Top 5 Startup Accelerators in Saudi Arabia
5 Startup Accelerators in Saudi Arabia
Are you a budding entrepreneur in search of capital or mentorship for your startup? Look no further than Saudi Arabia’s startup accelerators and incubators. These platforms offer more than just funding; they provide invaluable support in areas such as product development, sales, and marketing.
Whether you’re seeking a co-founder, ready to build your Minimum Viable Product (MVP), or in need of seed money to scale your business, these accelerators and incubators are your gateway to success.
Top 5 Startup Accelerators in Saudi Arabia
In this article, we’ve curated a list of the top five startup accelerators and incubators in Saudi Arabia. These are our top recommendations for those who are ready to take the plunge and start their entrepreneurial journey.
1. Falak:
Falak is a sector-agnostic accelerator that offers an 18-week program. With an investment size ranging from 250,000 SAR to 1.5 million SAR, Falak is a fantastic option for startups across all sectors.
2. Nomow:
Nomow is a sector-agnostic incubator that provides support for a period of 3 to 6 months. With an investment size between 50,000 SAR and 400,000 SAR, Nomow is an excellent choice for startups looking for a nurturing environment to grow and develop.
3. Taqadam:
Taqadam is another sector-agnostic accelerator, offering a six-month program. With an investment size of 150,000 SAR, Taqadam is an ideal choice for startups seeking a substantial boost in their early stages.
4. Startups House:
Startups House plays a dual role as both an accelerator and incubator. It offers a 24-week program, with an undisclosed investment size. Startups House is a great option for startups that are looking for comprehensive support in their growth journey.
5. The Garage:
The Garage is an emerging innovation district in Saudi Arabia that focuses on local and international startups and SMEs. This unique business model combines the best features of business incubators, accelerators, and more, providing everything tech companies need to succeed and grow.
The Garage offers a 3-month program that targets training and accelerating 100 innovative ideas, entrepreneurs, and upcoming tech startups per year. The program offers an extensive list of perks and bonuses for emerging startups, including co-living, co-working spaces, financial grants, investment support, shared services from The Garage partners, and top-notch training programs.
Vision 2030: A Catalyst for Change
Saudi Arabia’s startup sector has been on an impressive growth trajectory, largely fueled by the country’s Vision 2030 initiative. This strategic plan aims to diversify the economy and reduce its dependence on oil, with a significant focus on fostering innovation and entrepreneurship.
A Year of Remarkable Growth: 2022 in Review
In 2022, the combined value of Saudi Arabia’s startup ecosystem surpassed a staggering $11 billion. This growth was propelled by a surge in venture capital investments, with Saudi-based startups raising $972 million in funding, a 1.5x increase from the previous year. This performance placed Riyadh among the top 10% of performers in the Rising Star Index and ranked it second globally in the Early Stage VC growth category amongst other Rising Star ecosystems.
Government Support: Fueling the Tech Ecosystem
The Saudi government’s robust support for innovation and technology has been a significant factor contributing to this rapid growth. The LEAP23 conference, for instance, announced investments of more than $9 billion to support future technology and startups. This investment underscores the significant potential of the tech sector in Saudi Arabia and the confidence of investors in the future of the industry.
Demand-Driven Growth: The Rise of Fintech, Foodtech, and Transportation
The growth of the tech ecosystem in Saudi Arabia has also been driven by the increasing demand for technology in the country. With the rise of e-commerce and digital transformation, businesses are looking for ways to leverage technology to improve their operations and better serve their customers. Fintech startups in Saudi Arabia have generated over a third of total VC investment since 2018 (36%), followed by Foodtech and Transportation related startups that make up a combined (43%) of VC investment in the country.
Bucking Global Trends: The Boom in Venture Capital Funding
Saudi Arabia is bucking global trends in entrepreneurial investment. Venture capital funding levels have soared year-over-year, with investment in Saudi startups growing by 72% in 2022 to a record high of $987 million. The Kingdom’s small business sector gains in 2022 also match a boom in the regional startup ecosystem. The expansion of the SME sector in the Middle East and North Africa (MENA) region reflects a growing talent pool, advancements in technology infrastructure, consumer adoption, and macroeconomic and regulatory reforms. MENA’s 50 most-funded startups raised around $3.2 billion in 2022, up 6.7% from 2021.
Looking Ahead: The Future of Saudi’s Startup Ecosystem
In conclusion, the startup sector in Saudi Arabia is thriving, and the country is rapidly emerging as a significant hub for digital entrepreneurship. With continued investment and support from the government and private sector, Saudi Arabia’s startup ecosystem is set to shape the future of various industries and make a lasting impact.
