MSA Capital and Innovative Startups and SMEs Fund Join as Global Partners

Amman, March 2021: The Innovative Startups and SMEs Fund (ISSF) – the largest investment fund of its kind in Jordan – today announced its commitment to a venture fund with MSA Capital (MSA). The ISSF has selected MSA due to its robust track record, broad experience and unique capabilities, as well as its clear global access and deep roots in China and the East. Access to MSA’s characteristics and capabilities will help the ISSF develop a competitive and globally aware entrepreneurial ecosystem in Jordan.

MSA has already made several investments in companies operating in Jordan, most notably Fordeal, which employs over 200 people in the Kingdom. Despite being a relatively recent entrant to the market, MSA has become a prolific investor in the MENA region. Over the last 18 months alone, MSA has participated in 25 funding rounds for 19 companies, in addition to bringing several existing MSA portfolio companies to the region.

MSA is a highly unique investment platform among all other participants in the market. The firm unquestionably brings the largest volume of assets under management of any VC fund systematically investing in the MENA startup space. Notably, MSA’s 2015 vintage venture fund – an early-stage USD 150 million vehicle – has yielded 10 companies now valued in excess of USD 1 billion, most notably NIO, whose market cap has reached USD 74 billion. MSA also possesses the widest and deepest portfolio of any fund in the MENA region, with investments in global sector leaders like Meituan, Airbnb, Uber and Palantir.

Beyond simply investing in regional startups, MSA also actively builds regional JVs with global companies, often vastly accelerating the pace of development and job creation. MSA intends to further expand its investment and ecosystem footprint in the Kingdom via direct investments in Jordanian companies and building or rooting startups in the country that will then target adjacent markets. MSA will continue a concentration on healthcare, mobility, logistics and financial services in Jordan.

“We are deeply honored to be trusted as custodians of the precious resources of the Kingdom of Jordan. High caliber entrepreneurial and engineering talent in Jordan provide critical infrastructure to sustain companies addressing large financial opportunities across the MENA region. MSA is proud to partner with the ISSF and expand our ongoing efforts to fund and build sustainable Jordanian companies that leverage technology to scale pan regionally to address critical enterprise and consumer pain points,” said Ben Harburg, Managing Partner at MSA.

In turn, Laith Al Qasem, CEO of the ISSF, stated, “One of the main objectives of the ISSF is to mobilize the availability of capital for Jordanian startups by strengthening cooperation between local and global ecosystems. I am very pleased to announce our joint commitment and investment with MSA, which will make international experience available to Jordanian entrepreneurs, whilst facilitating market access to the East.”

/by

Innovative Startups and SMEs Fund Invests USD 150,000 in Martix

Amman, April 2021: The Innovative Startups and SMEs Fund (ISSF) – the largest investment fund of its kind in Jordan – has announced a direct investment of USD 150,000 in Martix; a Jordan-based online marketplace platform. The investment was made following an investment round during January 2021, which raised a seed fund of USD 300,000 together with UAE-based investment management firm; Select Ventures Holdings.

Founded in 2018, Martix enables local merchants to smoothly transition online and strengthen their ecommerce presence by leveraging state-of-the-art technology tools and workflows, whilst presenting consumers with an aggregated view of on-boarded stores for a seamless shopping experience that allows them to make purchases from multiple stores via one shopping cart. Martix also lends logistics and digital payment solutions, as well as last-mile service providers that are connected to the platform, to both sellers and consumers.

“With services rapidly shifting online, we are placing special emphasis on supporting digital companies that not only possess high growth potential, but also help give rise to Jordan as a regional hub for innovation and entrepreneurship. By depolying the latest technologies to cater to the evolving ecommerce needs of merchants and consumers alike, Martix serves as a prime example of local entrepreneurial success, and we eagerly look forward to seeing how our investment will contribute to the plaform’s development during the upcoming period,” commented ISSF CEO, Laith Al Qasem.

