Startup Spotlight: US-Headquartered BigDot Enters The UAE Market With A Promise To Digitally Empower SMEs "BigDot is on a mission to empower small and medium businesses to run profitable operations without relying on resource-heavy aggregators," says founder and CEO Mahesh Prajapati.
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This article is part of an ongoing series covering startups that have been a part of the Mohammed Bin Rashid Innovation Fund (MBRIF) accelerator program.
Positioning itself as the "ultimate super app for small businesses," US-headquartered BigDot was incorporated in 2021 with a mission to help small and medium enterprises (SMEs) digitally transform and grow their brands. "We empower small enterprises to break free from aggregators, own their customer relationships, and eliminate commission fees," explains Mahesh Prajapati, founder and CEO of BigDot. "Using the BigDot platform, businesses can boost sales, and drive growth effortlessly. Our goal is to become the go-to operating system for small businesses worldwide, enabling them to thrive in the digital marketplace. Our global headquarters is in the United States, and our regional head office for the Middle East and Africa is in Dubai. We also have offices in Qatar, Kuwait, and India."
BigDot's decision to choose the UAE as its regional headquarters should perhaps come as no surprise. In April 2024, following a number one global ranking for the third consecutive year by the Global Entrepreneurship Monitor report for 2023-2024, the UAE's Minister of Economy, H.E. Abdulla bin Touq Al Marri, renewed the government's vow to provide support to SMEs while acknowledging "their key role in fostering a competitive knowledge-based economy." At the end of 2022, the number of SMEs in the UAE stood at 557,000, accounting for 63.5% of non-oil the UAE gross domestic product. BigDot's entry into this market thus comes at a pivotal time. "A happy small business [sector] leads to a happy economy," Prajapati adds. "That's why governments and financial institutions worldwide are focused on micro, small and medium enterprise (MSME) empowerment. BigDot is on a mission to empower small and medium businesses to run profitable operations without relying on resource-heavy aggregators, contributing to a less cash-dependent economy. Of course, serving the bottom of the pyramid is challenging, but our drive comes from the significant impact we can make on the broader economy through BigDot."
Source: BigDot
BigDot has thus set out to achieve its goal of SME empowerment through a three-pronged strategic approach. "The first is digital transformation, through which we provide tools that help MSMEs build a digital brand, sell online, book appointments, engage non-stop with customers, and stay regulatory-compliant," Prajapati says. "Our second offering is frictionless e-payment solutions that allow businesses to accept both card-present and card-not-present payments seamlessly. Apart from regular transactions, we integrate hitherto untapped, small transactions into the e-payments ecosystem, making digital transactions convenient for both customers and businesses. Our commitment to creating a less-cash economy is at the core of our mission. Third, and finally, we offer financial inclusion tools wherein we enable access to financial services through the BigDot Blockchain."
All of these services, Prajapati says, have been built by solely keeping the digital needs of MSME merchants at the forefront—which is also precisely what the founder believes is his startup's most important differentiating factor. "From the outset, our focus is on increasing the revenues and profits of small businesses through digital transformation," he reiterates. "With BigDot, small businesses own their customer relationships, pay no commissions, and keep all their profits. However, BigDot is not just a digital transformation platform; it also provides a strategic roadmap for small businesses to grow. We offer a suite of nine premium quality, interoperable tools, including a unique customer engagement platform that supports physical, digital, and social engagements. BigDot is thus easy to use, affordable, and extensible, positioning itself to become the de-facto operating system for MSMEs in the near future."
With this operating model, BigDot has six main streams of revenue: sales of BigDot products/services, commissions on digital payments, advertisements that are placed on BigDot's marketplace, lead generation from its aggregator platforms, value-added services on the BigDot platform, and lastly, customization options that can tailor online interactions to meet individual customer needs. "We also leverage artificial intelligence to provide targeted and personalized recommendations and offers," Prajapati adds. "With these six key channels, BigDot operates on a recurring revenue model, with most products and services requiring annual renewal. This diversified revenue model ensures sustainable growth and continuous support for our small business clients."
Sudhir Devappa (left) is the Chief Technological Officer, and Mark Risch (right) is the Chief Financial Officer of BigDot. Source: BigDot
Having successfully onboarded 30,000 small businesses onto its platform since 2023, BigDot currently has 11,000 active clients using it, and approximately 2,000 paying customers. "To date, we have raised a modest US$1 million in investments, primarily from friends and family," Prajapati adds. "Our team is notably diverse, with over 50% female members in our 40-person team. Our presence spans 20 countries in the Middle East and Africa alone, and we've recently partnered with a premium bank in Qatar to roll out BigDot across the entire nation. Although BigDot is a global company, our current focus is on the Middle East and Africa, which present unique challenges due to their specific language, cultural demands, and developing regulatory and digital infrastructure."
In expanding its operations across the UAE, BigDot has found a reliable ally in the MBRIF Innovation Accelerator program. "Being a part of the MBRIF's eighth cohort makes our association with Dubai even sweeter," Prajapati says. "The quality of mentorship we've received so far has been incredible. There are three top outcomes we expect from this program: access to key partners such as telcos, MSME-focused banks, and government departments; strengthening and establishing our brand for a global launch; and securing essential financial support and access to funding for our growth."
With these goals in mind, and a definitive business model in place, Prajapati is assured that his startup is well prepared to create a tangible impact on not just the regional market, but beyond it too. "BigDot is a company to watch for its remarkable growth potential, impactful initiatives, and dedication to creating a happy economy supported by thriving small business owners," he declares. "With our innovative solutions and focus on empowering MSMEs, we are poised to make a significant difference in the global market."
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