signed an order canceling all tariffs on imports from the US. The impact will mostly be on agricultural produce.

Forbes Rich List credit: Shutterstock Maslowski Marcin Wiz founders ranked in Forbes 2025 Rich List

There are a few dozen Israelis listed in the 2025 Forbes Real-Time Billionaires List including Wiz founders Assaf Rappaport, Yinon Costica, Roy Reznik and Ami Luttwak.

SatixFy CEO Nir Barkan credit: Ariel Barkan Canada's MDA Space to buy Israeli satcom co SatixFy

MDA Space will pay $269 million for the Israeli company, including taking on a $76 million debt and a 75% premium on SatixFy's closing price on Nasdaq yesterday.

Raising dollars credit: Shutterstock Israeli startups raised over $1b in March

Israeli privately-held tech companies have raised $2.1 billion in the first three months of 2025, according to IVC-LeumiTech, up 24% from the corresponding quarter of 2024.

Twitter Facebook Linkedin RSS Newsletters גלובס Israel Business Conference 2018