by admin | Oct 11, 2024 | Startups News
OCTA, a UAE-based fintech startup, raised $2.25 million in its pre-seed funding round. The round was co-led by Quona Capital and Sadu Capital, with participation from Sukna Ventures, Plus VC, 500 Global, and notable angel investors like Pawel Iwanow and Dom Monhardt. OCTA aims to simplify payment collections for small and medium-sized enterprises (SMEs), improving cash flow management and easing the pain of accounts receivable.
Addressing Cash Flow Challenges for SMEs
Founded in 2024 by Jon Santillan, Nupur Mittal, and Andrey Korchak, OCTA focuses on solving late payment issues. In the UAE, 60% of B2B invoices are paid late, with businesses spending an average of 40 days chasing overdue payments. These delays put a strain on SMEs trying to manage cash flow.
According to Santillan, collecting payments is not just a finance issue but a business problem. Late payments, managing multiple invoicing tools, and debt recovery slow business growth. OCTA’s platform automates payment collections to reduce these challenges.
How OCTA Works
OCTA automates the payment collection process. The platform syncs with a business’s accounting software, tracks invoices, and assigns collection scores to customers. It also manages reminders and follow-ups, offering financing options if needed. In cases of disputes, OCTA checks contracts to avoid unnecessary delays.
By automating these processes, OCTA allows businesses to focus on growth instead of chasing payments. This improves cash flow and unlocks liquidity, which is crucial for business expansion.
Expanding into Saudi Arabia
it has also expanded into the Saudi market. Since its launch, the platform has facilitated over $28 million in receivables. Companies like Careem, Lean Technologies, Ogram, Money Hash, and Gameball use OCTA to streamline their payment collections.
Santillan emphasized the company’s goal: “We are building a global company from the Middle East to revolutionize how businesses manage cash flow.”
Investor Confidence in OCTA
Investors see strong potential in OCTA. Monica Brand Engel, co-founder of Quona Capital, highlighted that OCTA’s AI-driven platform helps businesses focus on growth. Similarly, Qusai AlSaif of Sadu Capital pointed out that the startup addresses a critical pain point for SMEs by simplifying accounts receivable management.
Future Plans
OCTA plans to use the pre-seed funding to expand its offerings and reach. The company is positioned to transform how SMEs handle cash flow, turning receivables into growth capital.
As Santillan said, “This round is just the beginning. We’re helping businesses collect payments faster, so they can focus on growing.”
by admin | Oct 11, 2024 | Startups News
Dubai-based dropshipping platform 4Partners has raised $3.6 million to expand its services across the UAE. This funding will drive the company’s regional growth and enhance its e-commerce solutions. As demand for dropshipping increases, 4Partners aims to simplify online store launches by providing seamless logistics and a cloud-based IT infrastructure. Entrepreneurs can now focus on sales and brand growth, leaving stock management behind.
Streamlined Dropshipping for Business Success
4Partners connects businesses to over 7 million branded products from 753 suppliers globally. It eliminates the need for bulk purchasing and complex inventory management. The company’s warehouses in the UAE, USA, Germany, Turkey, and China offer cross-border shipping and efficient logistics. This setup helps businesses scale quickly without operational headaches.
The platform allows businesses to launch e-commerce stores without coding skills or upfront investments. Automated shipping, product sourcing, and IT infrastructure handle logistical challenges, freeing entrepreneurs to focus on marketing and growing their online stores.
Expanding in a Growing MENA E-Commerce Market
The MENA region’s e-commerce market is projected to hit $50 billion by 2025, with the dropshipping sector growing at a 17.9% CAGR from 2024 to 2030. Increasing consumer demand for diverse and accessible products is driving this growth. 4Partners’ expansion aligns with this demand, positioning the company to meet regional market needs.
Aleksandr Betra, CMO of 4Partners, stated, “We are excited to launch in the UAE and offer an e-commerce solution that empowers businesses. Our platform simplifies logistics and inventory management, allowing our partners to focus on selling and growing their brands.”
