Noha Gad

In an era where technological disruption accelerates at remarkable speeds, businesses worldwide are at a crossroads: adapt or fail. Artificial intelligence (AI) emerged as a transformative force reshaping the future of industries, economies, and daily operations.

AI-first business models redefine the way companies operate, compete, and scale by embedding AI at the core of their DNA rather than as a helping tool. These models treat AI as the foundational engine driving innovation, decision-making, and customer value in key sectors such as fintech and startups. Traditional businesses often integrate AI into outdated processes, yielding marginal gains, while AI-first pioneers redesign everything around intelligent systems for exponential advantages. This shift enables hyper-personalization, predictive analytics, and autonomous operations that thrive on data abundance.

How do AI-first business models work?

AI-first business models embed AI as the core engine for operations, decision-making, and growth, enabling radical automation, hyper-personalization, real-time insights, and scalable efficiency through autonomous agents and data-driven feedback loops, fundamentally redesigning organizational structures and workflows around intelligent systems rather than just adding AI as a feature. 

Unlike traditional AI-enhanced approaches, these models reimagine processes from the ground up, prioritizing data flows, automation, and machine learning as core infrastructure to ensure seamless scalability and adaptability in fast-evolving markets. 

Compared to AI-augmented models, AI-first models make intelligence proactive and pervasive, influencing every layer from product development to customer engagement. These approaches treat data as the primary asset for real-time analytics and predictive capabilities, fostering continuous learning loops without heavy human intervention.

Main features 

AI-first business models are defined by characteristics that prioritize intelligence as the central pillar, enabling unprecedented efficiency, adaptability, and value creation across operations. Key features include:

• Automation. AI handles end-to-end workflows autonomously, from transaction processing to compliance checks, reducing human involvement in major processes. For instance, in wealth management, AI-first platforms dynamically rebalance portfolios based on real-time market data and user life events.
• Data-based decisions. Real-time analytics from vast datasets power predictive insights, replacing intuition with probability-based forecasting for agile market responses.
• Hyper-personalization. AI-first models can help companies and startups provide tailored experiences by analyzing individual behaviors, preferences, and contexts to anticipate needs proactively. For example, banking applications deploy conversational AI agents to answer queries and execute actions, such as freezing cards or updating addresses via biometrics, enhancing user trust and retention.
• Scalable infrastructure: Cloud-native AI supports rapid growth and continuous model refinement.

How AI-first models could support startups’ businesses

Along with enhancing decision-making processes and providing hyper-personalized products, AI-first models help startups enhance operational efficiency and reduce costs by automating repetitive tasks, such as customer support via chatbots or inventory optimization. AI-first startups command investor attention due to their proven scalability, data moats, and rapid revenue trajectories. This advantage arises from AI's ability to demonstrate measurable revenue on investment (ROI) quickly, such as predictive models forecasting user acquisition costs.

For product innovation, accelerated prototyping via AI tools eliminates time-to-market from months to weeks and allows startups to test minimum viable products (MVPs) with real user data. AI-first models can also contribute to talent and team optimization since AI handles hiring screening, skill matching, and performance analytics.

AI-first startups can improve their risk mitigation strategies by utilizing AI to forecast market risks, regulatory hurdles, or supply disruptions early.

In summary, the rise of AI-first business models represents a fundamental architectural shift, not a mere technological upgrade. It transforms AI from a tool that supports business into the foundational engine that defines it. For startups and established companies alike, this approach unlocks exponential advantages through radical automation, hyper-personalization, and predictive, data-driven decision-making. 

Noha Gad

Saudi Arabia faces one of the most severe water scarcity challenges globally due to its extremely arid climate, limited freshwater resources, and a rapidly growing population that is projected to surpass 47 million by 2025, according to figures by the World Health Organization (WHO). According to recent figures by the General Authority for Statistics (GASTAT), the water sector in the Kingdom witnessed significant shifts in 2023, with a 31% rise in desalinated seawater production, now comprising 50% of the Kingdom’s distributed water supply.

With groundwater resources depleting and the per capita household water consumption declining from 112.8 liters per day in 2022 to 102.1 liters in 2023, the Kingdom’s investments in desalination and reuse technologies underscore its commitment to long-term water security. 

These conditions have positioned water security and sustainable agriculture as critical priorities aligned with Saudi Vision 2030's sustainability goals. Thus, nanotechnology startups emerged as pivotal players in addressing water and agricultural challenges in Saudi Arabia. They leverage advanced nanomaterials and nanoscale innovations to transform water treatment, wastewater recycling, desalination efficiency, and precision agriculture techniques. 

By offering promising solutions to optimize water use, improve crop yields, and reduce environmental impact, these startups help Saudi Arabia move toward a water-secure and food-secure future amid harsh natural conditions and growing demand. 

Overall, the nanotechnology market in Saudi Arabia is projected to hit $1.1 billion by 2033, showing a compound annual growth rate (CAGR) of 27.30% between 2025 and 2033, according to recent analytics by the IMARC Group.

Nanotechnology in water management

Nanotechnology companies and startups in Saudi Arabia develop cutting-edge nano-enabled filtration and purification technologies that significantly enhance efficiency and sustainability. Such technologies employ nanomaterials and nanostructured membranes designed at the molecular level to capture contaminants more effectively than conventional systems.

The nano-enabled systems minimize energy consumption, up to 80% less compared to traditional treatment plants, and drastically reduce operational footprints by 90%. They also eliminate odors and chemical residues, making treated water safe for reuse in agriculture, industry, and municipal applications. 

For instance, the Ras Al-Khair Power and Desalination Plant stands as the world’s largest hybrid desalination facility, producing both electricity and desalinated water. By integrating nanotechnology in its desalination process, the plant became a model for sustainable water management. Advances in graphene oxide-based nanomembranes are expected to increase the plant's efficiency, reducing energy consumption while improving the purity of the desalinated water.

Additionally, the Saudi Water Authority recently registered a patent for increasing magnesium levels in drinking water using nanotechnology, a pioneering step that strengthens innovation leadership and promotes sustainability. This achievement is expected to enhance the circular economy, promote resource sustainability, and reduce costs. 

Germany’s GI Aqua Tech is one of the leading providers of innovative wastewater treatment solutions in Saudi Arabia. It operates on an innovative pay-per-cubic-meter business model through its subsidiary GI Water as a Service (GI WaaS), enabling accessible and cost-efficient on-site treatment solutions without the need for costly infrastructure. This model supports the circular economy and sustainability goals under Saudi Vision 2030 by maximizing water resource efficiency and combating desertification. Getting its patented G-Nano technology certified by the Saudi authorities, GI Aqua Tech became a pioneer in sustainable wastewater management. This technology reduces energy consumption by 80%, cuts operational footprint by 90%, and eliminates odors, making it highly efficient and eco-friendly.

Another key player is Separation Membranes Innovation (SMI), a Saudi startup specializing in developing and manufacturing high-quality water treatment membranes locally. It utilizes the latest advancements in materials nano-science for superior membrane performance. 

Founded by Saudi researchers and entrepreneurs with deep knowledge of water treatment technologies, SMI provides innovative, high-quality, locally manufactured water treatment membranes and pioneering solutions to address water scarcity challenges across the Middle East and beyond, while establishing Saudi Arabia as a hub for water treatment innovation.

By incorporating real-time monitoring and automation, these companies enable scalable plug-and-play solutions that can be tailored to different sectors, from oil and gas to urban wastewater.

Desert Farming

Recent reports by GASTAT revealed that agriculture remained the largest consumer of water, using 12,298 million cubic meters. However, non-renewable groundwater consumption by the agricultural sector dropped by 7% to 9,356 million cubic meters, compared to 10,044 million cubic meters in 2022. 

