Digital financing platform Zelo and Watermelon Ecosystem, the UAE’s largest food and beverage (F&B) marketplace, have announced a strategic partnership to ease one of the industry’s biggest challenges: long payment cycles.
The agreement introduces a system that enables F&B suppliers to access invoice payments within 24 to 48 hours, instead of waiting the typical 60 to 90 days. The two firms said the model could help suppliers take on larger orders, strengthen cash positions, and reduce the financial uncertainty that often limits growth.
Addressing Cash Flow Bottlenecks
For many small and mid-sized F&B suppliers, delayed payments from restaurants and retailers can create serious operational stress. Zelo’s AI-driven invoice financing platform will now integrate directly with Watermelon’s ecosystem of more than 1,000 F&B outlets, allowing suppliers to convert unpaid invoices into working capital in just one business day.
“Cash flow is the lifeblood of any F&B supplier,” said Dhanush Arjun, co-founder and CEO of Zelo. “Our partnership with Watermelon ensures suppliers never have to choose between taking on new business and maintaining liquidity. They can now say ‘yes’ to growth opportunities immediately.”
Seamless Tech Integration
The solution connects Zelo’s automated financing system with Watermelon’s marketplace and point-of-sale infrastructure. Suppliers select invoices for financing through a few clicks, with funds disbursed in under two days. Pricing follows a pay-as-you-go model, designed to be transparent and predictable.
“We’re creating a more resilient F&B ecosystem,” said Omar Al Shamsi, CEO of Watermelon Ecosystem. “When suppliers have the resources they need, the entire chain benefits — from manufacturers to restaurants to consumers.”
Benefits Across the Ecosystem
For suppliers:
- Access invoice payments in 24–48 hours instead of 60–90 days.
- Take on larger orders without cash flow constraints.
- Reinvest in inventory, equipment, or expansion.
For F&B outlets:
- Stronger, more reliable supplier relationships.
- A stable supply chain with reduced disruption risks.
- Access to a financially stronger supplier base.
Expanding the Model
Zelo and Watermelon described the partnership as the first phase of a wider regional rollout. Plans include expansion into other GCC markets and the development of additional financial products tailored to the sector, such as equipment financing and broader supply chain solutions.
The move comes as fintech adoption accelerates across the region, with embedded finance and invoice factoring seen as key growth drivers for SMEs.
Compliance and Security
Zelo operates as a licensed financial entity under the Financial Services Regulatory Authority (FSRA) in Abu Dhabi Global Market (ADGM). The platform maintains strict security protocols with encrypted transactions and privacy safeguards, aiming to build trust in a sector where financing has often been fragmented.
About the Companies
Zelo – Operated by Funder AI Technologies Limited, part of IHC Group, Zelo has processed over 9,500 transactions and financed more than USD 200 million through invoice financing and revenue-based financing solutions for SMEs.
Watermelon Ecosystem – Serving over 1,000 F&B outlets in the UAE, Watermelon provides a suite of marketplace, POS, financial, and marketing services, with a mission to build a sustainable food ecosystem through strategic industry partnerships.
What This Means
For the UAE’s F&B sector, the partnership highlights how fintech and industry platforms are converging to solve systemic bottlenecks. By embedding financing directly into the supply chain, Zelo and Watermelon are betting that faster access to liquidity will translate into more resilient operations, more competitive pricing, and long-term growth.
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Last Updated on October 2, 2025 by Safiya K
