How to fund and launch your business in Mena and beyond

The first question isn’t how to get funding, but should you even go for it? There’s no right answer, but I’ll share what I’ve learned: investors want businesses that can scale fast, are built for growth and, ideally, do something no one else is doing. 

If your idea sounds like ‘Airbnb for X’ or ‘Amazon for Y’, you’re on the right track. Ninety-five percent of businesses do not fit that VC model and getting investment isn’t for everyone. 

My first business didn’t have that “hockey-stick” growth curve that screams venture-ready, so I had to take a step back and think about whether traditional investment was really the best way forward.  

Here are four things I’ve learned (the hard way) that investors look for:

1. Scalability: Your model needs to grow quickly without tripling your costs. Think tech or subscription – anything that can expand without breaking the bank.
   
2. Innovation: Investors are drawn to something fresh. Your idea doesn’t need to be from another planet, but it should be compellingly unique or address an unsolved problem.
   
3. Experience: They want to know you can pull this off. If you’ve been around the industry a while, or if your team is solid, you’re already a step ahead.
   
4. Market size: Fancy talk for “Is there a big enough crowd who’ll buy it?” The bigger the crowd, the better the investor interest.

If you feel you’re ticking these boxes and ready for the journey, here’s a reality check: the process isn’t quick. It took me over six months to raise over $500,000 across two rounds, supported by 18 angel investors who believed in our potential. 

With each round, we had to prove our growth and tighten our pitch. You’ll be building decks, meeting potential investors, and following up for what feels like the hundredth time. It’s not easy but, if successful, you can secure the funds that drive some major growth.

The initial funding rounds: Angel to series A

In the early days, angel investors – friends, family and early believers – might help with small, first-round funds, covering initial tech, product development, or team basics.

This initial funding is essential to get things off the ground, as I learned through our first round with angels, who provided the cash to build our tech platform and assemble our team. 

Then comes seed funding, which is the first real step into venture territory, where you need to show early traction and a solid market entry plan.

If you’re on the right track, you’ll progress to Series A – the realm of serious venture capital – where larger amounts are invested to support aggressive scaling. 

With each round the bar is set higher, and the scrutiny gets sharper. But for those who make it through this path can turn a solid idea into a powerful, high-growth business.

Alternatives for sustainable growth

What if the traditional funding route doesn’t fit? There are equally rewarding ways to build a business without giving up equity. Grants and government schemes are a great first step. In the Mena region, check out the Khalifa Fund or Dubai SME for funding options that don’t take a chunk of your business in return.

Another option is revenue-based financing. Instead of giving away equity, you repay a percentage of revenue monthly. This way, during slow months, your repayments dip too—ideal if you’re growing steadily and want to keep your hands on the reins.

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And if, like me, you’re a fan of independence, strategic partnerships are gold. Partnering with a like-minded business can help you reach new markets without the financial gymnastics of raising capital – it also happens to be the eventual catalyst to my last business being acquired, so well worth the effort.

So yes, funding is a marathon, not a sprint. It’ll test your patience, resilience, and caffeine tolerance, but for the right business, it can fuel real growth. 

And if investment isn’t for you? There’s plenty of room for success through grants, partnerships and organic growth. Whatever route you choose, know that each has its hurdles and rewards.

Helen McGuire is a Dubai-based tech founder. She recently launched her first book, The Female Founder Formula