On his part, Subhi Sallam, Martix Founder and CEO, stated, “Martix emerged from the need to streamline the local ecommerce market and create a digital mirror of the local physical market. Our laser-focus on our vision, paired with our deep understanding of market context and dynamics, have been key factors in our success. With Martix, people across Jordan can now shop safely and conveniently online from more than 400 local merchants that have access to over 300,000 consumers on our app. We have a vision and goals that have yet to be achieved, and we are excited to kickstart our next phase with the support of the investment made by the ISSF and Select Ventures Holdings. We cannot wait to reveal what Martix has in store for the region.”

In turn, Amjad Mustafa, Select Ventures Holdings Managing Partner, added, “Community shopping is an important aspect of the Jordanian culture and a growing trend within today’s ecommerce arena. People prefer to buy from stores they know and trust, and Martix has brought those retailers to their customer base via an excellent platform. The strength of Martix is in their business model, scalable technology, customer service and the very hard work of their founding members. We have been alongside Martix since the beginning and are excited to see them progress well beyond the Jordanian market.”

The ISSF is registered as a Jordanian private shareholding company. The objective of the ISSF is to support and elevate Jordan’s entrepreneurial and innovation landscape by facilitating the establishment of new investment funds that serve the ecosystem; making direct investments in innovative, export-oriented and scalable local startups; as well as implementing initiatives that improve the capabilities of Jordanian entrepreneurs and startup teams through training, capacity building and targeted incubation and acceleration programs.

/by

Innovative Startups and SMEs Fund Extends USD 250,000 Support to the ‘CORE@HTU’ Incubator and Accelerator

Amman, March 2021: The Innovative Startups and SMEs Fund (ISSF) – the largest investment fund of its kind in Jordan – has provided financial support worth USD 250,000 to the CORE@HTU incubator and accelerator, a component of the Center for Innovation and Entrepreneurship Excellence (CIEE) of the Al Hussein Technical University (HTU), elevating its operations to better assist technology startups. Delivered as of February 2021 over a duration of two years, this step underscores the mission of the ISSF to promote a fundamental shift within the local entrepreneurial and innovation landscape.

The CORE@HTU serves as a prime example of a university-based incubator and accelerator, achieving promising results and engaging with national and global partners. With the committment of the ISSF, the CORE@HTU will be able to further develop, validate, modify and scale its models, consequently steering other educational institutions towards more creative, dynamic, responsive and investment focused forms of entrepreneurial support. The collaboration will also allow the CORE@HTU to build on its initial success with regards to creating jobs, growing 21st century skills and technologies, increasing mobilization of risk capital and improving Jordan’s innovation and entrepreneurship ranking. During the first cohort with the ISSF, the CORE@HTU seeks to bolster women representation with up to 22% female founders.

“The ISSF plays an instrumental role in supplying funding for aspiring entrepreneurs and early-stage Jordanian SMEs, especially those demonstrating ambitious vision and high growth potential, whilst advancing the local entrepreneurial ecosystem by prompting the establishment of technology startups that attract investors,” commented ISSF CEO, Laith Al Qasem. “By supporting the CORE@HTU, we are actively enabling it to expand its scope and present enhanced services to female and male tech entrepreneurs, thus empowering them to transform their ideas into investable projects.”

In turn, CIEE Director, Dr. Yazan Hijazi, stated, “The support offered by the ISSF is closely aligned with the approach of the CORE@HTU incubator and accelerator, which aims to assist local tech startups and equip both female and male entrepreneurs with specialized skills that are based on design thinking and customer centricity. We also strive to foster a practical entrepreneurship and innovation mindset amongst emerging companies, thereby generating jobs and boosting the capacities of youth to build and develop technological solutions that bridge market needs and are economically feasible within the local and international arenas. We are proud of this strategic partnership with the ISSF and look forward to positively impacting Jordan’s rising entrepreneurial scene.”

