Building high growth businesses in fast growing markets is a challenge. We believe more international partnerships are required to increase the success rate of companies growth process in the Middle-East, Africa or Asia. We build “bridges” between mature economies and new economies.
This approach could be part of a national economic vision and be integrated in public/private partnerships.
Our core focus at Armalia Partners
- Build the relevant international partnerships (Financial institutions, Sovereign Wealth Funds, Investors)
- Attract high added-value firms and build success stories in the Gulf countries, Africa or Asia
- Develop Expertise and implement proven practices in business development or accompaniment.
We give a particular attention to companies initiatives to create meaningful job opportunities for the youth in our countries of interest.
Why building High growth businesses is very important for the Middle East, Africa, and India ?
- High Growth Companies. Across the world, high growth companies account for less than 10% of firms but generate more than 50% of the new jobs created every year. Such firms operate across industries, and tend to be innovative as well as international. They are both a source of attractive profits and an opportunity to make a strong social impact locally.
- Fast Growing Markets. The Middle East, Africa, and India will see their population increase by 1.5 billion people during our life, and will include many of the largest economies in the world in 2050. These new economies with a growing demand are very attractive but still risky to build high added-value businesses : They need to address lacks of financing or investor protection issues and, need to develop more managerial capability. We believe the right international partnerships will contribute to reduce the risks.
- Youth Employment. We believe the scale and speed of the demographic transition taking place in the MENA region, Sub-Saharan Africa and India will require an innovative approach to create the necessary new jobs in the next 15 years. It is essential to build an appropriate infrastructure to finance and develop high growth SMEs that are expected to provide most of these new jobs. However, it took 30 to 40 years to build it in the USA or Europe.
- Need to address a market gap to develop Medium Sized High Growth Companies. In the US, high growth companies enter a period of hyper growth five years after their foundation. Once they reach this inflection point ($50 m in turnover, well structured business), they take 4, 6 or 12 years to reach $1 billion in sales. We believe, more medium sized businesses in fast growing markets should be developed to accelerate their growth or enter in their period of hyper growth.