Saudi nanotechnology companies and startups utilize precision agriculture tools and smart solutions to optimize resource use and improve crop productivity. These companies embedded nano sensors in the soil and plants, enabling real-time monitoring of soil nutrients, moisture levels, and plant health with unprecedented accuracy. The sensors act as an intelligent nervous system for farms, allowing precise, data-driven irrigation and fertilization that reduces water waste and enhances crop yields in the arid Saudi environment. Other innovations, such as nano-enabled fertilizers and pesticides, were designed to release nutrients slowly and target crops more effectively, minimizing chemical runoff and environmental impact. 

For desert farming, some startups integrate nanotechnology with IoT and renewable energy, supporting controlled environments like solar-powered greenhouses that cultivate salt-tolerant, water-efficient crops compatible with Saudi Arabia’s challenging soil and climate. Key players in this field include iyris, Saudi Desert Control, Arable, Saudi Arabian Hydroponic Company (Zarei), and GreenMast. Research institutions like King Abdullah University of Science and Technology (KAUST) also contribute to achieving sustainable agriculture and food security by developing nanotech solutions and improving plant growth and resilience adapted to desert conditions.

The role of nanotechnology startups in promoting sustainability and economic growth

By focusing on nano-enabled water treatment and agriculture technologies, these startups help reduce water consumption and pollution, directly supporting Saudi Vision 2030’s environmental and sustainability goals. 

In water treatment, nano-enabled technologies substantially reduce chemical usage, energy consumption, and waste generation. For instance, nano metal oxides act as powerful catalysts and adsorbents that degrade pollutants efficiently in wastewater, enabling cleaner water recycling with minimal environmental impact. Meanwhile, advanced nano-membranes extend membrane lifespans and performance in seawater desalination plants, curbing energy-intensive operations and lowering carbon emissions.

In agriculture, nano-enabled technologies increase overall agricultural productivity, support food security, and reduce import dependence, which benefits the economy.

Economic impacts arise from building a high-tech ecosystem where startups, research institutions, and government initiatives join hands to develop and commercialize nanotech solutions, ultimately accelerating job creation, enhancing local expertise, and boosting exports of advanced materials and sustainable technologies.

Nanotechnology in Saudi agriculture and water sectors faces several challenges despite its promising potential. Technologically, the development and deployment of nanosensors, nano-fertilizers, and nano-enabled water treatment solutions require deep interdisciplinary collaboration across synthetic biology, materials science, agronomy, and data engineering. On the side, fragmented regulations governing nanomaterial use and safety slow down the approval and scale-up of innovative solutions.

Finally, the future for nanotechnology startups in Saudi Arabia’s water and agriculture sectors is promising, although challenges remain. With continuous developments and supportive ecosystem growth, nanotechnology is expected to play a transformative role in securing water resources, enhancing agricultural productivity, and fostering sustainable economic diversification in line with Vision 2030.

Noha Gad

Starting a business can be the most entertaining experience entrepreneurs ever undertake. The ability to be the master of their own destiny has a huge draw; however, they should be aware that the odds are stacked against them.

Recent statistics by Get Indemnity showed that nearly 60% of startups fail within five years, and 20% will close within just 12 months. There is a wide range of reasons why startups fail; however, cash flow is commonly identified as the largest cause of concern for the majority of SMEs. Other reasons include the lack of market fit, operational inefficiencies, legal complications, and cybersecurity threats.

In light of these challenges, failure insurance represents a valuable tool for startups to mitigate the financial and operational impacts of risk events. It encompasses various policies designed to transfer risk away from the startup to an insurer, offering crucial protection against costly setbacks.

Incorporating failure insurance into a startup’s risk management strategy is more than just a safety net; it is a vital component of building investor confidence and long-term resilience. This protection not only safeguards the startup’s resources but also helps maintain business continuity in times of crisis, enabling startups to focus on growth rather than the specter of catastrophic loss.

Why startups need failure insurance?

Failure insurance helps startups navigate the uncertainties inherent in early-stage ventures, empowering founders to pursue innovation with a buffer against unpredictable failures.

Events such as fires, theft, lawsuits, or cyberattacks can lead to severe financial losses that most startups cannot afford to cover out of pocket. Failure insurance transfers these risks to an insurer, providing a vital safety net that can help startups recover and continue operating despite setbacks. 

Failure insurance could also help startups maintain business continuity in the face of disruptions. Business interruption coverage, which is often part of failure insurance packages, supports startups by compensating for lost income during periods when normal operations are halted. 

Additionally, having failure insurance in place signals professionalism and prudence to stakeholders, making startups appear more credible and trustworthy. Insurance coverage, such as general liability, professional liability, and directors and officers (D&O) insurance, reaffirms that the startup is protected against a variety of legal and operational risks. 

Startups face several risks that threaten their survival and success, notably:

• Lack of product-market fit: Most startups fail when the product or service does not meet market needs or attract customers.
• Cash flow problems: Running out of cash or insufficient financing to cover operational costs is a major risk.
• Team-related issues: Poor team dynamics, lack of skills, conflicts, or inappropriate team composition.
• Lack of clear business model or plan: No structured revenue model or strategic planning.
• Operational inefficiencies: Management failures, poor decisions, and organizational issues.
• Cybersecurity and tech risks: Data breaches, outdated technology, or system failures.

Choosing the right insurance

Selecting the right failure insurance involves a strategic and dynamic approach tailored to each startup’s unique circumstances. Founders can build a comprehensive insurance strategy that protects their startups and supports sustainable growth by following these steps:

• Conducting a comprehensive risk assessment.
• Understanding legal and contractual requirements.
• Evaluating coverage types and policy details.
• Considering the startup stage and growth plans.
• Consulting experienced insurance advisors.
• Updating insurance regularly in alignment with business changes.

Finally, failure insurance is an essential component of a comprehensive risk management strategy for startups as it helps protect founders’ investments, preserve business continuity, and mitigate the potentially devastating impacts of unforeseen events. Securing appropriate failure insurance allows startups to operate with greater confidence and resilience in today’s competitive and uncertain market. Thus, founders should view failure insurance as an indispensable part of their business toolkit to safeguard their vision and hard work.

Noha Gad

The retail sector in Saudi Arabia is undergoing robust growth, driven by a digitally savvy young population, increasing consumer confidence, and shifting spending habits. According to a report published by the IMARC Group, the size of the e-commerce market in Saudi Arabia is projected to grow to $708.7 billion in 2033, showing a compound annual growth rate (CAGR) of 12.8% from 2025 to 2033. Additionally, experts anticipate that 75% of retail spending will come from Saudi youth by 2035. They also expected the Saudi e-commerce sector to grow significantly, with one in four retail transactions happening online.

The adoption of retail technology (retail tech) stands at the heart of this revolution. Saudi retailers rapidly embrace artificial intelligence (AI) for personalized marketing and demand forecasting, Internet of Things (IoT) solutions for smart inventory management, biometric authentication, mobile wallets, and other seamless payment options.

The retail tech market in Saudi Arabia is expected to achieve revenue of $7.2 billion by 2033, with a CAGR of 32.8% from 2025 to 2033, according to recent figures by the Grand View Horizon.

Digital transformation in the Saudi retail sector

Saudi Arabia is one of the most connected markets in the region, which fuels widespread adoption of digital retail technologies, driven by government initiative under Vision 2030 and evolving consumer expectations. Emerging technologies play a crucial role in revolutionizing the retail industry in Saudi Arabia. Most of the retail tech companies in Saudi Arabia harness AI for predictive analytics, personalized marketing, automated customer service through chatbots, and demand forecasting, ultimately enhancing operational efficiency and creating tailored shopping experiences. Also, IoT technologies are becoming integral, with smart shelves, digital signage, and interactive displays improving real-time inventory management and product visibility. 

