FlapKap and logistics giant Aramex partner to boost SME funding

By Gloria Methri

Aramex, a logistics and transportation company in Dubai, has signed a strategic partnership with FlapKap, MENA’s revenue-based financing platform.

The collaboration will support new and existing Aramex merchants and small and medium e-commerce businesses (SMEs) æin the UAE to obtain fast and flexible funding within 48 hours.

SMEs play a critical role in the global economy, especially in fast-paced economic hubs like the UAE. According to the International Finance Corp, SMEs in the UAE represent 90 per cent of total businesses. However, obtaining the necessary capital to scale their ventures remains a significant challenge.

In rich MENA countries, SMEs contribute nearly 51 per cent of the total GDP, with employment contribution at 62 per cent. However, there is an SME credit gap of more than $260 billion in the region, with only 4 per cent of outstanding loans awarded to SMEs in UAE. This partnership aims to address this challenge by combining Aramex’s expertise in supporting SMEs with FlapKap’s innovative funding solutions.

Under this landscape, Aramex supports SMEs by offering comprehensive logistics and transportation services, ensuring efficient supply chain management. FlapKap complements this by providing revenue-based financing solutions through its app.

This partnership enables SMEs to access working capital financing from FlapKap to meet their inventory, marketing, and operational needs, all while benefiting from Aramex’s reliable logistics support.

Lour AlMukhaimer, Channel Manager – SMEs Commercial & Partnerships, Retail Outlets at Aramex, said, ” Our partnership aims to help more businesses streamline their logistics and operational processes, allowing them to focus on securing the necessary funding to scale and meet the increasing demand for their products and services. We believe this collaboration will contribute significantly to the growth and sustainability of the SME sector in the UAE, which is aligned with Aramex’s global commitment to supporting the SME ecosystem in its scale and growth.”

Kunal Harisinghani, FlapKap’s Chief Commercial Officer, said, “Our partnership with Aramex is a groundbreaking initiative that will add tremendous value to the SME ecosystem. By integrating FlapKap’s solutions with Aramex’s offerings, businesses can unlock significant value through increased inventory purchasing power, marketing optimization, and regional expansion. We are excited about this partnership and are committed to continuously evolving it to drive growth for our valued merchants”.