Ziina, a Dubai-based fintech startup, has recently raised $22 million in Series A funding led by Altos Ventures. The funding round demonstrates investors’ confidence in the company’s growth, as Ziina claims a 34% month-over-month growth in customers over the last year and a ten-fold increase in revenues during the same period. The startup, which initially focused on peer-to-peer payments, has expanded its offerings to meet the needs of micro, small, and medium-sized businesses (SMEs) in the UAE. It now serves 50,000 retail and business customers and targets the underserved market of 560,000 SMEs in the country.
Ziina’s success can be attributed to three key factors. Firstly, it recognized the growing demand from businesses to use its platform for sending and receiving payments, which led the company to develop specific products tailored to SMEs. These products include a payment gateway integrated with platforms like WooCommerce and Shopify, point-of-sale solutions using QR codes, payments via social media, and CRM functions for tracking customer details and interactions.
Secondly, Ziina’s product-led growth strategy has resonated with SMEs in the region. The startup addresses critical pain points for these businesses, including accessibility, cost transparency, and user experience. SMEs can open accounts and set up payment processors in minutes, benefiting from straightforward pricing with no hidden fees. Additionally, Ziina provides a dashboard for tracking and reconciling online and offline payments, giving businesses greater control over their financial management.
Finally, the recently acquired central bank license gives Ziina a competitive edge over other regional fintechs. The license allows the company to offer more financial solutions and earn revenue from the float when customers keep assets on the platform. By leveraging this license, Ziina plans to expand its offerings to include expense management with the launch of its card product, ZiiCard.
Looking ahead, Ziina sees significant market potential in the rapidly growing payments sector for consumers and businesses across the Middle East and North Africa (MENA) region. The CEO envisions having 200,000 monthly active businesses on the platform within four years and aims to achieve market penetration similar to that of Nubank in Brazil, which reached between 10% to 20% market share.
The Series A funding round included participation from other notable investors such as Activant Capital, Avenir Growth, Fintech Collective, FJ Labs, Jabba Internet Group, Middle East Venture Partners, and Y Combinator. With a total of over $30 million raised since its inception in 2020, Ziina is well-positioned to capitalize on the growing fintech market in the UAE and the wider MENA region.
Source link
