Mala, a Saudi-based B2B platform, has successfully closed a $7 million (26.25 million Saudi Riyals) pre-seed funding round.

The investment was led by VentureSouq, with pan-regional investment firm Shorooq Partners, as well as M Capital, BECO Capital, Access Bridge Ventures, Waad Investment, Palm Ventures, and Silicon Valley-based fund D Global Ventures (“DGV”).

Founded in 2024 by seasoned entrepreneur Musaab Hakami, Mala is revolutionising the B2B landscape through its unique “Procure-Now, Pay-Later” (PNPL) solution. Designed specifically for the region’s SMEs, the platform offers buyers flexible credit terms while ensuring suppliers receive immediate cash payments. By leveraging state-of-the-art technology, Mala provides a seamless procurement experience that aligns with the evolving needs of the business community.

Musaab Hakami, Founder and CEO of Mala, remarked:

“Suppliers in Saudi Arabia often struggle to extend adequate credit to buyers, as the traditional system relies more on established relationships than comprehensive credit risk evaluations. Mala harnesses data-driven insights to reshape this dynamic, enabling suppliers to be paid upfront while offering buyers flexible payment options tailored to their needs.”

The platform’s proprietary technology captures and analyses a wide range of data, including financial metrics, legal standing, and market reputation, to deliver precise credit risk assessments. This allows buyers to procure goods on credit while suppliers benefit from immediate liquidity, fostering a healthier and more dynamic B2B ecosystem.

The enthusiasm surrounding Mala is already palpable, with a pre-launch pipeline exceeding $100 million in anticipated transaction value. The platform is officially set to launch in Saudi Arabia in Q4 2024.

Featured image credit: Musaab Hakami, Founder and CEO of Mala