Software-as-a-service (SaaS) solutions could support digital sales growth by enabling small and medium enterprises (SMEs) to digitize their operations, manage logistics, and accept online payments. Additionally, the rollout of 5G networks significantly enabled seamless integration of online and offline retail experiences, supporting omnichannel strategies that blend physical and digital interactions for consumers.

Together, these developments are transforming the retail industry in Saudi Arabia into a digitally empowered, consumer-centric ecosystem. 

The rise of B2B marketplaces

Business-to-Business (B2B) marketplaces in Saudi Arabia are rapidly emerging as vital platforms that transform traditional wholesale and procurement ecosystems. This transformation was driven by several factors, notably the integration of credit-scoring and invoice financing modules, the adoption of compliance tools, and the high penetration of mobile wallets.

The Saudi market encompasses key B2B marketplaces, such as Sary, one of the largest online B2B marketplaces for wholesale purchases; Ordo, a pioneering B2B platform focusing on the FMCG market; Lawazem, a one-stop shop for businesses to procure products directly from a network of suppliers; Farmi, a B2B online platform that connects Saudi farmers and SMEs to source and sell local farm products; Retailo, the leading B2B digital distribution company; and BRKZ, the pioneering B2B marketplace for building materials.

The ongoing rise of B2B marketplaces plays a pivotal role in transforming wholesale trade in the Kingdom, fostering increased efficiency, access to broader supplier networks, and enabling a more modern, digitally connected retail supply chain ecosystem.

Successful B2B marketplaces share several features that drive procurement efficiency, enhance buyer-supplier interactions, and support business growth. This includes:

• Leveraging AI and cloud-based technologies to automate sourcing, ordering, invoicing, and fulfillment processes, thereby reducing manual errors and improving order accuracy.
• Integrating with ERP and inventory management systems to enable real-time product availability, dynamic pricing, and personalized catalogues tailored to meet buyers’ needs.
• Embedding credit scoring algorithms to assess buyer creditworthiness instantly.
• Adhering to Saudi data protection and commercial regulations to secure document vaults and digital contract management features.
• Adopting mobile wallets and biometric authentication to enhance payment security and convenience. 

The rise of B2B marketplaces is pivotal to reducing supply chain fragmentation and procurement complexities in the Kingdom, as they streamline fragmented traditional supply chain networks by centralizing their interactions and automating procurement processes.

By enhancing transparency through verified supplier networks, B2B marketplaces mitigate risks associated with dealing with unknown vendors, ensuring product quality and contractual adherence, in addition to boosting confidence among buyers and sellers.

Additionally, B2B platforms incorporate ESG standards by promoting suppliers who follow sustainable practices and prioritize eco-friendly products; meanwhile, digital tools enable assessment of carbon footprints and resource efficiencies within supply chains.

Despite all these benefits, the B2B retail sector in Saudi Arabia still faces fragmented supplier bases characterized by inconsistent service levels and regional disparities. Compliance with evolving regulatory standards, such as data privacy laws and commercial auditing requirements, adds complexity for both platforms and users.

Ongoing investments are essential to sustain growth and scalability. Investments are crucial to upgrading digital infrastructure, including cloud computing, AI, and cybersecurity, ultimately enhancing platform capabilities to support advanced analytics and omnichannel integration. This will improve operational efficiency, reduce downtime, and increase adaptability to future market disruptions.

The future of B2B marketplaces in Saudi Arabia is promising, propelled by accelerating e-commerce growth and supportive government initiatives. This transformation will be triggered by key trends: the continued expansion of B2B marketplaces that convert fragmented wholesale supply chains into streamlined, automated ecosystems; the increasing importance of embedded financial services; enhanced digital payment integration; supply chain and logistics innovations; and the integration of ESG standards and sustainable procurement practices.

Eventually, the Saudi retail sector is at the forefront of a transformative journey fueled by rapid digital adoption and innovative B2B marketplaces. Sophisticated retail tech solutions are reshaping the traditional retail landscape into a dynamic, digitally native ecosystem. By addressing long-standing challenges such as supply chain fragmentation, compliance, and payment inefficiencies, digital transformation and modern B2B platforms are enhancing transparency, trust, and operational agility. 

Kholoud Hussein

As Saudi Arabia’s fintech sector accelerates, the region’s funding scene is changing fast. Founders are increasingly turning to growth debt—minimally dilutive capital that fuels expansion while preserving ownership. 

In this interview, Armineh Baghoomian, Managing Director, Head of EMEA, and Co-Head of Global Fintech at Partners for Growth (PFG), shares her perspective on how growth debt is transforming the GCC’s startup landscape, why Saudi Arabia is emerging as a key market, and how smarter financing models are empowering founders to scale with confidence.

In today’s uncertain macroeconomic and political climate, why are we seeing more GCC founders and investors – particularly in capital-intensive sectors like fintech – turning to growth debt as an alternative to equity? How do you think this trend will reshape the region’s funding landscape?

Founders and investors in the GCC are taking a more strategic view of capital structure. While venture equity continues to mature, there’s growing recognition that growth debt plays a complementary role – especially in capital-intensive sectors like fintech, where businesses need to scale quickly and efficiently.

There is growing recognition that a diversified funding ecosystem – where equity and debt complement each other – creates economic resilience and safeguards the future of innovation, aligning neatly with national diversification agendas. Growth debt plays a critical role in this mix.

Across the region, founders and investors increasingly appreciate that debt, when paired with disciplined governance and strong unit economics, can accelerate a company’s growth journey. Growth debt can be used to finance working capital, customer acquisition, or infrastructure build-out with minimum equity dilution – with benefits for all parties in the deal.

Over time, the rise of growth debt will reshape the regional funding landscape by broadening the capital toolkit available to founders. We’ll see more blended capital stacks, more nuanced conversations around risk allocation, and a more mature ecosystem overall. In many ways, the GCC is well positioned to leapfrog traditional financing trajectories, moving quickly toward a model where equity and growth debt sit side-by-side to fuel innovation and growth.

Saudi Arabia is quickly positioning itself as a leading fintech hub in the Middle East. From your perspective, what opportunities and challenges stand out for credit partners like PFG in supporting transformative companies in the Kingdom?

Saudi Arabia’s fintech evolution is among the most dynamic globally. With the ambitious Vision 2030 strategy creating the regulatory framework for digital transformation, the Kingdom is laying the groundwork for a truly world-class fintech ecosystem. For credit partners, this moment presents compelling opportunities.

In Saudi Arabia, we’re seeing a powerful convergence between a young, digitally native population, a government that is not only supportive but actively accelerating financial innovation, and a resultant flow of capital into sectors that are capital-intensive and highly scalable. This combination creates fertile ground for transformative fintech businesses – whether operating in payments, digital lending, or infrastructure – that can grow rapidly and have meaningful regional impact. For PFG, the ability to deploy growth capital into these businesses means we can help founders scale confidently without compromising long-term ownership or vision.

Fintech is inherently a heavily regulated industry, and in a market that is evolving as quickly as Saudi Arabia’s, these frameworks are still maturing. That means lenders must be thoughtful in underwriting risk, ensuring that business models are both sustainable and aligned with long-term policy goals. Additionally, because many Saudi fintechs are scaling for the first time in a market of this magnitude, there is a heightened need for governance, financial discipline, and strategic capital structuring.

For PFG, the opportunity lies in being more than just a capital provider. Rather, we are a long-term partner to visionary founders – helping them balance growth with sustainability and navigate the complexities of a rapidly changing market.

Growth debt often sparks debate about risk, especially when applied to ambitious startups seeking rapid scale. How does PFG approach balancing its support for founders’ growth ambitions with the need to maintain financial resilience and risk management across your portfolio?

We see growth debt as a strategic partner to equity. Our role is to structure capital in a way that empowers founders to pursue growth without jeopardizing the resilience of their businesses.

