Modern and user-friendly accounting platform Wafeq announced today that its $7.5 million Series A funding round (SAR 28 million) is now complete. Globally recognized accounting software executives and investors are involved in this investment, including Chris Corbishley, Managing Partner at 9900 Capital, who led the round and has previously invested in Payhawk, another European unicorn in the financial planning and spending management space, and Pennylane, France’s unicorn accounting platform. Gary Turner, an individual investor who founded and oversaw Xero’s operations in Europe, the Middle East, and Africa—one of the biggest accounting software companies globally—took part as well. In this round, Wamda Capital and Raed Ventures, two longtime investors, reaffirmed their backing for Wafeq.
Wafeq has led the way in regional accounting transformation and was founded to assist SME owners in managing their companies more effectively. Wafeq has been able to automate accounting in ways that its competitors cannot thanks to open banking and integrations with major regional banks, including Saudi Awwal Bank, Al Rajhi Bank, HSBC, and Wio.
Nadim Alameddine, CEO & Founder of Wafeq, commented: “The digitisation drive of regional businesses has been crucial in modernising our economies. With SMEs navigating an evolving regulatory landscape, Wafeq is ensuring that business owners and accounting firms have the tools to stay compliant and run their businesses better. Our Series A round, backed by 9900 Capital, Raed Ventures, and Wamda Capital, puts us one step closer to simplifying accounting in MENA. As one of the fastest-growing accounting SaaS platforms in the Middle East, we are excited to announce our hiring plans to grow our existing presence in KSA and the UAE. This will allow us to support job creation and the digitisation of the UAE and the Kingdom in line with Vision 2030.”
Wafeq’s cutting-edge and user-friendly software is quickly emerging as the preferred accounting platform in the region, with over 2 million invoices totaling $400 million issued each month, 90% of which come from Saudi Arabia. After this funding round, Wafeq plans to increase its hiring and product development efforts even more. The company will aim to expand quickly, with offices in the United Arab Emirates and Saudi Arabia.
Faisal Alhajj, Head of MENA at 9900 Capital, commented: “This is a uniquely transformative time to be investing in the GCC and in Saudi Arabia. A new generation of innovative businesses is requiring localised solutions to meet their financial planning and accounting needs. KSA now boasts over 1.5 million SMEs—more than double the number just two years ago—that are going to play a vital role in driving the region’s economic development. The government’s digitisation efforts under Vision 2030 are also fostering more robust business practices, and Wafeq’s hyper-localised platform is transforming SME accounting, empowering them to manage their finances in a simple and effective manner. With a deep understanding of the region and a best-in-class product, Wafeq is well-positioned to support SMEs as they unlock this significant growth wave in MENA.”
Wafeq will also make additional investments in product development that is compliance-focused as new tax laws are implemented throughout the United Arab Emirates and Saudi Arabia. Due to major regulatory changes, such as the implementation of corporate tax in the United Arab Emirates, the introduction of value-added tax (VAT), and the expected introduction of mandatory e-invoicing in the country, C-suite executives must make sure that country-specific regulations are followed. In addition to providing business owners with a single dashboard view of their finances across all of their branches, Wafeq has simplified accounting to guarantee compliance with local regulations.
Gary Turner, formerly CEO of Xero’s operations in EMEA, added: “Having built and scaled financial software previously, I’m excited to back Wafeq, who is at the forefront of a significant shift in accounting practices in the GCC. I’m eager to support their journey as they empower businesses with modern, compliant, and user-friendly accounting solutions.”
