The fintech startup is set to develop its platform's capabilities and create more sector-specific product options.
Saudi Arabian Fintech startup, Lendo, has announced that it has raised a Series-A funding round of $7.2 million, as it looks to elevate its SME-targeted digital crowd-lending platform. The funding round was led by Derayah Ventures, but also saw participation from Seedra, Shorooq Partners, 500 Startups, and Impact46.
Founded in 2019 by Osama AlRaee and Mohammad Jawabri, Lendo - which is licensed by SAMA (Saudi Central Bank) under the Sandbox Environment Program - offers solutions to two of the most frequent issues when it comes to SMEs borrowing money. Firstly, it seeks to expand the limited options for SME businesses to borrow cash quickly and easily, and secondly, the limited short-term options that offer higher returns for investors and lenders. Ultimately, the shari'ah compliant digital lending marketplace allows SMEs to borrow money and pre-finance any of their outstanding invoices.
“We are proud to be backed by leading investors who have excellent knowledge and experience in the most rapidly maturing MENA entrepreneurial ecosystem," CEO and Co-Founder of Lendo, Osama AlRaee, said. "The additional investment helped us create more opportunities for Lendo to finance businesses during the challenging economic climate brought about by COVID-19. At Lendo, our strategy is to provide access to low-profit rate financing to SMEs and help funders receive better returns."
The funds will be used to develop the platform's capabilities and create more product options that focus on the needs of specific sectors.
Learn more about Lendo here.