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.

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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.

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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.