Ziina Raises $22 Million to Expand Financial Services Platform
Since its initial introduction in 2022, Ziina has had a 10x yearly rise in revenue and a 34% month-over-month increase in customers.
Ziina, the leading financial platform in the UAE catering to both consumers and businesses, has announced a successful Series A funding round, raising $22 million. The round was led by US-based Altos Ventures, with participation from other prominent investors including Fintech Collective, Avenir Growth, Activant Capital, Y Combinator, FJ Labs, MEVP, and Jabbar Internet Group. This substantial investment will support Ziina’s expansion from a payments solution provider to a comprehensive financial services platform.
Navigating the Global Fintech Funding Landscape
Despite a global slowdown in fintech funding—from $144.2 billion in 2021 to $40.7 billion in 2023—Ziina's successful funding round highlights its strong market position and the confidence investors have in its future. Over the past year, Ziina has seen a significant influx of SMEs utilizing its 360-degree payment solutions, resulting in a tenfold increase in annual revenue growth and a 34% month-on-month rise in customer acquisition. This progress is further bolstered by Ziina’s recent acquisition of the Stored Value Facility (SVF) license from the Central Bank of the UAE, reinforcing its credibility as a financial partner in the region.
Addressing the Needs of SMEs in the UAE
Ziina serves a crucial segment of the UAE market—small and medium-sized enterprises (SMEs)—which constitute over 94% of all companies and contribute around 60% of the country's GDP. With digital payment adoption growing, around 77% of SMEs in the UAE have integrated digital solutions as of 2023. However, about 50% of SMEs in the Middle East still face challenges related to finance access and cash flow management, according to a PwC Middle East survey. Ziina’s offerings, including a payment gateway for website checkouts and POS solutions, are designed to address these challenges and support business growth.
Accelerating Technological Advancements and Innovations
The $22 million Series A funding will be pivotal in driving Ziina’s technological advancements and product innovations. The investment aligns with Ziina’s vision of revolutionizing financial services in the Middle East by providing a secure, user-friendly platform. While businesses have successfully utilized the platform for inbound payments, Ziina is now focusing on refining outbound payment capabilities. A key development is the upcoming ZiiCard, which will enable businesses to manage expenditures and enhance expense tracking. For individual users, features such as expense categorization and payment splitting will significantly improve transaction security and convenience.
Faisal Toukan, CEO and Co-Founder of Ziina emphasized, "Ziina is positioned at the intersection of three key pillars: we see strong customer demand from the underserved SME sector, we’ve obtained the SVF license from the Central Bank of the UAE, and we have secured substantial funding from top-tier investors that we’re excited to be partnering with over the long term. The intersection of these three pillars means that Ziina is uniquely positioned to lead the next evolution of fintech in the UAE and beyond. This funding will accelerate our journey from a payment platform to an end-to-end financial services provider, enhancing our offerings and expanding our reach across the Middle East.”
Attracting Top Talent for Future Growth
A significant factor in Ziina’s success has been its ability to attract top-tier talent from global tech giants. The company’s team includes experts from Apple, Uber, Nubank, Klarna, Coinbase, Amazon, FundingCircle, and Yandex. With the new funding, Ziina plans to expand its team further by hiring from leading tech and fintech companies such as Revolut and Nubank, which have played crucial roles in scaling their businesses to multi-billion-dollar valuations.
Dillon Krasnigor, Partner at Altos Ventures, said: "We're excited to partner with the Ziina team for the next phase of their growth. We're impressed with the company's ability to secure the SVF license from the UAE government, its consistent performance, and its ability to build an innovative product suite to meet its customers' needs. We believe Ziina will become a significant financial services provider in the Middle East. We commend The Central Bank of the UAE for embracing innovation within the fintech space by granting Ziina the SVF license.”
Looking Forward: Expansion and Innovation
As Ziina continues to grow, its combination of strategic funding, a rapidly expanding customer base, and a strong commitment to innovation positions it as a key player in the future of finance in the Middle East. With plans to enter new markets like Saudi Arabia and Jordan, Ziina is on track to become the region’s premier financial platform, driving economic empowerment and contributing to a cashless society.
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