We look closely at companies’ fundamentals – strong unit economics, predictable revenue models, and clear visibility on cash flows. We believe in the founders we invest in and work alongside them to structure flexibility into facilities. This is particularly important in the GCC, where markets are evolving rapidly.

Fundamentally, we think about portfolio resilience in terms of partnership. At PFG, growth debt is not transactional; it is relational. By aligning with management teams who share our commitment to discipline and transparency, we’re able to provide capital that supports expansion while safeguarding the interests of both our portfolio companies and our investors.

In the GCC, this balanced approach is especially powerful: it allows founders to scale with confidence – building businesses that are durable as well as ambitious. As the region’s funding landscape continues to mature, founders will increasingly appreciate that growth debt, when structured responsibly, can be a catalyst for sustainable growth.

Given that you co-lead PFG’s global fintech and asset-backed credit strategy across multiple regions, how does the Middle East compare to Europe and Africa in terms of fintech maturity and appetite for non-dilutive financing?

What stands out most is how quickly the region, especially the GCC, is maturing. The combination of ambitious government agendas, a young, tech-savvy population, and evolving regulatory frameworks is accelerating fintech adoption at a pace we don’t see elsewhere.

At the same time, founders and investors in the region are increasingly sophisticated in their approach to capital. There is a healthy appetite for non-dilutive financing to work alongside equity in powering innovative, tech-driven companies.

Founders are eager to embrace global best practices, but they are also charting their own course – building businesses with high growth potential and strong institutional support, making it easier to scale. For PFG, this all means the GCC represents both a fast-growing and increasingly sophisticated market.

We're at an inflection point: the GCC is rapidly moving toward the maturity of Europe, but with the entrepreneurial energy and growth trajectory that, in many ways, resembles Africa’s leapfrogging story. That combination makes it one of the most exciting geographies for us to support with flexible, non-dilutive capital.

Without revealing sensitive details, could you share an example or two where PFG’s structured credit solutions enabled a company to scale effectively while preserving equity? What lessons from those experiences might resonate most with GCC founders?

Perhaps the most well-known example is Tabby, the Middle East’s leading provider of Buy Now, Pay Later (BNPL) solutions. We were confident from the outset that Tabby would become the regional powerhouse it is today. They had the vision, they had the ambition – but to achieve scale, Tabby needed the right kind of capital. That’s where PFG came in.

Specifically, Tabby needed a bespoke financing structure that would allow the company to scale its business in a complex market. By leveraging Tabby’s high-quality receivables, PFG enabled the company to accelerate its merchant network expansion and introduce new product offerings.

The impact was clear. Tabby experienced 900% quarter-over-quarter growth in FY2022 and raised over US$70 million in funding, boosting its valuation by a meaningful multiple and cementing its status as one of the GCC’s most valuable startups.

For GCC founders, the most relevant lesson from our deals in the region is the value of balance: scaling aggressively while preserving control. Similarly, it reinforces the importance of matching the right kind of capital to the right stage of growth, rather than defaulting to equity. In a region where many businesses are founder-led and highly conscious of dilution, this approach resonates strongly. It’s all about building sustainably, retaining control, and maximizing long-term value creation.

Looking ahead, as Saudi Arabia and the wider GCC pursue diversification under Vision 2030 and other regional strategies, how do you see the role of non-dilutive financing evolving? And what role do you expect PFG to play in shaping that future?

As GCC economies continue to diversify, entire sectors – from fintech and healthtech to logistics and proptech – are scaling at a pace we haven’t seen before. With that scale comes the need for more sophisticated capital solutions. Private debt will play an increasingly central role, not as a substitute for equity but as a strategic complement to it.

What’s unique about the GCC is that this is all happening in real time. Governments are laying down the infrastructure, investors are increasingly sophisticated, and founders are embracing global best practices. Growth debt, as a form of non-dilutive financing, enhances this trajectory by offering flexibility, disciplined growth, and helping to create businesses built for the long-term, not just the next funding round.

PFG’s role is twofold. First, to bring our global experience – having supported high-growth companies across other global regions for over 20 years – and adapt that expertise to the GCC’s unique dynamics. Second, to act as true partners to founders: structuring credit that supports ambition while instilling the financial resilience that will define the region’s most successful companies.

We will continue to support ambitious founders and help to shape a more mature, balanced funding ecosystem that underpins Vision 2030 and wider regional economic diversification goals.

Manish Pant, Executive Vice President of International Operations at Schneider Electric

Manish Pant, Executive Vice President of International Operations at Schneider Electric, affirmed in exclusive statements to Sharikat Mubasher that the company’s global presence spans more than 100 countries and includes a workforce of approximately 150,000 employees. He stated that Schneider Electric’s mission is to create a positive impact by empowering individuals and organizations to achieve the optimum use of energy and resources, linking economic growth with sustainability.

Pant revealed that the company’s global revenues reached €19.3 billion during the first half of this year, adding that Schneider Electric allocates around 5% of its annual revenues to research and development to strengthen its innovation capabilities and ensure the sustainability of its solutions.

He emphasized that the Saudi market has been one of the company’s key strategic markets for over 44 years, noting that the Kingdom is taking confident strides toward a more sustainable future through resource diversification, accelerated digital transformation, and adoption of cutting-edge technologies. Pant highlighted that Saudi Arabia aims to generate 50% of its electricity needs from renewable sources by 2030 as part of the Saudi Green Initiative, alongside major investments in carbon emission reduction, energy efficiency, afforestation, and smart cities — all of which are reshaping the Kingdom’s energy landscape to become more flexible and efficient.

Pant remarked that Schneider Electric is proud to be a strategic partner of the Kingdom on this journey, providing advanced digital services, AI-powered data centers, smart building systems, and climate-friendly industrial solutions that reduce emissions and enhance resource efficiency, enabling industries, cities, and households to achieve higher levels of sustainability.

He also revealed ambitious expansion plans for the company in Saudi Arabia, which currently serves more than 8,000 clients through a range of assets and industrial facilities. These include the Dammam factory spanning 15,000 square meters, a preparation facility in Dammam, the Riyadh factory covering 13,450 square meters, and another preparation facility in Riyadh. The company will also open a new factory at King Salman Energy Park (SPARK), covering 20,000 square meters, scheduled for inauguration in the coming period to serve both Saudi Arabia and the wider Gulf region.

Pant noted that the new factory has obtained the LEED (Leadership in Energy and Environmental Design) certification, achieving a 34% reduction in carbon emissions and energy savings of up to 33%.

He further stated that Schneider Electric operates a 7,000-square-meter distribution center in Riyadh serving more than 200 local partners, as well as a research, development, and innovation center in Dhahran Techno Valley (DTV) in collaboration with Aramco. The company also has four legal entities in the Kingdom, with a localization rate exceeding 40%, and a regional training academy for the Middle East and Africa based in Riyadh.

Pant added that Schneider Electric has invested more than €50 million in its expansion plans in Saudi Arabia over the past five years and currently employs 700 people in the Kingdom. He highlighted that eight new products have recently earned the “Made in Saudi” mark, bringing the total number of locally manufactured products to over 20, with plans to increase production lines to 32 by 2030. The company also aims to export up to 20% of local production to regional markets, reinforcing Saudi Arabia’s position as a central industrial hub.

Regarding the Schneider Electric Innovation Summit, held recently in Riyadh in its second edition, Pant said the event serves as a leading platform to showcase the latest solutions in electric mobility, resilient infrastructure, smart buildings, advanced industries, and water resources management. He noted that hosting the summit again in Riyadh reflects the Kingdom’s leadership in energy transition, digital innovation, and sustainable development.

