Li­wwa P2P Lend­ing Plat­form Se­cures $2.3M In­vest­ment

Arabnet - The Quarterly - - Industry Stories -

li­wwa Inc, the world’s first and only sharia-compliant peer-to-peer lend­ing plat­form, closed a sec­ond round of eq­uity fi­nanc­ing worth $2.3 mil­lion led by Sil­i­con Ba­dia. DASH Ven­tures and in­vestor Samih Toukan also par­tic­i­pated in the eq­uity fi­nanc­ing. The Am­man-based mar­ket­place lender aims to fa­cil­i­tate ac­cess to cap­i­tal for small busi­nesses. In the Mid­dle East alone, that gap is es­ti­mated at $250 bil­lion. “We’ve had over $500 mil­lion in de­mand though the web­site, and we’ve only been able to ser­vice $1.6 mil­lion,” ex­plained Ahmed Moor, li­wwa’s CEO. These funds were lent to 75 small busi­nesses. li­wwa lever­ages sta­tis­ti­cal meth­ods to pro­duce a light­weight credit as­sess­ment process de­signed to sup­plant cash flow un­der­writ­ing. So far, li­wwa’s Shadow Un­der­writ­ing re­gres­sion model is 97% pre­dic­tive of cash flow un­der­writ­ing out­comes. Lenders, in­clude over 1,300 in­di­vid­u­als and en­ti­ties, in­clud­ing 3 re­gional banks: Bank al Eti­had, Arab Bank, and Cap­i­tal Bank. Pre­vi­ously, the plat­form had raised $500,000 from DASH Ven­tures, which brings its to­tal in­vest­ment af­ter this round to $2.8 mil­lion. li­wwa will use the funds to grow its un­der­writ­ing ca­pac­ity in Jor­dan and the MENA, as well as open its New York soft­ware de­vel­op­ment and data cen­ter.

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