The ISSF is registered as a Jordanian private shareholding company. The objective of the ISSF is to support and elevate Jordan’s entrepreneurial and innovation landscape by facilitating the establishment of new investment funds that serve the ecosystem; making direct investments in innovative, export-oriented and scalable local startups; as well as implementing initiatives that improve the capabilities of Jordanian entrepreneurs and startup teams through training, capacity building and targeted incubation and acceleration programs.

/by

Innovative Startups and SMEs Fund Invests USD 150,000 in Decapolis

Amman, June 2021: The Innovative Startups and SMEs Fund (ISSF) – the largest investment fund of its kind in Jordan – has announced a direct investment of USD 150,000 in Decapolis; a Jordan-based company providing a traceability solution that ensures food safety and quality for food producers, farmers and regulatory agencies worldwide.

Decapolis is led by a mission to enable food producers to document end-to-end supply and production chains that comply with quality control standards, and validates safety and quality on a batch-by-batch basis using blockchain technology.

“In the wake of the coronavirus pandemic, we have been placing added emphasis on direct investments in order to allow pioneering companies to not only survive, but also thrive. Through this investment, the ISSF is accelerating the growth of Decapolis and actively empowering the company to reach its full technical and operational potentials, thus positively impacting the local economy, achieving national progress and positioning Jordan as a prime tech and entrepreneurial hub,” commented ISSF CEO, Laith Al Qasem.

In turn, Decapolis CEO, Abedalrhman Habashneh, stated “We are very pleased to close a round of funding with the great team at the ISSF. This investment will help us scale our technical and business operations to drive us forward towards the many opportunities we have in front of us and to further build our portfolio. This is exactly the right time for Decapolis to have available efficient solutions for the food safety traceability market for food producers and farmers.”

The ISSF is registered as a Jordanian private shareholding company. The objective of the ISSF is to support and elevate Jordan’s entrepreneurial and innovation landscape by facilitating the establishment of new investment funds that serve the ecosystem; making direct investments in innovative, export-oriented and scalable local startups; as well as implementing initiatives that improve the capabilities of Jordanian entrepreneurs and startup teams through training, capacity building and targeted incubation and acceleration programs.

/by

Innovative Startups and SMEs Fund Invests USD 1 Million in Arazan Venture Capital II

Amman, May 2021: The Innovative Startups and SMEs Fund (ISSF) – the largest investment fund of its kind in Jordan – has invested USD 1 million in Arzan Venture Capital II; an investment fund headquartered in Kuwait. The investment, which was made in January 2021, emphasizes the commitment of the ISSF towards supporting youth-led startups and SMEs during their early stages.

The investment in Arzan Venture Capital II – which in turn invests in tech startups across the Kingdom up to the Series A funding round – aims at advancing the Jordanian entrepreneurial ecosystem and empowering promising local female and male entrepreneurs.

“We are very pleased with this notable investment, which will present several aspiring tech startups with the opportunity to grow their businesses, hence consequently generating new jobs and further strengthening Jordan’s standing as a regional hub for entrepreneurship and innovation. At the ISSF, we continuously strive to invest in prominent regional and global funds so as to provide Jordanian entrepreneurs with the funding, skills, tools and training they need, to ultimately grant them the confidence and aptitude to build their futures and create better lives for others,” commented ISSF CEO, Laith Al Qasem.

In turn, Arzan Venture Capital Partner, Laith Zraikat, stated, “Arzan Venture Capital is considered one of the most active funds in Jordan, investing in eight Jordanian companies, in addition to four others outside the Kingdom led by Jordanian entrepreneurs. Today, we plan on doubling down on the Jordanian ecosystem. As such, this ISSF investment has come at the perfect time, in line with the growing number of startups and entrepreneurial projects, the increased demand for establishing a digital economy and the need to create new job opportunities amidst the dynamic transformation the world at large and the region in specific are witnessing on various fronts.”

