Wafeq strengthens presence in GCC and expands to Egypt with new funding
Wafeq raises $3 million seed round to fuel its entry into Egypt, while doubling down on its presence in Saudi Arabia and the UAE. The Dubai headquartered accounting platform’s seed round was led by Raed Ventures and saw participation from Wamda Capital. With its recent funding, Wafeq will continue to innovate and build new product functionalities, while also focusing on customer acquisition and hiring strategically across technical and non-technical roles
Built for the unmet finance and accounting needs of small and medium businesses in the Middle East, Wafeq creates over 630,000 invoices every month, with total monthly invoiced amounts exceeding US$117 million.
In Egypt, Saudi Arabia, and the UAE, SMEs comprise over 98 percent, 90 percent and 94 percent respectively of all companies registered. With most regional accounting still done manually or through legacy software or via global solutions not compatible with country-specific requirements, Wafeq was founded to help SMEs run a better business by solving their finance and accounting challenges. Launched in 2019, the company initially focused on startups and then quickly expanded to SMEs in a diverse range of industries, including contracting, food and beverage, ecommerce, retail, among others.
Nadim Alameddine, CEO & Founder, Wafeq, said, "Thriving small and medium businesses continue to power the engines of our economy. However as they grow, they need to comply with current and new accounting regulations in this dynamic ecosystem. With Wafeq, we are simplifying and reimagining accounting compliance for business owners and accountants. We are excited about our entry into Egypt while growing our presence in Saudi Arabia and the UAE.”
Wafeq’s technology helps businesses run better, by staying compliant with existing and new laws without losing focus on their core operations. The company’s platform streamlines the entire accounting process for its clients, from building records to tracking sales and invoicing, to automating bank transactions and generating reports.
With the digitization of accounting practices in Saudi Arabia and Egypt and the introduction of corporate tax in the UAE, the three largest economies in the region are undergoing a significant shift in financial reporting. Wafeq meets every requirement of Saudi Arabia’s Zakat, Tax and Customs Authority (ZATCA), the UAE's Federal Tax Authority, and soon the Egyptian Tax Authority.
Wafeq also offers a standalone e-invoicing API enabling businesses to stay compliant with e-invoicing regulations while maintaining their existing accounting software. This solution will allow startups and large businesses who require a reliable third party to manage the complexities of e-invoicing, which legacy solutions cannot meet.