Beehive is the UAES first online

marketplace for peer-to-peer lending

The SME market in the UAE
The 300,000 small and medium-sized enterprises (SMEs) account for about 60 per cent of the UAEs non-oil economy and
90 per cent of total businesses 1. SMEs are critical to employment creation and economic growth, yet they account for only
3-4% of bank lending and bank loan rejection rates for SMEs are between 50-70 per cent 2.
The International Finance Corporation (IFC) estimates the current SME
funding gap in the MENA region to be at least USD$260 billion 3. This
considerable gap between the demand and supply of capital is
driving a critical need for alternative finance solutions to fuel
growth in this critically underserved sector of the economy.

investor

Crowdfunding & Peer-to-Peer Lending a growth market

Peer-to-Peer lending is one form of crowdfunding.
Crowdfunding is a simple, innovative way of raising money by
beehive
asking a large number of people for a small amount of money.
Peer-to-Peer (P2P) lending refers to individuals (investors) lending to other
individuals or businesses (borrowers) without the use of a conventional
intermediary such as a bank. P2P lending uses the Internet as a platform to reach hundreds or
even thousands of potential investors (the crowd).

business

Crowdfunding is a proven and highly successful concept in the US and Europe. Global peer-to-peer lending, increasingly
referred to as marketplace lending, is estimated to be valued at almost USD$9bn in 2014 and is forecast to deliver USD$1
trillion by 2025 4. The growth of peer-to-peer lending is accelerating rapidly and its expansion into new markets is
inevitable as economies seek smarter solutions to SME financing.

Hopefully, the growth of peer-to-peer lenders and those involved in crowd-funding will help solve the problems we have
with lending for small and medium enterprises. The banking middlemen may in time become surplus links in the chain
(Andrew Haldane, Director of Financial Stability, Bank of England)

How is Beehive part of the solution?

Based in Dubai and initially focusing on the UAE, Beehive is the UAEs first peer-to-peer lending platform. Beehive directly
connects established, creditworthy businesses with smart investors to build mutually beneficial partnerships for growth.
Our platform applies the innovative technology of crowdfunding to eliminate the cost and complexity of conventional
finance, meaning SMEs get faster access to lower cost finance and investors get better returns and diversified risk. Its just
smarter finance.
The Beehive online marketplace facilitates faster, more flexible funding for
SMEs seeking investment in the range of AED 100,000 to AED 500,000,
typically resulting in a lower cost of finance compared to conventional
sources. Investors can bid to fund business loan requests from as
little as AED 100.

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$1

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by 2025

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$9

billion

1. Gulf news October 2014

2. Dunn & Bradstreet research
3. International Finance Corporation 2014
4. Foundation Capital report How marketplace
lending will remake banking as we know it

Small & Medium Enterprises are critical to delivering

growth and creating employment in the UAE but they
dont always get the access to capital or credit terms
that they require to successfully grow their business.
There is a clear need for new and alternative funding
models in this region.
Rick Pudner
Chairman of Beehive

the benefits
The principle of peer-to-peer lending provides multiple benefits.
Investors

Businesses
Lower rates

Higher targeted rates of return

Faster access to flexible credit

Receive monthly repayments

No early repayment charges

Managed risk through diversification

Simple application process

Complete control over investments

SMEs are the backbone of the economy and providing new routes to finance is vital to ensuring their continued growth.
Beehive is passionate about bringing a smarter finance solution to the UAE to facilitate strong connections between the
SME community and investors and build mutually beneficial partnerships that foster SME growth and economic
development in the UAE.

SME application criteria

registered

UAE
company

dirhams

trading

non trading

revenue p.a.

months

months

2.5M

current
management

3 YEARS

36

no cheque
returned in

12

months

24

company
bank shows

bank
statement

turnover

month

80%

12

further learning
Our Chairman, Rick Pudner and the founder and CEO of Beehive, Craig Moore, are available to further explain the concept
of peer-to-peer lending and demonstrate how the Beehive platform can help SMEs in the UAE access finance for growth.

For more information or to register, visit beehive.ae