PayDay Secures $3M Pre-Seed to Revolutionise Salary Advances in MENA

Editorial Team

Last updated 15-10-2025

2 min

Tunisian fintech PayDay grabs USD 3 million in pre-seed funding, led by UGFS.

Founded by Dr Mohamed Anwar Kadoum, it digitises salary advances and manages employee insurance.

Plans include scaling beyond Tunisia, strengthening technology, and promoting ethical financial solutions.

Challenges persist due to varying regulations, but PayDay aims to offer financial relief across MENA.

PayDay's funding bolsters its mission to ease worker financial pressure and promote inclusive fintech.

Tunisian fintech startup PayDay has secured a solid USD 3 million in its pre-seed funding round, with United Gulf Financial Services (UGFS) leading the charge. The round also drew support from TALYS and Bioprotection—both known for backing early-stage ventures in Tunisia’s tech scene.

Founded earlier in 2024 by Dr Mohamed Anwar Kadoum, PayDay focuses on digitising salary advance requests and managing group employee insurance. The idea is fairly simple but quite spot on: make life easier for both employers and employees by cutting down admin work and offering financial relief without dipping into credit or interest-based products. I reckon that’s a breath of fresh air in a region where short-term financial stress often goes unaddressed.

With this latest boost, PayDay plans to scale its operations beyond Tunisia. The strategy? Strengthen the platform’s technology backbone, reach new customer segments, and double down on ethical financial solutions that prioritise inclusion. Kadoum, in a statement shared with several outlets, said the company’s main goal is “to provide financial protection and improve the economic well-being of low- and middle-income earners through solutions that combine insurance with cooperative finance.”

That said, rolling out such services at scale can be a bit of a faff—especially when each market has its own regulations and cultural nuances about money and insurance. Still, given the timing, PayDay seems to be surfing the right wave. Across MENA, we’re seeing a real appetite for fintechs tackling everyday financial pain points rather than just flashy neobank apps. And, believe it or not, Tunisia’s fintech ecosystem is starting to punch above its weight.

At Arageek, we’ve often spoken with founders juggling multiple roles in young startups, wearing both the technical and financial hats. It’s tough, but seeing ventures like PayDay move from idea to funded reality reminds me of how quick the MENA startup landscape is maturing. I’m definately curious to see how far they can push their salary advance model without compromising on their ethical finance stance.

For now, PayDay’s USD 3M round sets it up nicely to make a regional play—keeping its promise to ease financial pressure on workers while proving that fintech can care about more than just profits.

🚀 Got exciting news to share?

If you're a startup founder, VC, or PR agency with big updates—funding rounds, product launches 📢, or company milestones 🎉 — AraGeek English wants to hear from you!