Debt collection in the Middle East receives a $10 million boost through modernization and automation courtesy of ClearGrid's fundraising efforts
In the bustling heart of Dubai, a fintech startup named ClearGrid has made waves in the financial sector. Founded in 2023 by Khalid Bin Bader Al Saud, Mohammad Al Zaben, and Mohammad Al Khalili, this AI-powered digital debt resolution platform is set to transform the MENA region's debt collection landscape.
ClearGrid's innovative approach has already caught the attention of several major enterprise clients, propelling the company to profitability within a year of its UAE launch. Notable supporters include Omar Majdouie, Founding Partner at Raed Ventures, who expressed his admiration for ClearGrid's innovative approach to debt collection in the MENA region.
The company's success has not gone unnoticed by the investment community. ClearGrid's $10 million funding round was co-led by Raed Ventures and Beco Capital for the pre-seed round, and Nuwa Capital and Raed Ventures for the seed round. Additional investors include Aramco's Waed Ventures, KBW Ventures, Sharaka, 9yards Capital, Protagonist, BYLD, Eirad Holdings, Endeavor Catalyst, and Wamda Capital.
ClearGrid offers an AI-powered platform that automates the recovery process from borrower engagement to negotiations. The impact of this technology has been substantial. One major UAE bank doubled borrower engagement, leading to a 30% improvement in recovery rates. A leading Buy Now Pay Later (BNPL) provider saw its early-stage debt resolution fully automated, with 95% of cases handled without human intervention, resulting in doubled performance and a 4.8/5 in customer satisfaction (CSAT) score.
Looking ahead, ClearGrid plans to use the funds for building advanced collections systems, developing a comprehensive SaaS platform, and expanding across the MENA region. The company's immediate plans include expanding revenue in the UAE and entering the Saudi market in 2025, where it will compete with Ebra, a local fintech that recently raised $2 million for its debt collection platform.
Khaled Talhouni, Founding Partner at Nuwa Capital, praised ClearGrid's potential to reinvent the debt resolution process and set a new standard for the industry. Notable angels also participated, including former Y Combinator Continuity head Anu Hariharan, Marqeta's Jason Gardner, Replit's Amjad Masad, Twitch's Justin Kan, Kitopi's Mohammed Ballout, Barq's Ahmed Alenazi, and Unifoni's Ahmed Hamdan.
ClearGrid's success story is just beginning. With its AI-driven empathy, the company is poised to revolutionize debt collection across the MENA region, meeting the growing demands of the consumer lending sector amid the increasing volume of problem debt.
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Footnotes: [1] ClearGrid (2024). Retrieved from https://www.cleargrid.ai/ [2] Al-Khaldi, M. (2024). ClearGrid: The AI-Powered Debt Resolution Platform Transforming MENA. Retrieved from https://www.arabianbusiness.com/technology/514405-cleargrid-the-ai-powered-debt-resolution-platform-transforming-mena [3] Dubai-Based ClearGrid Raises $10 Million to Revolutionize Debt Collection in MENA. (2024). Retrieved from https://www.zawya.com/mena/en/press-releases/company-announcements/dubai-based-cleargrid-raises-10-million-to-revolutionize-debt-collection-in-mena-n-A56A6A6 [4] ClearGrid (2024). Retrieved from https://www.crunchbase.com/organization/cleargrid
- ClearGrid's successful raising of $10 million in funding from various investors, including Raed Ventures, Beco Capital, Nuwa Capital, and others, indicates a promising future for the technology-driven business of investing in and transforming the MENA region's debt collection landscape through AI-powered digital platforms.
- As ClearGrid expands its operations across the MENA region, its AI-driven platform, which automates the debt recovery process, will likely disrupt the traditional business models of debt collection, offering innovative solutions to enterprises and boosting the efficiency of consumer lending sectors amid the increasing volume of problem debt.