Pant added that the summit highlights innovation and digitalization as key drivers of Saudi Arabia’s goals for economic diversification, industrial growth, and global competitiveness. He concluded by affirming that technology and innovation are two core pillars of Schneider Electric’s strategy in Saudi Arabia and globally. Integrating AI- and IoT-based digital solutions, he said, enables the Kingdom to build more efficient and sustainable systems across cities, industries, and homes alike. Pant noted that the company’s achievements in Saudi Arabia have strengthened its standing as one of the world’s most globally integrated yet locally rooted companies. Saudi experiences, he added, contribute to developing globally scalable solutions and position the Kingdom as a role model to follow for innovation and sustainability.

Ghada Ismail

For years, the startup scene has been obsessed with unicorns; those rare, billion-dollar companies that symbolize hypergrowth, massive funding rounds, and meteoric success. But as markets mature and the realities of sustainable business sink in, many in the global startup ecosystem are beginning to ask: Do we really need more unicorns, or something entirely different?

Across the Middle East, and particularly in Saudi Arabia, the answer increasingly leans toward a new breed of companies: camels and zebras. These startups may not dazzle with billion-dollar valuations, but they embody traits that could prove far more valuable in the long run: resilience, sustainability, and social purpose.

From Unicorns to Camels and Zebras

The “unicorn” was once the ultimate prize: a company valued at over $1 billion, fueled by venture capital, and celebrated for its speed of growth. But this obsession often came at a cost. Many unicorns prioritized expansion over profitability, and when market conditions shifted, they found themselves struggling to stay afloat.

The global downturn in tech valuations and the funding scene exposed over time how fragile many of these high-growth models were. Meanwhile, startups that operated with leaner models, focused on cash flow, and adapted to uncertainty—the so-called camels—proved more resilient.

The term “camel startup,” first popularized in the Middle East and North Africa, captures a distinctly regional mindset. Just as camels survive harsh desert conditions, these startups are designed to withstand economic volatility. They grow steadily, conserve cash, and adapt intelligently to changing markets.

Zebras, on the other hand, represent a different kind of strength. Coined by a group of women entrepreneurs in Silicon Valley, “zebra startups” pursue profit and purpose simultaneously. They are black and white, symbolizing balance. In emerging economies like Saudi Arabia, this philosophy is resonating strongly, particularly among founders tackling social, environmental, or inclusion-driven challenges.

The Saudi Context: Vision 2030 and the Shift in Startup Mindset

Saudi Arabia’s startup ecosystem is evolving rapidly. Over the past few years, the Kingdom has transformed into one of the MENA region’s fastest-growing entrepreneurship hubs, with total venture funding reaching new highs annually. Yet as the market matures, there’s a visible shift in what founders, investors, and policymakers value.

Under Vision 2030, the Kingdom’s economic diversification plan, sustainability, innovation, and resilience are central pillars. This aligns closely with the camel and zebra mindset. Saudi startups are no longer just chasing valuations; instead, they’re building business models that can endure challenges, create jobs, and contribute to national priorities such as fintech innovation, food security, clean energy, and women’s empowerment.

Venture capital firms, too, are evolving. While early-stage funding remains strong, there’s greater scrutiny over unit economics, profitability, and long-term impact. Investors are asking tougher questions, not only about how fast startups can grow, but how well they can sustain that growth.

Camels in the Desert: Startups That Endure

In Saudi Arabia and the wider Gulf, the camel metaphor feels especially apt. Startups like Jahez, Tamara, and Foodics exemplify the camel mindset. Each grew deliberately, balancing rapid market capture with clear revenue models.

Jahez, for instance, built a profitable food-delivery platform long before its IPO, expanding carefully across the Kingdom instead of burning cash on regional domination. Tamara, one of Saudi’s leading buy-now-pay-later players, achieved remarkable growth but stayed focused on regulatory compliance and operational sustainability—traits that make it more of a camel than a traditional unicorn.

Similarly, Foodics navigated funding rounds and expansion by maintaining profitability as a core discipline. These companies may still reach unicorn valuations, but their success rests on fundamentals rather than hype.

This approach is especially relevant in Saudi Arabia’s macroeconomic environment. While government support and investor interest remain strong, startups that can survive without constant external funding are better positioned for long-term success.

The Rise of Zebras: Purpose Meets Profit

The zebra philosophy—building companies that are both profitable and purposeful—is also taking root in the Kingdom. A growing number of Saudi startups are tackling societal challenges, from financial inclusion to healthcare access, while maintaining sound business models.

Take Nana, which has expanded access to online grocery delivery not just in major cities but in smaller regions, improving supply chain efficiency and consumer convenience. Another example is Labayh. Founded in 2018, Labayh provides mental health and therapy services in Arabic, offering one-on-one therapy sessions, webinars, support groups, and self-assessment tools. It also acquired the UAE meditation app Nafas, adding over 300 audio clips for meditation and stress relief, to expand its wellbeing portfolio. 

These companies demonstrate that profitability and social impact can go hand in hand. They are building trust with customers, generating real economic value, and aligning with national goals such as improving the quality of life and fostering digital innovation.

Why the World Needs More Camels and Zebras

Globally, the call for more sustainable startup models is growing louder. As capital markets tighten, founders can no longer rely solely on fundraising cycles to survive. The camel and zebra frameworks encourage startups to focus on cash discipline, real impact, and steady growth; values that are not only good for business but for economies at large.

In emerging markets like Saudi Arabia, these models carry even more importance. Economies in transformation need startups that can withstand uncertainty, employ locals, and create solutions tailored to regional challenges. Unicorns might bring attention, but camels and zebras bring stability.

Moreover, these models align perfectly with Saudi Arabia’s evolving venture ecosystem. Initiatives by entities such as Monsha’at, SDAIA, RAED Ventures, and STV are increasingly supporting startups that solve real problems rather than chase inflated valuations.

The Investor Perspective: Quality Over Hype

Investors across MENA are beginning to recalibrate their expectations. The new question isn’t “Who will be the next unicorn?” but “Who will survive the next downturn?”

Funds like IMPACT46 and Wa’ed Ventures have emphasized the importance of sustainable scaling and solid governance. International investors entering Saudi Arabia are also adjusting their lenses, preferring startups with clear profitability paths, diversified customer bases, and mission-driven growth.

This shift in mindset could redefine how success is measured in the Saudi startup scene. Valuation alone is no longer enough; longevity, local relevance, and measurable impact are becoming the new metrics of excellence.

A Cultural Shift in Entrepreneurship

The rise of camels and zebras also reflects a deeper cultural transformation among Saudi entrepreneurs. A new generation of founders, many educated abroad but rooted locally, is questioning the “growth at all costs” narrative.

They are more aware of the risks associated with overfunding, more focused on building sustainable ecosystems, and more open to collaboration rather than competition. Many are exploring hybrid funding models—mixing venture capital with grants, government programs, and non-dilutive financing—to maintain control and flexibility.

This mindset aligns with broader societal changes under Vision 2030, which emphasizes entrepreneurship as a driver of economic and social progress, not merely personal wealth.

Toward a More Balanced Future

The world may always celebrate unicorns as they capture imagination and headlines. But in Saudi Arabia’s context, the future likely belongs to the camels and zebras: startups that combine endurance with empathy, profitability with purpose.

As global markets grow more volatile and sustainability becomes a non-negotiable standard, these models will define the next era of entrepreneurship in the Kingdom and beyond.

Saudi Arabia’s journey from an oil-driven economy to a diversified, innovation-powered one will depend not on a few billion-dollar valuations, but on thousands of resilient, responsible, and adaptive startups.

And that’s where the real magic lies, not in chasing mythical creatures, but in nurturing the ones that thrive in the real world.

Noha Gad 

Saudi Arabia’s startup ecosystem is witnessing dynamic growth, moving beyond its traditional focus on oil, energy, and large-scale infrastructure. With a youthful population eager to innovate and a government that supports business startups, the Kingdom has become a fertile environment for emerging businesses in specialized sectors that address local, regional, and global challenges. This expansion reflects a broader shift toward using technology and innovation to build new industries and create jobs.

