Paypal Business vs Wise Business (2025 Guide)

Running a successful business requires you to build a loyal customer base, tap into an untouched market, and do marketing right—but none of that will matter unless you’ve got solid financial footing to run like a well-oiled machine.

Having the right business account to accommodate your cash flow and provide the features you need to thrive can make all the difference. PayPal and Wise Business both provide popular business accounts, but which one reigns supreme for your business? Let’s find out.

Looking to take your business international?

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What is PayPal Business?

PayPal for Business separates itself from a personal PayPal account through its many business-oriented features, including invoicing, integrations, checkout solutions, payment acceptance options, and operations tools. It’s an account that lets you amalgamate all your business finances in one place with international capabilities as well.

As PayPal is such an established name when it comes to online payments, many businesses look to it as a trusted platform for handling company transactions. Because the brand is so internationally recognized and supports so many different payment types, merchants might find this especially appealing.

If you plan to connect PayPal for Business to your ecommerce sites, it can act as a globally trusted checkout option for customers. Also, there’s the perk of being protected from chargebacks, fraudulent transactions, and disputes. Need to review your financial standings and activity? Online reports are available so you can get an overview of your business finances whenever you need to.

Check how it compares with PayPal below:

What is Wise Business?

Wise Business offers businesses of all sizes the chance to hold, send, and receive funds globally. You’ll also find that you get a better vantage point of your spend and can grant access to other team members. This way you can spend less time ticking boxes and focus on what helps your business grow.

Since Wise’s main focus is to allow businesses to operate internationally, you’ll find all sorts of features that help you manage multiple currencies simultaneously. For businesses that maintain an international presence, Wise is a powerful business account to consider.

Wise Business isn’t just geared toward merchants who want to offer a multitude of ways to pay. Especially if you frequently do business locally and across borders, it’s a much more affordable and easy-to-use alternative than many other business accounts out there. With a built-in multi-currency account that lets you hold, spend, receive, and send money at low and transparent rates and fast speeds, it’s the perfect all-in-one account for international business.

Deal with clients, customers, and vendors in USD most often, for example? You can open up a USD account within your Wise Business account and receive and send money like a local, without having to deal with currency conversion costs every time.

Key Features Comparison

It’s clear that PayPal and Wise both have their individual perks, which makes it hard when you have to choose between PayPal business or Wise Business. To make things a little easier for you, let’s go over and compare their key features.

Account Setup and Accessibility

Setting up a business account on PayPal is straightforward. It requires you to fill out your personal details and have your business details ready to go. You’ll choose the main currency you want to send and receive payments in, provide details about your business income, link a bank account, and finally, choose a solution (PayPal Checkout, online invoicing, automated payments, etc.). Whenever you need to do anything in your PayPal account, you can access features like payment processing and other tools through the dashboard or the mobile app.

With Wise, setting up an account is quite a similar process and only requires a few minutes as well. It’ll require you to enter details about yourself and your business, but it’s possible that verification can take some time (no longer than 10 working days). That’s because Wise takes security and compliance very seriously, and there may be additional documentation the platform needs depending on where your business is registered.⁶ Wise’s interface is intuitive and user-friendly, showing your balances in the currencies you have right off the bat. From there, you can manage your money and access all the other functions you need.

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Payment Processing

Both PayPal and Wise support bank account (ACH) payments, wire transfers, and debit card and credit card payments. However, PayPal does have the advantage of Pay Later options, Apple Pay, Venmo, and other country-specific alternatives like Multibanco voucher and bank redirects from MyBank and iDEAL when you’re using PayPal Checkout.⁷ They also both let you use your existing balances in your account, but Wise has the advantage of account details that act as digital bank accounts.

The speed of transfers depends on the method of payment. As a rule of thumb, debit and credit card transfers are typically instantaneous, while bank account transfers can take 1 to 5 business days on PayPal and up to 2 business days on Wise.^8,9

International Transactions

PayPal has a presence in over 200 countries and territories and supports 25 currencies. Wise, on the other hand, has a leg up over its competition, with support for 40+ currencies. Wise also uses the mid-market rate, the fairest rate on the market, with no markups, for every single transfer you make. Meanwhile, PayPal has a 3-4% markup.¹²

Invoicing and Billing

Wise and PayPal have built-in digital invoicing tools that let you include your company and contact information, as well as line items with descriptions of your work and their rates. You can also note other payment details and add applicable taxes and fees. Both platforms let you also set up recurring payments, which Wise calls “scheduled transfers.”

Security and Fraud Protection

Regardless of the business account you choose, both of them implement strict security and fraud protection measures in place so you know your finances are safe and sound.

Wise has a dedicated fraud team that works around the clock to keep user accounts protected, as well as a Complaints and Disputes Team. There are security measures like two-factor authentication, real-time notifications, and constant security audits being made. Although Wise isn’t a bank, it offers bank-level security by safeguarding your money—keeping it separate from their own.¹³

PayPal comes with advanced encryption technology to encrypt every transaction you make on the platform. They also have fraud protection monitoring 24/7, as well as other features like the Seller Protection and chargeback management so you don’t have to worry about unauthorized transactions or disputes.

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When weighing your options between PayPal Business or Wise Business, consider this: Wise Business is geared more towards international money management, while PayPal Business is more focused on international sales. While both have made a name for themselves in business payments, they both have features that make them more suitable for certain businesses.

If your business relies on an ecommerce platform and requires a well-established payment processor, pick PayPal. Alternatively, pick Wise if you frequently deal with international transactions, manage several currencies, and value low fees.

FAQ

What are the main differences between PayPal Business and Wise Business?

PayPal Business is ideal for those who need a broad customer reach, as it’s recognized primarily as a payment account that boasts features like Buyer and Seller Protection and payment processing for customers around the world. Wise Business specializes in international transactions and managing multiple currencies. You’ll find that Wise has more competitive rates with the mid-market rate and a more complete set of tools for managing an international business.

How do PayPal Business fees compare to Wise Business fees?

Although both platforms operate on a pay-as-you-go cost structure, PayPal Business has significantly more fees than Wise Business, including a 3-4% markup on currency conversions and percentage and fixed fees depending on the type of payment done. Wise Business transfer fees start at from 0.33%.

Can I use Wise Business for international payments?

Yes! Wise Business is designed specifically for businesses to conduct international payments with ease. The multi-currency account lets you hold money in 40+ currencies and convert money between them with the mid-market exchange rate, so you’ve always got the funds you need ready to go. For a one-time fee of USD, you can also open 8+ local currency accounts to spend, send, and receive like a local. Signing up to Wise Business allows access to BatchTransfer which you can use to pay multiple invoices in one go.

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1. List of PayPal Countries - PayPal
2. How to Accept Foreign Currency with Your Business Account - PayPal
3. How to Sign Up for a Business Account - PayPal
4. How can I verify my business? | Wise Help Centre
5. Payment methods | PayPal
6. Fees | Merchant and Business | PayPal US