Ziina Secures $22 Million Series A Funding to Expand Business Payment Solutions in the UAE

Ziina, a Dubai-based fintech startup, has raised $22 million in Series A funding led by Altos Ventures, highlighting investor confidence in the company’s growth trajectory.

The company has witnessed significant growth, boasting a 34% month-over-month increase in customers over the past year and a tenfold rise in revenue during the same period.

Ziina's Focus on the Growing SME Segment

Ziina initially launched as a peer-to-peer (P2P) payment app for splitting bills, but quickly expanded to cater to the needs of micro, small and medium-sized enterprises (SMEs) in the UAE.

• The company now offers a comprehensive suite of business payment solutions, including payment links, point-of-sale (POS) solutions, and a payment gateway integrated with platforms like WooCommerce and Shopify.
• Ziina's focus on the SME segment is strategic, as SMEs constitute over 94% of all companies in the UAE and contribute about 60% of the country's GDP.
• The rising adoption of digital payments among SMEs, with around 77% having embraced such solutions, further fuels demand for financial management tools like Ziina's.

Ziina's Product-Led Growth Strategy

Ziina's growth is largely attributed to its product-led strategy, addressing key pain points for SMEs in the payment space: accessibility, cost transparency, and user experience.

• SMEs can easily open accounts and set up a payment processor within minutes using Ziina's platform.
• Ziina offers straightforward pricing with no hidden fees, charging a transparent rate for payment links, POS transactions, and payment gateway transactions.
• The platform provides a user-friendly dashboard for businesses to track and reconcile their online and offline payments.

Ziina's Success with Product-Led Growth

Ziina's impressive growth has been driven primarily through product-led efforts, with 55% of its customer base acquired organically and the remaining 45% coming from B2B referrals.

• The fintech company now serves 50,000 active users, including both retail and business customers.
• Ziina processes approximately 1,050 dirhams ($280) every 60 seconds and is on track to handle 1.1 billion dirhams (~$300 million) in annualized transaction volume.

Ziina's Stored Value Facility License

Ziina's recent acquisition of a stored value facility (SVF) license from the Central Bank of the UAE grants the fintech company the ability to offer a wider range of financial services, excluding lending.

• This license enables Ziina to earn revenue from the float when customers keep assets on the platform.
• The company is leveraging this license to venture into expense management with the upcoming launch of its ZiiCard product.

Ziina's Competitive Edge in the MENA Region

Ziina's SVF license and comprehensive suite of financial products position it as a leading fintech company in the MENA region.

• The company believes its integrated ecosystem of products, connecting consumers and businesses for payments, sets it apart from regional competitors like Paymob, Tabby, Telda, and Mamo.
• With the Middle East experiencing robust GDP growth, Ziina foresees ample market potential for its payment solutions.
• The company aims to reach 200,000 monthly active businesses on its platform within the next four years, mirroring the success of Nubank in Brazil.

Ziina's Future Growth Plans

Ziina is poised for continued growth, with its recent Series A funding allowing the company to further expand its product offerings, market reach, and sales team.

• The company is actively onboarding new sales personnel, including experienced individuals from Revolut.
• Ziina's goal is to become the leading financial platform in the region, offering a comprehensive suite of payment and financial services for consumers and businesses alike.