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Tag: Flend

  • Flend obtains Non-Banking Financial Institution licence from Egypt’s FRA

    Flend obtains Non-Banking Financial Institution licence from Egypt’s FRA

    On Monday, Flend, a pioneering tech start-up, announced that it has secured the first-ever Digital Non-Banking Financial Institution (NBFI) licence from the Financial Regulatory Authority (FRA) in Egypt.

    This milestone positions Flend as a key player in financing small and medium enterprises (SMEs) in the region.

    Read also: Flend becomes the first SME non-bank digital financial institution in Egypt

    Founder and vision

    Founded by visionary entrepreneur Marcia Mandisi Mabaso, Flend aims to revolutionise how SMEs access financial services.

    Mabaso, who has a rich background in entrepreneurship and media, expressed her excitement about this achievement: “This licence is not just a regulatory milestone; it’s a commitment to empowering local businesses and fostering economic growth”.

    Impact on SMEs

    With this new licence, Flend plans to offer tailored financial solutions designed specifically for the unique challenges SMEs face in Egypt.

    The company’s innovative approach focuses on leveraging technology to streamline processes and enhance accessibility for business owners.

    Mabaso emphasised the importance of supporting SMEs: “These businesses are the backbone of our economy; they deserve every opportunity to thrive”.

    Flend’s initiative reflects a broader trend in the fintech sector, where technology is increasingly harnessed to improve financial inclusion.

    Flend is helping both individual company success and Egypt’s economy as a whole by attending to the unique demands of SMEs.

    Read also: Beltone expands into African financial services with acquisition of Baobab Group

    About Flend

    Flend is a platform designed to facilitate peer-to-peer lending. It allows individuals to lend and borrow money directly from each other without the involvement of traditional banks. Flend aims to create a more accessible and efficient lending process, often offering lower interest rates for borrowers and better returns for lenders.

    Users can set their terms, including loan amounts and repayment schedules, promoting financial inclusion and empowering individuals to manage their finances more effectively. Flend prioritises transparency and community trust in its operations.

  • Flend becomes the first SME non-bank digital financial institution in Egypt

    Flend becomes the first SME non-bank digital financial institution in Egypt

    Flend, a trailblazing digital financing platform that focuses on small, emerging, and medium-sized businesses (SMEs) has secured a licence from the Egyptian Financial Regulatory Authority (FRA) to operate as a digital SME financing institution, thereby becoming the first digital non-bank financial institution (Digital NBFI) in Egypt to accomplish the historic milestone.

    According to a statement released by Flend on Monday, the licence enables the company to use innovative digital solutions to transform the financial environment for SMEs.

    By launching cutting-edge digital contracts and e-signatures, Flend, the first fully licensed digital NBFI devoted to SMEs, is establishing a new benchmark for the sector.

    Read also: PlanetTalk simplifies international money transfers for Nigerians

    This method speeds up SMEs’ access to money, improves transparency, and streamlines the financing process. The action is in line with the FRA’s forward-thinking goal of encouraging innovation in the non-banking financial sector and opening the door to a financial ecosystem that is more effective, inclusive, and transparent.

    “We are delighted to be the first to secure the Financial Regulatory Authority (FRA) Digital Non-Bank Financial Institution (NBFI) license, with a focus on SME Finance,” said Nehal Helmy, Co-Founder at Flend on Monday.

    “Our strategy at Flend is to transform the SME financing landscape by addressing the critical need for fair, fast, and flexible SME financing. Leveraging proprietary technology, we provide seamless onboarding, advanced risk assessments, and efficient loan disbursements. By replacing cumbersome paperwork with digital contracts and e-signatures, we can cut approval times from weeks to days and ensure a transparent and efficient experience tailored to SMEs.”

    The FRA’s support highlights the critical role of regulatory bodies in enabling a modernised financial landscape that addresses the evolving needs of businesses and promotes sustainable economic growth. By securing this license, Flend can uphold the highest standards of governance, enforce strong legal recourse on borrowers, and access affordable local bank funding. These advantages enable Flend to offer competitive financing rates and scalable solutions designed to bridge the SME financing gap effectively.

    Flend to bridge SMEs $50 billion financing gap in Egypt

    The IFC reports that there is a financing deficit of more than $50 billion for Egypt’s SMEs. Flend’s data-driven infrastructure and creative digital solutions put it in a strategic position to fill this gap.

    The platform’s technology improves loan servicing, lowers client acquisition expenses, and streamlines operations.

    To supply SMEs with specialised financial solutions, Flend also establishes strategic alliances with major digital actors such as marketplaces, e-commerce platforms, payment service providers, and logistics firms.

    Read also: Paymob introduces Apple Pay integration, advancing Egypt’s digital payments landscape

    Investors backing Flend

    A robust group of investors, including Plus VC, Banque Misr, Digital Finance Holding, and top family offices in the area, support Flend’s aim.

    This support highlights the platform’s flexibility, dependability, and dedication to helping SMEs in critical sectors.

    A varied group of professionals with expertise in international financial institutions, technology, government, banking, and the entrepreneurial ecosystem are at the core of Flend’s success.

    Flend can create creative solutions that are suited to the particular difficulties faced by SMEs thanks to this pooled expertise, which has a significant impact on the Egyptian economy as a whole.

    Flend is rethinking SME financing in Egypt, filling important gaps, and promoting sustainable economic growth by utilising digital technologies and regulatory assistance.

    Flend is in a strong position to spearhead the modernisation of Egypt’s financial sector and enable SMEs to prosper thanks to its revolutionary approach.