- Mala secured $7 million in a Pre-Seed funding round led by Venture Souq, with backing from several notable investors, including M Capital and BECO Capital.
- The platform provides flexible credit and liquidity solutions tailored for small and medium-sized enterprises (SMEs) in Saudi Arabia.
- Mala offers suppliers immediate payments and customizable credit terms for buyers, leveraging data insights to address traditional credit barriers.
- Mala aims to empower SMEs and contribute to Saudi Arabia’s Vision 2030 by fostering economic growth and innovation.
Mala, a Saudi startup, recently raised $7 million in a Pre-Seed funding round led by Venture Souq, with participation from other notable investors including M Capital, BECO Capital, Access Bridge Ventures, Palm Ventures, Shorouq Partners, Wad Investment, and the DGV fund.
The startup plans to use the funds to launch its operations in Saudi Arabia by the end of this year. The raised capital will primarily be used to attract top talent and further develop its technology.
Empowering SMEs with Flexible Credit Solutions
Mala’s core focus is on providing flexible credit and liquidity solutions to small and medium-sized enterprises (SMEs), a critical component in Saudi Arabia’s Vision 2030, which aims to diversify the economy and boost innovation. The startup’s platform is designed to offer immediate payments to suppliers and customizable credit terms to buyers, helping businesses navigate the often rigid credit challenges of traditional systems.
Data-Driven Approach to Overcome Credit Challenges
The platform leverages data-driven insights to solve a common problem faced by suppliers which is offering credit to buyers. Traditionally, suppliers have had to rely heavily on personal relationships to extend credit, which limited their ability to provide sufficient funds to buyers.
Mala addresses this issue by integrating procurement and credit management solutions tailored for B2B businesses. By using data, the platform enables suppliers to receive immediate payments, reducing the financial strain they often face, while also offering buyers more flexible credit terms.
Strategic Partnerships and Growth Plans
Mala’s long-term goal is to strengthen its position in the market through strategic partnerships with both suppliers and buyers across various sectors. The company’s founder and CEO, Musaab Hakami, highlights that these partnerships are key to the startup’s growth, helping it establish trust and expand its customer base.
By focusing on these relationships, Mala not only improves its services but also contributes to the broader economic growth in the Kingdom.
Supporting Vision 2030
Mala’s mission aligns closely with the goals of Saudi Arabia’s Vision 2030, which emphasizes the importance of empowering SMEs and driving economic diversification. By offering SMEs access to flexible credit and liquidity, Mala is positioning itself as a vital player in the Kingdom’s economic development.
The startup is also fostering innovation in the B2B credit management space, helping create a more efficient and dynamic business environment.
With its innovative approach and strong investor backing, Mala is set to play a significant role in transforming the SME landscape in Saudi Arabia.
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Last Updated on October 21, 2024 by Safiya K