Leveraging Mobile Commerce
4Partners integrates with Shopify, allowing businesses to leverage mobile commerce. In 2023, mobile commerce generated $1.7 trillion in global sales, accounting for over half of retail e-commerce sales. This feature helps businesses reach more customers and increase sales by tapping into the mobile-first shopping trend.
A Game-Changer for UAE E-Commerce
Launched in 2023, 4Partners is reshaping e-commerce in the MENA region. Its dropshipping solution is ideal for small and medium-sized businesses, providing tools that help them compete in a growing market.
As the dropshipping industry grows, 4Partners’ recent funding reflects confidence in its potential to lead in MENA e-commerce. By focusing on logistics automation, global product access, and mobile integration, 4Partners provides businesses with everything they need to succeed—without the common challenges of running an online store.
by admin | Oct 3, 2024 | Startups News
Saudi Arabia-based adtech platform Quantum has secured funding as part of its $7 million Pre-Series-A round. HearstLab, the investment arm of Hearst Corporation, led the round. This investment marks HearstLab’s first venture in the Middle East, highlighting the region’s growing tech ecosystem.
Quantum’s Innovative Platform
Founded in 2020 by Omar Malaikah and Sara Bin Ladin, Quantum provides a platform that connects advertisers with publishers. It allows advertisers to select publishers and purchase ad space directly. The platform also offers advanced data analytics and ROI metrics to optimize campaign performance. Quantum fills a critical gap in the Middle Eastern market, helping advertisers reach their target audiences effectively.
A Milestone Investment for Saudi Arabia’s Tech Sector
This recent funding from HearstLab strengthens Quantum’s position as a leader in the adtech industry. It also highlights the rapid growth of Saudi Arabia’s tech industry in line with Vision 2030. In addition to HearstLab, Quantum has attracted support from global investors like 500 Global, Vision Ventures, Sukna Ventures, and Tech Invest Com.
This investment showcases Saudi Arabia’s role as a growing hub for technology. Quantum’s founders are driving digital transformation and helping advertisers maximize their digital efforts in a critical e-commerce era.
Strategic Alliance with HearstLab
HearstLab’s partnership with Quantum goes beyond funding. Quantum will gain access to HearstLab’s expertise in media, fintech, and analytics. The company will also benefit from Hearst’s extensive global network. Sara Bin Ladin, Quantum’s CTO, sees this as a strategic alliance that will boost Quantum’s capabilities and visibility.
Omar Malaikah, Quantum’s CEO, expressed pride in being part of Saudi Arabia’s push for technological advancement. He believes this investment underscores the country’s potential as a tech innovation hub.
Expanding HearstLab’s Global Reach
HearstLab has a proven track record in supporting women-led startups. Since 2015, it has invested in over 70 companies globally, with a collective value of over $2.5 billion. Quantum is HearstLab’s entry into the Gulf Cooperation Council (GCC) region, expanding its global reach and supporting innovation in the Middle East.
Quantum: Driving Innovation in the Middle East
Quantum’s technology connects advertisers and publishers, offering solutions that enhance digital advertising. As Saudi Arabia’s digital ecosystem grows, Quantum is set to become a key player in reshaping the advertising landscape. Its focus on data analytics and innovation positions it as a leader in the region’s adtech industry.
by admin | Oct 2, 2024 | Startups News
UAE-based podcast platform Podeo has raised $5.4 million in a Series A round. The funding was led by Oraseya Capital, with additional investors such as Ibtikar Fund, Cedar Mundi Ventures, Samarium, iSME, and Razor Capital. Founded in 2020 by Stefano Fallaha, Anthony Essaye, and Mario Hayek, Podeo helps podcast creators distribute and monetize their content more effectively.
