Egyptian Fintech FlapKap Secures $34 Million in Pre-Series A Round to Boost SME Financing Across MENA 

FlapKap, a fintech firm founded in Egypt and now based in Abu Dhabi, has successfully raised $34 million in a pre-Series A funding round. This new round brings the company’s total funding to $37.6 million, following its earlier seed funding of $3.6 million nearly two years ago.

The latest funding round, which includes both equity and debt financing, was spearheaded by BECO Capital. Notable new investors include Pact VC, while A15, Nclude, QED Investors, and Channel Capital contributed through follow-on investments and debt financing.

FlapKap plans to utilize the funds to enhance its small and medium enterprise (SME) financing services throughout the Middle East and North Africa (MENA) region and the Gulf Cooperation Council (GCC) countries. A portion of the investment will also be directed towards improving the company’s technology infrastructure, with the goal of launching new trade finance products tailored for B2B businesses.

Co-founded in 2022 by Ahmad Coucha, Khaled Nassef, Sherif Bichara, and Kunal Harisinghani, FlapKap offers revenue-based and embedded financing solutions aimed at helping SMEs—particularly those in eCommerce, retail, and the restaurant industry—scale their operations. The platform provides instant funding for inventory and digital advertising, with flexible repayment options.

The fintech company is designed to tackle financial hurdles faced by SMEs, many of which encounter difficulties accessing traditional bank loans or venture capital. By streamlining the loan approval process, FlapKap addresses these challenges effectively.

Ahmad Coucha, CEO and Co-founder of FlapKap, stated, “The advancements in data technology have significantly simplified the support process for SMEs. This new investment will fuel our expansion within the UAE and Egypt and help us grow our presence across the GCC region.”

FlapKap’s platform leverages data from eCommerce sites, social media, payment gateways, and bank accounts to assess loan applications. Utilizing AI-powered models and open banking technology, the fintech ensures accurate underwriting while keeping operational costs low.

Since its inception, FlapKap has broadened its services to cater to a wider range of SMEs, both online and offline, and boasts a rapid evaluation and approval process—often completing it within 48 hours of a company’s sign-up.

SMEs account for up to 90% of businesses in many MENA countries, yet many struggle to obtain the financial support necessary for growth. FlapKap aims to bridge this financing gap, which the International Finance Corporation estimates to be around $180 billion in the region. The platform has reported a significant increase in originations and disbursements over the past two years and has established a strong network of merchants in Egypt and the UAE.