Riyadh-based alternative financing platform erad secured USD 16 mn (c. SAR 60 mn) in a pre-series A round, backed by global and regional investors including Y Combinator, Nuwa Capital, Khwarizmi Ventures, Aljazira Capital, VentureSouq, Oraseya Capital, and Joa Capital, according to a statement.

Where will the money go? The platform will use the proceeds to scale operations across the region, boost local hiring, and expand its suite of shariah-compliant financing solutions to support revenue-generating small and medium-sized businesses.

About erad: Founded by Salem Abu Hammour (LinkedIn), Faris Yaghmour (LinkedIn), Abdulmalik Almeheini (LinkedIn), and Youssef Said (LinkedIn) in 2022, the Riyadh-based SMEs financing platform serves clients across retail, F&B, e-commerce, and healthcare.

ICYMI- SMEs are benefiting from a flurry of additional attention and support from a variety of lenders. Build-now-pay-later startup Buildnow raised USD 9.7 mn to support SMEs in the construction sector, and debt crowdfunding startup Lendo lined up a USD 690 mn (SAR 2.6 bn) warehouse facility to boost lending capacity, expand product offerings, and widen coverage for SMEs.

Tags: