Kafala Program signs MoU with Funding Souq

This partnership aligns with Kafalah's commitment to fostering a thriving entrepreneurial ecosystem in the Kingdom

Funding Souq, the booming SME financing and investment platform in Saudi Arabia, is pleased to announce a strategic partnership with the Kafala Program. This collaboration aims to stimulate investment in the Kingdom's small and medium enterprises (SMEs) by introducing a risk-mitigating guarantee mechanism.

Under the agreement, the Kafala Program will provide a guarantee of up to 50 per cent of the capital invested by Funding Souq's investors in a curated selection of investment opportunities. This innovative approach allows investors to achieve the same targeted returns while significantly reducing their risk exposure.

"This partnership with the Kafala Program represents a significant step forward in our mission to empower Saudi SMEs and drive economic growth," stated Martin Jaouni, founder and CEO at Funding Souq. "By working together, we can create a more robust and accessible investment ecosystem for both businesses and investors."

The key objectives of the agreement are:

• Streamlining access to capital: To create solutions that enable SMEs to access the Kafala Program's financing guarantee and leverage crowdfunding platforms like Funding Souq.
• Enhancing collaboration: To explore avenues for deeper integration between the Kafala Program and Funding Souq to streamline the credit decision process and facilitate seamless access to capital.
• Accelerating credit decisions: To leverage the latest technologies and electronic linkages to accelerate credit decisions and unlock faster funding for enterprises.

Funding Souq is a Shariah-compliant SME financing and investment platform that connects established businesses with retail and institutional debt investors worldwide. By providing accessible small business loans, Funding Souq aims to stimulate SME growth and contribute to economic prosperity in Saudi Arabia and the wider Gulf region.

This collaborate with Funding Souq to unlock new opportunities for Saudi SMEs and. This partnership aligns with Kafalah's commitment to fostering a thriving entrepreneurial ecosystem in the Kingdom.

For more information, visit https://fundingsouq.com/sa/en/