- Saudi Arabia-based fintech Circyls has raised SAR 5 million ($1.3 million) via crowdfunding platform Scopeer.
- With the fresh funds, the startup will be able to grow its team and expand its user base across KSA.
Across most Middle Eastern economies, the rotating savings and credit association (ROSCA) model remains the most popular saving mechanism, especially among communities with limited access to formal financial services. Over the past few years, many statusps have taken cognisance of the accelerated popularity of ROSCAs and have started to offer digital alternatives to the largely traditional practice.
Riyadh-based fintech startup Circlys, offers its users the opportunity to have expanded access to capital through its e-ROSCA model. Through the platform, users can choose to join a specific cycle based on the amount of money they need and schedule a payout date of their preference.
Founded in 2018 by Khaled Hassoun, Circyls looks to serve as many as 600,00 users across Saudi Arabia in the coming period and grow its team on the back of a SAR 5 million ($1.3 million) pre-Series A funding round recently raised through crowdfunding platform Scopeer.
Following its completion of its SAR 1.5 million Seed back in 2019, the startup managed to join the Saudi Central Bank (SAMA) regulatory sandbox and plans to go public on Nomu, the secondary public market in Saudi Arabia by the end of this year.
Last year, Hakbah, another Saudi startup focused on digitising ROSCAs, managed to raise $1.2 million after receiving regulatory approval from SAMA’s regulatory sandbox to test and launch its product.