The focus on specialized innovations is closely connected to the ambitious Saudi Vision 2030, which focuses on sustainability, economic diversification, and building a knowledge-based economy. This national blueprint aims to reduce reliance on oil revenues and prepare for future economic changes by nurturing startups that develop groundbreaking solutions in areas such as agriculture and desert farming, waste management, and urban infrastructure. These niche innovations will contribute directly to the Kingdom’s sustainability goals, promoting resource efficiency, environmental protection, and enhanced urban living conditions. 

In this feature, we will explore three vibrant and strategically important sectors where Saudi startups are gaining traction: desert farming, waste management, and urban mobility.

Desert Farming 

Agriculture in Saudi Arabia faces multiple challenges due to the Kingdom’s arid desert climate characterized by limited water resources, high temperatures, and sandy, nutrient-poor soils. These difficult conditions make food production dependent on imports a persistent issue, driving an urgent need for innovative agricultural technologies that can sustainably increase local food production while conserving scarce water resources. 

Several Saudi companies and startups are pioneering solutions in desert farming using advanced technologies, such as hydroponics, aeroponics, AI-powered irrigation, and soil enhancement, to optimize water usage, improve crop yields, and enable farming in harsh desert environments. 

   Key Players

        *Saudi Desert Control. As a leader in sustainable land transformation, the company uses the Liquid Natural Clay (LNC) technology to transform arid land into fertile soil within just seven hours by combining natural minerals and clays with water. This innovation contributes to improving water retention, boosting plant health and crop yields, and reducing operational costs by 30% for new farmland establishments.

        *iyris (formerly RedSea). This sustainable AgriClimate Tech company targets advancing commercial farming for low to mid-tech farmers in hot climates. Its patented, proprietary technologies reduce water and energy consumption by up to 90%. iyris’ award-winning technology, SecondSky, is deployed in multiple greenhouse coverings and shade nets to minimize the stress and impact of near-infrared heat radiation on plants while allowing the spectrum of light that plants need for photosynthesis. This revolutionary innovation helps deliver more resilient, productive, and profitable crops in regions where climate change and excessive heat limit sustainable, productive growth. Additionally, iyris has developed plant genetics via a novel hybridization process that has the potential to breed resiliency to salinity, heat, and drought across a broad range of crops, ensuring stress-resistant, dependable food production.

       *Arable. This startup specializes in custom hydroponic systems tailored for Saudi Arabia’s desert climate. It uses advanced hydroponic technology to cultivate premium vegetables and herbs that are fresher, tastier, and longer-lasting than imported alternatives, using less water and reducing environmental impact.

       *Saudi Arabian Hydroponic Company (Zarei). Based in Al-Khobar, Zarei specializes in modern techniques of cultivation without soil (hydroponics) and the establishment of agricultural greenhouses using sophisticated modern techniques. Hydroponics relies on water in a closed cycle, saving more than 90% of water consumption compared to traditional agriculture methods.

       *GreenMast. This Riyadh-based agri-business company aims to revolutionize the farming model in the GCC region, leveraging fully-controlled high-tech hydroponics greenhouses. It offers various services to transform the farming sector, including greenhouse management and consultancy.

Waste Management

Saudi Arabia’s Vision 2030 focuses on transforming the Kingdom’s environmental practices, accelerating the circular economy, and setting global benchmarks in recycling and resource recovery. With aspirations to divert 85% of industrial waste from landfills by 2035, this national blueprint targets increasing municipal waste recycling rates through advanced technologies and integrated systems. The Kingdom’s sustainability goals also include accelerating the adoption of waste-to-energy solutions to reduce reliance on landfills and investing in infrastructure, partnerships, and innovations to support the circular economy.

A recent report released by the Mordor Intelligence stated that the waste management market in Saudi Arabia is expected to jump to $37.7 billion by 2030 from $25.8 billion in 2025, with a robust compound annual growth rate (CAGR) of 7.85%. the report also anticipated construction mega-projects, mandatory source segregation beginning in 2025, and carbon-credit eligibility for waste-to-energy facilities to increase the revenue base across collection, recycling, and recovery services after 2027.

Several Saudi companies and startups are driving innovation in the waste recycling sector to meet the Kingdom’s need for advanced and sustainable waste management solutions.

  Key Players

• Edama. As the organic waste recycling KAUST startup, Edama develops innovative organic waste recycling facilities to optimize the recovery and transformation of organic waste into innovative agricultural products.
• The Saudi Investment Recycling Company (SIRC). SIRC was launched by the Public Investment Fund (PIF) to develop, own, operate, and finance various activities across all waste types to establish recycling capacities in the Kingdom and build a circular economy for a sustainable future. It targets meeting the objectives of Vision 2030 and the revised Waste Management National Regulatory Framework through its subsidiary network, which includes:

              *Municipal Solid Waste Recycling Company (Yadoum), which focuses on developing progressive and sustainable solutions in the realm of municipal solid waste.

              *Akam Recycling Company for Environmental Services (Akam), a leading provider of environmental services and waste treatment activities. It plans to invest over SAR 160 million as part of its commitment to creating a sustainable future for the Kingdom.

              *Metal Recycling Company for Environmental Services (ELECTA), which focuses on managing the waste of electrical and electronic equipment, as well as metal scraps. 

              *Oil Management Company (Azyat), a pioneering provider of sustainable lubricant waste management solutions.

              *Medical Waste Treatment Company (Wazeen), a trailblazer in redefining how hazardous medical waste is managed and treated.

              *Global Environmental Management Services (REVIVA), a dedicated execution arm in the realm of industrial hazardous waste treatments.

Additionally, the public-private partnerships (PPPs) unlocked substantial investment toward collection, sorting, and waste-to-energy plants, ensuring scalable and bankable operations aligned with regulatory frameworks. Environmentally, these startups and initiatives significantly contribute to minimizing landfill dependency, greenhouse gas emissions, and pollution.

Urban Mobility Innovations

Saudi Arabia is taking confident steps towards redefining its urban mobility landscape by embracing sustainable practices that align with the Vision 2030 framework, aiming to reduce its carbon footprint, enhance the quality of urban life, and create a more sustainable future for its growing population.

A cornerstone initiative in the Kingdom’s sustainability mobility agenda is the development of electric vehicle (EV) infrastructure through building numerous EV charging stations across major cities to support the adoption of electric cars.

Saudi Arabia invested heavily in projects like the Riyadh Metro and Jeddah Metro to elevate public transportation networks. These projects are expected to reduce air pollution in urban areas.

To further advance sustainable mobility practices, Saudi Arabia adopted smart traffic management systems that utilize AI and big data analytics to optimize traffic flow, reduce congestion, and lower emissions. It also deployed autonomous vehicles to enhance mobility while minimizing environmental impact. These self-driving cars can operate more efficiently than human-driven cars, leading to reduced fuel consumption and lower emissions.

Moreover, the Kingdom integrated solar-powered buses and hybrid vehicles into the public transport fleet not only to decrease the carbon footprint but also to provide a sustainable and cost-effective alternative to traditional fuels.

Finally, niche startups in Saudi Arabia are strategically vital for the Kingdom’s sustainable development and economic transformation. By pioneering innovative solutions in desert farming, waste management, and urban mobility, these startups directly address environmental challenges while supporting diversified economic growth in line with Vision 2030. As government support, venture capital, and regulatory reforms strengthen, the outlook for continued innovation in these sectors is highly promising, reinforcing Saudi Arabia’s position as a regional leader in sustainable entrepreneurship.

Ghada Ismail

In startups, the original idea is rarely the winning one. Markets shift, customer needs evolve, and sometimes the product simply doesn’t click. The difference between failure and breakthrough often comes down to one thing: the ability to pivot.

