Demographic disconnect
There is seen a certain demographic disconnect in Middle East between the older (and wealthier) generations staying away from start-ups. Many reasons can be stated, but the most important one is this- the youth are more aware of the potential of start-ups who are also more tech savvy. This does not however resonate with the older generations in the Middle East. Therefore, “If a Saudi grandson asks his grandfather for $500,000 to invest in a start-up, the answer is usually no. However, if he asks his grandfather for $500,000 to buy a car, the grandson gets his money instantly.”
A ray of hope
Fortunately, there is a wave that believes in the potential of start-up community in Middle East. And a significant part of this wave is Cosmos Group who have taken the onus of underwriting the entrepreneurs of tomorrow.
To any potential investors eyeing startups of the Middle East: the time is now. Opportunity is nearly everywhere. The budding start-ups are taking entrepreneurial risks, and some of them will change the Middle East for the better. Yes, there is high risk. But, is it worth risking your economy falling behind? Is this risk greater that the risk of you being left behind in future?