The ISSF is registered as a Jordanian private shareholding company. The objective of the ISSF is to support and elevate Jordan’s entrepreneurial and innovation landscape by facilitating the establishment of new investment funds that serve the ecosystem; making direct investments in innovative, export-oriented and scalable local startups; as well as implementing initiatives that improve the capabilities of Jordanian entrepreneurs and startup teams through training, capacity building and targeted incubation and acceleration programs.

/by

Innovative Startups and SMEs Fund Invests USD 200,000 in Abjjad

Amman, March 2021: The Innovative Startups and SMEs Fund (ISSF) – the largest investment fund of its kind in Jordan – has announced a direct investment of USD 200,000 (over JOD 141,000) in Abjjad; a company that promotes and markets Arabic digital books. The investment, which was made in January 2021, underscores the strategy of the ISSF to support 150-200 local innovation companies through direct and indirect investments (the latter in investment funds) and build the capacities of at least 600 entrepreneurs and SMEs through specialized training to qualify them for prospective investments.

Since its launch in 2012, Abjjad has steadily progressed and enhanced its operations to achieve ISSF requirements for direct investment, demonstrating inspiring innovation, ambitious vision and high growth potential. Serving as a wide network for readers, authors and publishing houses alike, the extensive virtual library presented by Abjjad enriches the knowledge of individuals, as well as actively contributes to establishing a new market within the Arab publishing world by converting publications into digital books that its 168 million Arab readers can easily access. To date, Abjjad comprises 50 Arab publishers officially contracted by the platform and features 250,000 users.

“Targeting digital innovators and supporting them through funding that enables their businesses to grow and flourish is at the core of our mission, which seeks to bridge the investment and funding gaps for emerging and existing companies, whilst fostering an environment that promotes local entrepreneurship. Today, we have chosen to invest in Abjjad – a platform that has received and is nominated for multiple prestigious local and regional awards – thereby empowering it to positively impact the community and positioning its founders as a source of inspiration for other aspiring Jordanian entrepreneurs,” commented ISSF CEO, Laith Al Qasem.

The ISSF is registered as a Jordanian private shareholding company. The objective of the ISSF is to support and elevate Jordan’s entrepreneurial and innovation landscape by facilitating the establishment of new investment funds that serve the ecosystem; making direct investments in innovative, export-oriented and scalable local startups; as well as implementing initiatives that improve the capabilities of Jordanian entrepreneurs and startup teams through training, capacity building and targeted incubation and acceleration programs.

/by

Talent First; Attracting Funds to Jordan

Jordan’s longstanding focus on human capital development has become renowned the world over. From boasting one of the highest ratios of engineering graduates to population globally, to having similarly impressive numbers in medicine and ICT, it comes as no surprise that the Kingdom has been riding the waves of a highly educated and skilled workforce.

In the 1970s, Jordan was one of the first countries in the world to perform successful open-heart surgery and kidney and liver transplants, and is now regarded as a global player in in-vitro fertilization. That being said, these accomplishments could not have been achieved without extremely talented and competent human resources.

In the 1990s, the Kingdom emerged as a regional leader in technology development, with three patent filings in the United States for AI-related technologies. Jordan was also one of the premier countries to recognize the use of ICT as a means for effectively disseminating knowledge, with multiple progressive Jordanian companies producing computer-based training and educational software in banking and financial services, soft skills and general education. With the proliferation of the internet, this forward-thinking later evolved into e-learning software, which is still being used throughout the Arab World, even spreading to North America and Africa. Backed by a young population, Jordan has demonstrated an impressive ability to detect, enhance and leverage unique technology opportunities throughout the past decades.

This prowess has endured over generations, as evidenced by the up-and-coming Jordanian entrepreneurs catalyzing innovation and consistently coming out on top in regional and global startup competitions. Jordan represents only 3% of the Arab World, yet 6% of its startups, with Jordanian entrepreneurs winning 27% of the awards presented at the 2019 World Economic Forum’s Regional Business Plan Competition. Such feats are true testament that Jordanian innovation is not only alive, but also thriving, whilst reflecting a replenishable human investment opportunity for local, regional and international investors.