A pivot isn’t about giving up. It’s about adjusting course to find what truly works. For founders, especially in fast-growing ecosystems like Saudi Arabia, knowing when and how to pivot can turn setbacks into opportunities and keep a startup alive long enough to thrive.

What Is a Pivot?

A pivot is not about tearing everything down and starting from scratch. It’s about keeping the vision intact while changing the route to get there. Think of it as a course correction rather than a restart.

Instagram is a classic example. Before becoming the photo-sharing giant we know today, it was a clunky app called Burbn that let users check into locations. The team noticed that people loved the photo feature more than anything else and decided to pivot around it. The rest is history.

When Should Startups Pivot?

The decision to pivot isn’t easy. Founders often wrestle with sunk costs and pride. But the market doesn’t lie. Common signals that it might be time include:

• No traction despite strong execution: The product works, but users aren’t sticking around.
• Customer behavior doesn’t match expectations: Feedback points to a different problem or need than originally targeted.
• High acquisition costs with low retention: You’re paying heavily to bring people in, but they don’t stay.
• Competitors gaining ground: A rival is growing faster with a different approach, forcing you to reconsider your model.

Listening carefully to customers and tracking metrics honestly will often reveal whether you’re on the wrong track.

Different Types of Pivots

Not all pivots look the same. Some involve small tweaks, others a major shift. A few common ones are:

• Product pivot: Focusing on one feature that resonates and dropping the rest.
• Market pivot: Targeting a new customer segment or geography.
• Revenue model pivot: Changing how you monetize—say, from subscriptions to transaction fees.
• Channel pivot: Finding new ways to reach customers, such as moving from offline distribution to digital-first.

Each requires discipline and clear communication with stakeholders, especially investors and employees.

How to Pivot Without Losing Focus

A pivot can feel like a setback if not framed well. But handled correctly, it can re-energize a startup. A few principles help:

• Protect the vision: Stay clear on the “why,” even if the “how” changes.
• Test before leaping: Run small experiments to validate the new direction before committing fully.
• Be transparent: Keep investors, team members, and early customers informed. Trust is easier to maintain when you bring people along for the ride.
• Maintain morale: Remind your team that adaptability is strength, not weakness.

Wrapping Things Up…

Startups don’t succeed by sticking rigidly to their first idea. They succeed by learning, adapting, and sometimes changing direction altogether. Pivoting isn’t a mark of failure—it’s often the very thing that unlocks growth.

For founders, the key is to treat pivoting not as a last resort but as part of the entrepreneurial journey. Because in the end, the startup that survives is the 

Ghada Ismail

Every founder dreams big. Maybe you want to build the next unicorn, shake up an entire industry, or just prove the doubters wrong. We spend endless hours chasing product-market fit, pitching investors, and running growth experiments. But here’s the uncomfortable truth: none of it matters if your startup can’t survive its first real storm.

And storms will come. That’s where crisis management—an unglamorous but vital skill—quietly decides whether a startup folds or fights through.

The Crisis You Don’t See Coming

Startups rarely die from the challenges we expect. It’s the curveballs that sting. A regulator rolls out new rules that wreck your business model. An investor pulls out right before payroll. Your product crashes just as your first big wave of users arrives. Veteran founders know this. They don’t waste energy pretending crises won’t happen. Instead, they prepare, because preparation beats panic every time.

Why Founders Don’t Talk About It

Let’s be honest: talking about crisis planning doesn’t sound positive. It feels like admitting weakness. Founders prefer to pitch bold visions, not “what if everything breaks?” scenarios. But the thing is, investors and teams don’t expect perfection; they expect adaptability. A founder who says, “Here’s what could go wrong, and here’s how we’ll handle it,” isn’t sowing doubt. They’re building trust.

Building Your Startup’s “Crisis Muscle”

You don’t have to wait for chaos to test you, but you can train for it in the following ways:

1. Scenario mapping. Write down your top “nightmare” risks. For each, note warning signs, who acts first, and what immediate moves you’d make. That’s your crisis textbook.
2. Cash contingencies. Know your minimum runway. Keep an emergency cash reserve that you can fall back on when things go wrong, like a sudden drop in sales, a lawsuit, or a supply chain problem. This safety net gives your startup breathing room to survive a crisis and plan the next move. Founders who survive downturns usually made financial discipline a habit long before.
3. Communication protocols. Don’t wing it when bad news hits. Decide now how you’ll brief your team, investors, and customers. One clear, honest message beats a dozen scattered ones.
4. Be Ready to Pivot. A crisis can reveal weaknesses in your business model. Use it as a chance to adapt, whether that means adjusting your pricing, changing suppliers, or targeting a new customer group.
5. Prepare your employees for the worst. Run “what if” rehearsals with your team and prepare them for different scenarios. What if the platform goes down for 48 hours? What if your biggest client walks? This protocol can save your company later.

Crises Can Spark Breakthroughs

Crises are tough, but they can also open new doors. In Saudi Arabia, startups like HungerStation and Jahez used the disruption of COVID-19 to adapt fast and secure their lead in the market.

The bottom line: a crisis might show you what’s broken, but it can also point you to opportunities you wouldn’t have noticed otherwise.

To Wrap Things Up…

Vision gets people excited to join your journey. Resilience keeps them there when the dream feels shaky. You don’t need to obsess over every disaster scenario, but you do need a framework for how you’ll respond when—not if—the storm comes.

Think of crisis management as founder insurance. Not the glamorous part of the job, but the part that keeps your dream alive. That’s how you build a startup that doesn’t just grow fast, but rather lasts.

Ghada Ismail

When you’re building a startup, it’s easy to get caught up in the exciting stuff: user growth, building your product, closing deals. But behind the scenes, there’s one number quietly counting down your time: burn rate.

Burn rate is simply how fast you’re spending money every month. It tells you how long your cash will last before you need to bring in more, whether from investors or revenue.

Think of your startup like a plane on a runway. The longer the runway (your cash), the more time you have to take off (hit traction or raise your next round). But the faster you burn through cash, the shorter your runway gets. And if you don’t take off in time, you crash.

What Is Burn Rate, Really?

In simple terms, burn rate shows how much money your startup spends every month just to keep running.

There are two versions you should know:

• Gross Burn Rate: This is your total monthly spending on salaries, rent, tools, marketing, etc.
• Net Burn Rate: This is what really matters. It’s how much you’re losing each month after subtracting any revenue.

Example: If your startup spends SAR 400,000 per month and earns SAR 100,000 in revenue, your net burn rate is SAR 300,000. That’s the amount disappearing from your bank account every month.

Why Burn Rate Matters More Than You Think

Your burn rate isn’t just an accounting number; it’s your survival clock.

Let’s say you raised SAR 3 million. If your net burn rate is SAR 300,000 per month, you have 10 months of runway. That’s 10 months to hit a major milestone, raise another round, or start turning a profit.

If you don’t? You run out of cash. And when the money’s gone, your options shrink fast.

That’s why investors ask about your burn rate early in any conversation. It tells them how you manage money and how soon you’ll need more.

How to Calculate Your Runway

The formula is simple:
Runway = Cash in the Bank ÷ Net Burn Rate

Here’s a quick example:

• Cash: SAR 1,200,000
• Net burn: SAR 150,000/month
• Runway: 8 months

Knowing this helps you plan ahead, whether that means starting fundraising early or making some cost cuts to buy more time.

How to Tell If Your Burn Rate Is Too High

Here are a few warning signs:

• You’re hiring a big team before proving product-market fit
• Your marketing spend is high, but customer retention is low
• You’re scaling too soon, before demand is steady
• You’re counting on future funding that hasn’t landed yet

If any of these sound familiar, it might be time to recheck your numbers and adjust your spending.

