Saudi Arabia-based SME financing platform erad has raised $22 million in a Series A funding round, led by Middle East Venture Partners (MEVP), as the company looks to expand its financing products and deepen its presence across the GCC.
The round saw participation from new investors 500 Global, Saudi Venture Capital Company (SVC), S60 Ventures, ANB Capital, Conjunction Capital, and Araya Ventures, alongside existing backers Khwarizmi Ventures, Nuwa Capital, Aljazira Capital, Oraseya Capital, and Joa Capital.
Founded in 2022 by Salem Abu-Hammour, Faris Yaghmour, Abdulmalik Almeheini, and Youssef Said, erad provides Shariah-compliant working capital solutions to SMEs in Saudi Arabia and the UAE.
The fintech uses business and financial data to assess creditworthiness and provide businesses with financing of up to SAR 10 million ($2.7 million), with approvals taking around 48 hours on average.
Since its launch, erad says it has provided more than SAR 500 million ($133 million) in financing to SMEs and received over SAR 4 billion ($1.07 billion) in financing requests. The company also reported eightfold year-on-year growth in Saudi Arabia.
Its financing solutions are used by businesses to fund inventory purchases, fleet expansion, new locations, larger contracts, and other working capital requirements.
Following the Series A, erad plans to expand further into capital-intensive industries including logistics, manufacturing, medical equipment, and wholesale distribution, while developing financing products tailored to these sectors.
The company also plans to grow its technology and commercial teams as it continues its regional expansion.
The latest investment follows erad’s $33 million debt financing round led by Stride Ventures in September 2025, as well as a $125 million financing facility from Jefferies and Channel Capital announced later that year.
The new Series A strengthens erad’s position as it seeks to address the significant SME financing gap across Saudi Arabia and the wider GCC through technology-driven alternative financing solutions.
