Forus Secures $60 Million Credit Facility to Support SMEs
- Forus secures a $60 million credit facility from the UK-based Fasanara Capital to strengthen the SME sector.
- This funding will enable the platform to provide over $150 million in financing, empowering businesses with working capital solutions and invoice financing.
- Since its inception in 2019, Forus has facilitated $390 million in funding for over 400 companies, reinforcing its role in achieving Saudi Vision 2030 goals.
Riyadh, Saudi Arabia – Forus, a Saudi-based crowdfunding platform specializing in SME financing, has announced securing a $60 million credit facility from Fasanara Capital, a UK-based asset management firm specializing in alternative investments. This strategic funding aims to enhance Forus’ ability to support startups and boost the business sector in the Kingdom.
Funding Details and Its Role in Supporting SMEs
This credit facility will enable Forus to provide over $150 million in financing, offering more efficient financial support to small and medium enterprises (SMEs), particularly in invoice financing and working capital solutions through its digital platform.
This initiative aligns with Saudi Vision 2030’s objectives, which aim to:
- Increase SMEs’ contribution to GDP from 20% to 35%.
- Enhance the entrepreneurial ecosystem by offering innovative and fast financing solutions.
- Improve access to funding for SMEs, which constitute 99.5% of businesses in the Kingdom.
Executive Leadership Statement
Nosaibah Alrajhi, Founder and CEO of Forus, commented on this achievement:
“This financing strengthens our ability to serve the SME sector in Saudi Arabia. We are committed to providing fast and innovative financing solutions that support the growth of this vital sector.”
Impact of the Funding on the Saudi Economy
According to market data, Saudi Arabia’s SME sector comprises 1.5 million active businesses, representing 99.5% of all companies and providing 6.5 million jobs. With this new facility, Forus will be able to:
- Increase financing volumes for SMEs.
- Enhance working capital efficiency for businesses through invoice financing solutions.
- Accelerate financing processes via its advanced digital platform.
Forus’ Achievements Since Its Inception in 2019
- Financed over 400 SMEs.
- Provided $390 million in funding facilities.
- Expanded its operations to cover key sectors in the Saudi economy.
Future Plans and Strategic Expansion
With this new funding, Forus aims to:
- Enhance its digital capabilities to offer faster and more efficient financing solutions.
- Expand its SME client base, increasing access to financial services.
- Invest in advanced analytics and artificial intelligence to improve customer experience.
This funding marks a significant milestone in Forus’ journey, positioning it as a key player in advancing financial inclusion and SME growth in Saudi Arabia.