Within this context, the Innovative Startups and SMEs Fund (ISSF) – the largest investment fund of its kind in Jordan – was founded to identify, support and harvest innovation opportunities grown out of the local entrepreneurial ecosystem. From the outset, the ISSF has been driven by a mission to facilitate the establishment of funds that invest in local early-stage startups and SMEs; make direct investments in innovative, export-oriented and scalable local startups; and implement initiatives that improve the capabilities of Jordanian entrepreneurs and startup teams through training, capacity building and targeted incubation and acceleration programs.

To this end, the ISSF has closed investments in eight funds during the last two years, including a Chinese venture capital fund and several regional funds. The ISSF has an additional five funds in the pipeline, one of which is UK-based. In the bigger picture, these steadfast efforts ultimately seek to enable promising entrepreneurs to transform their pioneering projects into sustainable companies that generate jobs for Jordanian women and men.

Jordan’s steady attraction of foreign funds indicates faith in the capable local entrepreneurs and in their business ideas and technical competencies. Many entrepreneurs who have secured foreign investment are domiciled abroad, but most of them have and will continue to maintain substantial operations in Jordan, as access to a much-celebrated talent pool is an advantage very few can do without.

/by

MSA Capital and Innovative Startups and SMEs Fund Join as Global Partners

The Innovative Startups and SMEs Fund (ISSF) – the largest investment fund of its kind in Jordan – today announced its commitment to a venture fund with MSA Capital (MSA). The ISSF has selected MSA due to its robust track record, broad experience and unique capabilities, as well as its clear global access and deep roots in China and the East. Access to MSA’s characteristics and capabilities will help the ISSF develop a competitive and globally aware entrepreneurial ecosystem in Jordan.

MSA has already made several investments in companies operating in Jordan, most notably Fordeal, which employs over 200 people in the Kingdom. Despite being a relatively recent entrant to the market, MSA has become a prolific investor in the MENA region. Over the last 18 months alone, MSA has participated in 25 funding rounds for 19 companies, in addition to bringing several existing MSA portfolio companies to the region.

MSA is a highly unique investment platform among all other participants in the market. The firm unquestionably brings the largest volume of assets under management of any VC fund systematically investing in the MENA startup space. Notably, MSA’s 2015 vintage venture fund – an early-stage USD 150 million vehicle – has yielded 10 companies now valued in excess of USD 1 billion, most notably NIO, whose market cap has reached USD 74 billion. MSA also possesses the widest and deepest portfolio of any fund in the MENA region, with investments in global sector leaders like Meituan, Airbnb, Uber and Palantir.

Beyond simply investing in regional startups, MSA also actively builds regional JVs with global companies, often vastly accelerating the pace of development and job creation. MSA intends to further expand its investment and ecosystem footprint in the Kingdom via direct investments in Jordanian companies and building or rooting startups in the country that will then target adjacent markets. MSA will continue a concentration on healthcare, mobility, logistics and financial services in Jordan.

“We are deeply honored to be trusted as custodians of the precious resources of the Kingdom of Jordan. High caliber entrepreneurial and engineering talent in Jordan provide critical infrastructure to sustain companies addressing large financial opportunities across the MENA region. MSA is proud to partner with the ISSF and expand our ongoing efforts to fund and build sustainable Jordanian companies that leverage technology to scale pan regionally to address critical enterprise and consumer pain points,” said Ben Harburg, Managing Partner at MSA.

In turn, Laith Al Qasem, CEO of the ISSF, stated, “One of the main objectives of the ISSF is to mobilize the availability of capital for Jordanian startups by strengthening cooperation between local and global ecosystems. I am very pleased to announce our joint commitment and investment with MSA, which will make international experience available to Jordanian entrepreneurs, whilst facilitating market access to the East.”

