SubsBase, an Egyptian no/low-code startup platform, has secured a $2.4 million seed investment round. SubsBase hands the entire subscription life cycle of invoicing, payments, and alerts.
The round was led by Global Ventures, a venture capital firm with a focus on the Middle East and Africa. HALA Ventures, P1 Ventures, Plus Venture Capital (+VC), Plug and Play, Ingressive Capital, Camel Ventures, and current investors Falak Startups and Arzan Venture Capital were among the additional investors who took part.
The startup also hopes to increase its commercial and branding initiatives across MENA with this additional investment.
In addition to boosting output in marketing and content, including educational content and podcasts, it is employing its operational sales, direct sales team, customer success team, and business development, team. This is done to inform the market about the subscription economy and how it functions.
The MENA region’s first and only signup and repeating income management software, according to SubsBase, With the collection, operational, analytics, invoicing, and billing tools provided by the cloud-based platform, subscription- and recurring revenue-based businesses can manage their customers effectively.
With support from SubsBase’s operating system, clients may automate subscription billing and invoicing, integrate numerous third-party software programs, and keep data organized and simple.
According to the CEO, SubsBase offers its platform to a variety of consumer segments and industry verticals. They include small and medium-sized enterprises (SMEs), which he refers to as the sweet spot for the company due to their solely SaaS businesses, as well as other businesses including financial institutions, insurance providers, real estate firms, and online retailers that accept recurring payments. Included among its customers are Clakett, Mermaid, OLX, and Zammit.
According to Farag, who launched the business with chief executive officer Sherif Aziz in 2020, SubsBase has been increasing 200% month over month since formally starting over a year ago.
On the call, the platform’s founders noted that, in addition to “SubsBase operating on SubsBase,” it also uses a subscription-based business model and offers customers a choice of three distinct strategies with set costs. On each strategy, clients additionally pay various transaction fees.
Equivalent service providers can be found in Europe and the United States, including sizable platforms like Chargebee and Recurly.
If any of these platforms were to develop into the MENA region, they would need to link with local payment processors like Fawry, Paymob, and PayTabs as well as international payment processors like Stripe and PayPal.
SubsBase now has little to no competition in the area due to the regional nature of payments, where each region has its own regulations and standards, making such an expansion strategy seem unrealistic.
Techbuild’s Take
One explanation why firms in the Middle East/North Africa (MENA) region face operational difficulties in handling income and recovery is the existence of a variety of payment formats and suppliers.
These companies frequently rely on antiquated techniques, like Excel sheets, to keep track of these collections, particularly subscription-based ones, or they develop internal automation systems; as a result, they miss out on crucial information and incur inadequacies, such as employing more bookkeepers than necessary to handle collections.
Platforms like SubsBase make these processes simple for businesses and enable them to offer new services with the assistance of investors.
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