Expanding into Emerging Markets
Podeo will expand into emerging markets, including Latin America, Eastern Europe, and Southeast Asia. As podcasting grows rapidly, discoverability has become a major challenge for creators. To address this, they offer innovative distribution beyond traditional apps. For instance, its platform integrates with radio stations, airlines, ride-hailing services, and messaging apps.
An All-in-One Solution
they provide a comprehensive platform for podcast creators. It simplifies the process from content creation to monetization. Currently, Podeo supports more than 100,000 creators and connects them to a global audience of over 50 million listeners. This unique model helps creators reach wider audiences while also optimizing their ad revenue.
Driving Podcast Growth in MENA
In the MENA region, it has transformed the podcast landscape. In just two years, it increased podcast availability by 50X. As a result, creators have seen monthly audience growth rise by an average of 166%. The platform’s tools for monetization and audience engagement have made it a popular choice. For instance, Mo Islam, host of The Mo Show, credits Podeo for boosting his podcast’s visibility and growth.
Future Plans and Vision
With the new funding, Podeo plans to enhance its AI capabilities and improve its tools for creators. Stefano Fallaha, CEO of Podeo, expressed excitement about the company’s future. He stated, “We aim to empower creators to become global audio stars.” This investment will help Podeo expand quickly across emerging markets, ensuring diverse voices are heard worldwide.
Why Podeo is Unique
Podeo stands out for solving podcast discoverability problems. By offering a wider distribution network and effective monetization tools, changing the way podcasts reach audiences. As podcasting continues to grow, they are positioned to be a leader in the industry, helping creators succeed on a global scale.
by admin | Sep 30, 2024 | Actionable Tips & Advice
When it comes to growing a startup, securing the right type of funding at the right time is crucial. For entrepreneurs looking to scale their businesses, understanding the different stages of funding can make or break their journey. Here, we’ll walk you through the key startup funding stages, helping you determine where your business stands and how to plan for future growth.
1. Pre-Seed Funding
This is the very first stage , often referred to as “bootstrapping.” Typically, entrepreneurs rely on their own savings or turn to friends and family to get their idea off the ground. At this stage, the focus is on research, product development, and forming a minimum viable product (MVP).
2. Seed Funding
Once the startup has a tangible product, it enters the seed stage. At this point, early investors, such as angel investors and incubators, come into play. These investors provide capital in exchange for equity, enabling the startup to hire a team, enhance product offerings, and begin gaining market traction.
3. Series A Funding
Series A is often the first institutional round of venture capital. Startups at this stage have an established user base and a business model that shows potential for scalability. Investors look for startups with strong revenue projections and sustainable growth strategies. The goal of Series A is to refine the product and expand market reach.
4. Series B Funding
In the Series B round, companies have demonstrated success and are looking to expand further. This funding helps them scale by increasing production, expanding teams, and boosting marketing efforts. Investors at this stage expect the business to have a clear path to profitability and seek a solid return on investment.
5. Series C and Beyond
By the time a startup reaches Series C, it’s on the brink of dominating its market or expanding into new territories. This stage may also include private equity firms and is often the last step before an Initial Public Offering (IPO). Series D or E rounds may occur if more capital is needed to achieve final growth objectives before going public.
6. IPO (Initial Public Offering)
An IPO represents the final major milestone in startup funding. The company is now offered on the stock exchange, allowing public investors to buy shares. Going public can significantly increase a company’s value and provide the resources needed for long-term growth.
Which Funding Stage Is Right for You?
Each funding stage serves a unique purpose, and not every startup will go through all stages. It’s crucial to assess your business’s needs, goals, and growth potential to determine when and where to seek funding.
For startups just beginning their journey, starting with seed funding and a clear vision for the future can set a strong foundation for success. As your company grows, engaging in larger funding rounds can fuel scalability and expansion.
By understanding these stages, entrepreneurs can strategically plan their financial roadmap and set themselves up for long-term success in the ever-competitive startup world.
