Abu Dhabi — In a strategic move to strengthen support for small and mid-sized enterprises (SMEs), International Holding Company (IHC) has acquired the UAE-based SME financing platform eFunder and rebranded it as Zelo.
Launched in August 2020, Zelo offers digital-first, receivables-based working capital solutions for SMEs in the UAE and Saudi Arabia. The platform enables businesses to unlock liquidity by converting approved invoices into cash within 24 to 48 hours, reducing their dependency on traditional bank loans.
“SMEs are the backbone of a diversified and future-ready economy,” said Syed Basar Shueb, CEO of IHC. “Through our acquisition of Zelo, we are proud to support a platform that solves one of the most fundamental barriers facing SMEs — access to timely working capital.”
SMEs make up over 95% of registered businesses in the UAE and contribute more than half of the country’s GDP. However, many suffer from payment delays of up to 120 days, limiting their cash flow and growth potential. Zelo aims to bridge this funding gap by offering private, fast-access capital solutions at a time when bank lending rates remain high.
The acquisition also aligns with regional trends. In Saudi Arabia, Sukna Capital recently introduced a new fund focused on easing credit access for startups and SMEs, reflecting growing interest in non-bank financing models.
According to estimates, the MENA region faces a $250 billion SME credit gap, highlighting the critical role platforms like Zelo can play in reshaping the future of small business finance in the region.
