Funding Souq raises $2.5m in a seed round
Summary
It is known that Funding Souq(founded in 2020) is a based crowdfunding platform that connects lenders with creditworthy businesses and gives you the necessary tools to make an informed investment decision. Multiple FinTech themes captured investor interest in Saudi Arabia over the past year, including crediting solutions, payment gateways, SME financing, and open banking with star startups like Rasan Information Technology, Lendo, Hala, and Tamara, raising significant investments in 2021. Once joined, retail and institutional investors can choose to invest in individual businesses or a portfolio of companies to diversify their exposure and maximize their risk-adjusted return. SMEs in the GCC usually don’t qualify for the financing they deserve as traditional lenders are overly conservative and highly underserved by financial institutions. Martin Jaouni, Funding Souq’s CEO, commented, “This lack of financing limits economic growth and is one of the main reasons why we started Funding Souq; we are incredibly proud to have financed 47 SMEs across Saudi Arabia and UAE in the first 12 months of operations and are looking forward to growing our portfolio exponentially”.