Leverage's Unique Approach: Technology-Driven Financial Consulting
Updated 8/20/2024 8:00:00 AM
Arab Finance: In Egypt, small and medium-sized enterprises (SMEs) and startups are vital to the economy, contributing significantly to employment and innovation. However, many of these businesses face financial challenges that hinder their growth potential. As they navigate a complex regulatory environment with limited access to resources, the need for expert financial consulting has become increasingly critical.
In this interview, Kareem Al Zorkani, Founder and Managing Director of Leverage, shares his vision for empowering local entrepreneurs. He discusses the innovative strategies Leverage employs to address the specific needs of businesses in Egypt and the critical role of technology in driving sustainable growth.
1-What inspired the establishment of Leverage Company in the Egyptian market? And what challenges has the company faced in this region?
Leverage was founded on a deep recognition of the financial hurdles that small and medium-sized enterprises (SMEs) in Egypt and the broader region face daily. The resilience of local entrepreneurs, despite limited resources, inspired us to strive for growth and value creation.
Our goal is to bridge the gap between ambition and execution by providing bespoke financial solutions that position SMEs as a valuable asset class.
Navigating complex regulations, overcoming technological lags, and having a limited understanding of finance pose as challenges that have strengthened our resolve to empower SMEs with the necessary tools to flourish.
2- How does Leverage's suite of services differentiate itself from competitors in the financial consulting sector?
Leverage differentiates itself by offering a fully integrated, technology-driven approach to financial management. Unlike traditional consulting firms focusing on regulatory compliance or a single facet, we combine state-of-the-art digital tools with hands-on financial expertise to deliver holistic, real-time insights and actionable recommendations.
Our services are customized to the unique pace and needs of each client, ensuring that every decision is informed and strategic. Beyond mere advice, we collaborate with our clients in decision-making and monitor the implementation of solutions that drive sustainable, profitable growth. This personalized, tech-savvy approach makes us stand out in the marketplace.
3- What role does technology play in the services provided by Leverage? And how do you see it evolving in the future?
Technology is central to everything we do at Leverage. Our digital tools, including operational modules, enterprise resource planning (ERP) systems, and virtual finance officers, enable us to provide clients with real-time data, accurate analysis, and forward-looking insights.
As technology evolves, we envision even more sophisticated AI-driven solutions that will further enhance our ability to predict market trends, optimize financial strategies, and deliver unmatched value to our clients.
We are committed to staying at the forefront of innovation to meet the evolving needs of SMEs.
4-How do you measure the success of your services in terms of client satisfaction and sustainable growth? Can you share a success story when your targets were achieved?
At Leverage, success is measured by the tangible growth and satisfaction of our clients. We focus on key metrics like revenue growth, profitability, and operational efficiency to gauge our impact.
A notable success story involves a local SME struggling with cash flow. Through our tailored financial strategy and support, the company improved its cash runway, operational cash, and profitability.
This allowed the company to weather the economic volatility of the past year while continuing to grow and invest in its team. This success is a testament to our partnership-driven approach.
5-What key metrics does Leverage focus on to assess the financial health of clients?
At Leverage, we focus on metrics that provide a comprehensive view of a company’s financial health. Key indicators include turnover growth, profitability margins, and operational cash enhancements.
By analyzing these metrics, we can identify areas for improvement and develop strategies that align with our clients’ long-term goals. This holistic approach ensures that our clients thrive in a competitive market.
6-How has the economic landscape in Egypt influenced your strategic decisions at Leverage?
Egypt’s dynamic economic landscape has significantly shaped our strategy at Leverage. Given the market conditions and evolving regulatory environment, we have adopted an agile and forward-thinking approach.
We have focused on creating flexible, scalable solutions that can adapt to economic fluctuations, ensuring that our clients are well-positioned to navigate challenges and seize opportunities. This proactive approach has been instrumental in our success in the Egyptian market.
7- Could you provide insights into the company's performance metrics, specifically regarding client acquisition, transaction volume, and mid-year financial results?
Leverage has seen strong growth in client acquisition, reflecting the high demand for our services. Our transaction volumes have doubled in half the expected time, driven by the successful implementation of our tailored financial solutions.
Mid-year financial results have shown positive trends, with significant increases in revenue, profitability, and liquidity. As we continue to roll out enhancements to our technology, we anticipate even faster growth in the coming 12 months.
8-What are the most common misconceptions clients have about financial consulting? And how do you address them?
A common misconception is that financial management is only necessary during crises. At Leverage, we stress the importance of proactive financial management. We educate our clients on the value of continuous financial planning and strategy, showing them how early intervention can prevent problems and drive growth.
Much like preventive medicine in healthcare, proactive financial management is cost-effective and has a lasting impact.
9-What advice would you give to entrepreneurs or business owners to improve their financial management practices?
My advice to entrepreneurs is to prioritize financial planning from day one. Understanding cash flow, setting realistic financial goals, and regularly reviewing financial performance are crucial to long-term success.
Do not hesitate to seek expert advice early—partnering with a firm like Leverage can provide the insights and support needed to make informed decisions and avoid costly mistakes.
In today’s environment, failure is part of the norm, and identifying it quickly and pivoting towards new strategies is the foundation of successful businesses.
10-Finally, what are your personal goals for Leverage in the next five years? And how do you plan to achieve them?
In the next five years, my goal for Leverage is to become the leading financial partner for SMEs across the MENA region.
We aim to achieve this by continuously innovating our services, expanding our technological capabilities, and deepening our client relationships. Our focus will be on building a one-stop shop for SME financial needs—from improving cash generation to financing growth and ultimately partnering with them on high-risk opportunities.
Our vision is to empower thousands of businesses to achieve sustainable, profitable growth, leaving a lasting impact on the regional economy.
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