Buildnow, the MENA region’s pioneering “Build Now, Pay Later” solution, has successfully raised $9.4 million in seed funding. The investment, comprising $6.5 million in equity and $2.9 million in debt, was co-led by Raed Ventures and Khwarizmi Ventures. Notable participation also came from international venture capital firms and prominent local angels, including Abdulla Elyas, the co-founder of Careem.
Founded in April 2022 by Hisham Al Saleh, Rahat Dewan, and Abdulla Sheikh, the Buildnow team boasts diverse expertise in banking, fintech, and construction. The inception of Buildnow stemmed from Abdulla’s firsthand experience in the construction industry, where he encountered the challenges faced by SMEs due to limited credit access from suppliers.
According to Abdulla, the CEO of Buildnow, the construction supply chain in Saudi Arabia alone witnesses transactions worth $42 billion annually. However, suppliers typically offer limited credit, hindering SMEs’ growth potential. Buildnow addresses this issue by leveraging its credit management platform and extensive supply chain network to assess credit risk objectively. This allows them to provide materials on tailored credit terms to buyers while ensuring upfront payment to SME suppliers.
The platform offers three key benefits to users:
-Speed: Customers can acquire materials quickly and in bulk, expediting their delivery of goods and services.
-Ease: Digital operations streamline business processes in traditional sectors.
-Flexibility: Buyers gain access to an expanded network of suppliers and can negotiate credit terms that align with their business needs.
Abdulaziz AlTurki, Managing Partner at Khwarizmi Ventures, expressed confidence in Buildnow’s potential, emphasizing the founders’ expertise and the massive, underserved market they are targeting. Similarly, Saed Nashef, Founding Partner at Raed Ventures, highlighted the critical market inefficiency addressed by Buildnow and its positive impact on SMEs within the construction industry.
Since its inception, Buildnow has facilitated business transactions between over 250 SMEs, supplying more than 50,000 tonnes of raw materials. With a growth rate of 6X in 2023 alone, Buildnow aims for exponential expansion. The newly secured funding will enable Buildnow to empower the entire construction SME supply chain, unlocking growth opportunities and driving forward their mission. They are actively seeking top talent to join their team and propel Buildnow to greater heights.
—————
If you are a proptech company and want to promote your products for free, go to proptechbuzz.com and submit your products. For investors or proptech buyers, sign up on our platform to stay informed about exciting updates and trends in the Proptech Ecosystem.
Explore more Proptech news at media.proptechbuzz.com, for news tips and promotions, reach out to marketing@proptechbuzz.com
By Proptechbuzz
By Ravi Kumar