A groundbreaking study has been released by the investment data platform MAGNiTT, sponsored by the Saudi Venture Capital Company (SVC), highlighting the entrepreneurial landscape in Saudi Arabia. This report reveals that over the past decade, 200 national startups have collectively secured investments exceeding 12 billion riyals (approximately $3.3 billion).
The analysis showcases the achievements of more than 400 entrepreneurs who founded these 200 Saudi startups. Each of these entities has received bold investments surpassing the one million dollar mark between the years 2014 and 2023.
Further insights from the report indicate that 44% of these companies were initiated through partnerships between two individuals, capturing 53% of the total venture capital funds provided. In contrast, single-founder companies constituted 30% of the total startups and garnered only 15% of the cumulative financing over the decade.
The report also outlines the founders’ backgrounds, mentioning that 36% of these 400 entrepreneurs had over ten years of work experience prior to launching their startups. Interestingly, for 66% of them, this was their first venture into startup creation. Additionally, 30% of the founders had prior experience in the startup sector at a regional level.
Dr. Nabil Koshak, CEO and Board Member of SVC, commented on the robust growth and activity seen within the Saudi startup scene, which is rooted in a solid foundation of innovation and entrepreneurship set by the kingdom’s strategic initiatives, driven by Vision 2030.
Dr. Koshak expressed that there has been a surge in startup activities, with an increase in ambitious founders seizing opportunities and propelling innovation across various sectors. He emphasized the importance of this report in providing key insights about founders who succeeded in securing venture capital funding in the last ten years in the kingdom.
He reaffirmed the company’s commitment to supporting the development of such reports that furnish decision-makers, government officials, investors, and founders with the necessary data and perspectives for informed decision-making and strategic policy development to boost the growth of the startup ecosystem over the next ten years.
Philip Bahoshy, CEO of MAGNiTT, explained that the report is part of the company’s aim to provide valuable data, insights, and analyses that support decision-makers in their strategic initiatives.