How to Keep Burn Rate Under Control

Managing your burn rate doesn’t mean cutting everything to the bone. It means spending wisely and keeping room to adapt. Here’s how:

1. Track it regularly
   Make burn rate part of your monthly reviews. Don’t wait until the bank balance gets drastically low.
2. Spend where it matters most
   Focus on things that push the business forward, like improving the product or acquiring users in smart, cost-effective ways.
3. Plan for delays
   Fundraising almost always takes longer than expected. If you think you have 9 months of runway, act like it’s only 6.
4. Adjust as things change
   As your revenue grows or expenses shift, update your burn rate and runway.
5. Avoid fixed costs early on
   Use freelancers, co-working spaces, and flexible tools until you really need to commit.

What This Means for Startups in Saudi Arabia

As Saudi Arabia’s startup scene grows, so does investor attention to burn rate. With more funding opportunities—from VCs to government programs like Monsha’at and Saudi Venture Capital—founders have access to capital, but also more pressure to use it wisely.

Today, local investors expect founders to show not just ambition, but capital discipline. Managing your burn rate smartly sends the message: “We’re building something valuable and we’re doing it responsibly.”

Wrapping things up…

Burn rate might sound like a dry finance term, but it’s one of the most important numbers for any founder to understand. It keeps you grounded. It helps you plan. And most importantly, it helps you stay in control of your startup’s future.

Because no matter how great your idea is or how big your market could be, if you run out of money, you run out of time.

Kholoud Hussein 

Launched in April 2016 under Crown Prince Mohammed bin Salman and King Salman, Vision 2030 has reshaped Saudi Arabia’s economy, society, and international positioning. As of early 2025, the Kingdom has already surpassed many of its key targets:

• 93% of its nearly 400 third-level KPIs have been fully or partially met. 
• Over 85% of its 1,500+ strategic initiatives have been completed or are on track.

The non-oil economy now contributes around 45–50% of GDP, tourism visitor numbers have already exceeded 100 million annually, and female labour-force participation has reached ~33%—beating the 30% goal.

However, with 2030 deadlines looming, attention is turning to the next chapter: What lies beyond Vision 2030?

1. Why Saudi Arabia Must Look Beyond 2030

A. Surpassing the Finish Line, Not Crossing It

With high-level projects nearing completion (NEOM, the Red Sea resorts, Diriyah Gate) and many social reforms embedded in the system, Saudi Arabia now faces the question: How to sustain and build on this progress?

A recent Stratfor analysis addresses this: “As the finish line for Vision 2030 approaches... Saudi Arabia is paring back its ambitious megacity NEOM… focusing on successful reforms that have strengthened its diversification away from oil.”

This isn't abandonment, but rather a strategic reorientation: embed gains and recalibrate the most significant initiatives to ensure their viability.

B. Global Shocks and Domestic Realities

Geopolitical tensions and fluctuating oil prices still shape the economic environment. Although non-oil growth has been robust (with real GDP growth projections of 4–4.6% in 2024–25), continued resilience requires adaptive economic and social frameworks beyond 2030.

2. Emerging Pillars of the Post-2030 Strategy

A. Institutionalizing Sustainability & Governance

Saudi authorities have prioritized sustainability and transparency—not merely through grand visions, but via process. The Saudi Green Initiative (massive afforestation, emissions cuts) is poised to continue as an ongoing environmental policy beyond 2030. Likewise, improvements in e-governance, fiscal discipline, and public-sector accountability (pillars of “Ambitious Nation”) are now being entrenched in long-term reforms.

B. Deepening Economic Diversification

• Manufacturing & Industry: Efforts to localize oil sector value-added (from 40% to 75%) signal broader industrial policy that must continue beyond 2030.
• Finance & Capital Markets: The Financial Sector Development Program, launched under Vision 2030, aims to reinforce Saudi Arabia as a global financial hub—a task set to continue in the next decade.
• Renewable Energy & Green Tech: From Sakaka solar and Dumat al Jandal wind farms, the next step involves scaling hydrogen, green ammonia, carbon capture, and R&D tied to the Supreme Committee on RDI.

C. Human Capital & Innovation

Efforts to elevate Saudis in STEM, entrepreneurship, and global competitiveness reflect a shift from infrastructure-focused investment to talent-driven transformation. The Kingdom aims to channel 2.5% of GDP into research by 2040. Saudi universities and incubators (e.g., KAUST, SDAIA) are already positioned as keystones for this ambition.

3. Voices from the Kingdom

Busra Karacadag, OBG’s Country Director, framed the broader narrative: “This report captures Saudi Arabia’s bold strides in diversification, sustainability and global collaboration. Vision 2030 is a testament to the Kingdom’s resilience and capacity to lead on the international stage.” 

While Oliver Cornock, OBG’s Editor-in-Chief, conveyed: “Saudi Arabia’s focus on innovation and long‑term economic planning is helping to create a dynamic, future‑ready economy.” 

Both underscore that the real test will be maintaining this momentum after the headline-making projects conclude.

Similarly, Ahmed Al-Khateeb, Minister of Tourism, and Fahad bin Abdurrahman Al-Jalajel, Minister of Health, emphasize infrastructure-led sustainability. Their stewardship is shaping a post-2030 environment grounded in healthcare resiliency, affordable housing, and tourism capacity, not just new investments.

4. Post-2030 Scenarios: What Could Come Next?

A. Transitioning to Vision 2040 or Vision 2050?

Given the success and nearing sunset of Vision 2030, it’s likely the Kingdom will launch a successor strategic framework—tentatively called Vision 2040 or Vision 2050—aimed at embedding earlier gains and tackling residual structural vulnerabilities.

Key areas:

1. Industrial Upgradation: Shift from manufacturing assembly to high-value, tech‑enabled production; e.g., smart vehicles, biotech, pharmaceuticals.
2. Energy Transition: From solar/wind to hydrogen-exporting, carbon-negative energy ecosystems.
3. Financial Ecosystem: Expansion through FinTech innovation, Islamic finance, and integration with global capital flows.
4. Human Sciences and Culture: Zoom in on R&D capacity, cultural exports, tourism beyond mega-sites.

B. Governance as Strategy

Saudi Arabia’s leap from wholesale reform to institutional maturity implies post‑2030 governance models with decentralized accountability, data-driven policymaking, community engagement, and digital transparency—all sustained through refreshed bureaucratic capabilities.

C. Global Engagement and Soft Power

Already during its G20 presidency and sporting diplomacy, Saudi Arabia has used culture and commerce to amplify its global voice. Post-2030 plans will likely expand on educational exchanges, cultural IP exports, Saudi-backed global universities, and multilateral peace/sustainability agendas.

5. Risks and Challenges Ahead

Despite its achievements, the Kingdom faces real challenges:

• Megaproject Sustainability: Scaling back NEOM or similar projects could disappoint investors, thus requiring recalibrated expectations and management frameworks.
• Oil Dependency Residuals: While non-oil GDP has grown, oil exports still finance public services and deficits. External shocks remain a key vulnerability.
• Youth Expectations and Social Balance: A young, digitally-native population demands further widening liberties, robust social contracts, and inclusive civic platforms.

The next strategic blueprint must squarely address these through economic resilience, a balanced social compact, and long-tail institutional endurance.

6. Blueprint for a Post-2030 Saudi Arabia

Here is a thematic breakdown of what Vision 2040 (tentative) might entail:

From Vision to Legacy

Vision 2030 has already reshaped Saudi Arabia’s economic structure, societal values, global posture, and timeline. As 2030 approaches, the Kingdom's challenge shifts from execution to sustainability, adaptation, and continuous renewal. A successor strategy—Vision 2040 or Vision 2050—will likely carry forward this spirit, reinforcing resilience, institutional maturity, and global soft power.

The next Saudi decade must reconcile grand transformation with durable governance. Will its institutions mature enough to absorb this change? Will its citizens sustain this reform?

In the following years, Riyadh must answer these fundamental questions. The success of Vision 2030 opens this critical chapter, and the real test now lies after the finish line.