/by

Cybersecurity 101

Given today’s rapidly evolving world, we have become increasingly dependent on data. Data has emerged as a strategic asset for corporations and governments, without which the majority of institutions cannot function. 

Data is also essential to the lives and wellbeing of individuals around the world. Banking information, health records, education transcripts and personal profiles are now vital for facilitating seamless and more productive daily tasks. Also, data helps us make informed decisions that directly impact our everyday lives – from social media browsing and personalized online ads to coronavirus regulations and government announcements.

As such, data must be protected now more than ever to ensure the safety of institution and enterprise routines and operations, which has given rise to cybersecurity as the ideal solution for protecting systems, networks, programs, devices and data from cyberattacks, such as:

  • Identity theft through credit card hacking
  • Viruses from spam links or unsafe websites
  • Breaches of major social media platforms

Cybersecurity has become indispensable as technology continues to take precedence as an integral part of modern life. This is particularly true for Jordan, which has embarked on aggressive digitization over the past few years, by introducing new online platforms and launching local mobile apps.

How Can You Protect Your Data?

Whether you are an organization or individual, you can guarantee protection through numerous types of security and software. There are three main kinds of cybersecurity:

  1. Cloud security protects cloud-based data storage using software programs that monitor activities and alert you of anything suspicious on your cloud accounts.
  2. Network security guards your internal network against external threats through antivirus and antispyware programs, firewalls and monitored internet access.
  3. Application security is used by individuals and businesses that utilize apps for work, entertainment or daily tasks. Applications are accessible across various networks, making them vulnerable to cyberattacks. This can be avoided using cybersecurity antivirus programs, firewalls and encryption services.

The Takeaway

Cybersecurity has become of paramount importance across the board; a necessity for anyone using the internet and, fortunately, there are numerous advanced technologies available today to safeguard your data from external harm. Ultimately, taking steps to utilize different types of cybersecurity can effectively protect your data from landing in the wrong hands.

/by

The Entrepreneurship Ecosystem and What it has Created for the Jordanian Youth

The entrepreneurship scene in Jordan has grown over the past decade. We have seen an increase in restaurants, social media and marketing businesses, e-commerce establishments, and homemade products being sold on the internet. Not only have creativity and innovation ascended, but these businesses have created a continuously growing number of jobs for the youth in Jordan.

The limited natural resources and the high unemployment rate have been quite the struggle for the Jordanian youth, especially fresh graduates who are not accepted into jobs that align with their degrees, simply due to their lack of experience. The Jordanian youth, in response, have turned to entrepreneurship as a means of having a job, but they have also created jobs for so many others around them by doing so. This was the turning point for Jordanian citizens in general over the past few years.

However, according to the Department of Statistics (DoS) in Jordan, the total unemployment rate for the year of 2016 was 1.6% higher than in 2000. This number has been increasing year by year, settling on an unfortunate rise of 3.9% from 2016 to 2019, as unemployment reached 19.2% during the second quarter of 2019. It is regrettable to state, that according to the report, a large percentage of the unemployed are youth between 15-24. Though there is an increase in businesses, the lack of experience, training, and entrepreneurship mindset results in the termination of a large percentage of said businesses. A proper solution would be the extended support from authorities and support organizations to maintain, encourage and grow these establishments to provide more jobs for the youth and decrease the unemployment rate.

Taking a glance at TTi’s Entrepreneurship Ecosystem Map of Jordan, it is evident the number of establishments currently running in Jordan, and how it has impacted the Jordanian entrepreneurship ecosystem. Of course, there’s room to grow and lessons to learn when it comes to the development, foundation, and growth of these startups, but the fact is pertinent; these startups are guiding youth towards something great. They are paving the future for the next generations, allowing for further advancements and achievements that will create a better environment for the Jordanian youth.

/by

Sign up for our newsletter