For investors

How a startup
round works.

Startups raise money in stages, and each stage asks investors to judge something different. Here is what the stages mean, how a market is sized, what traction is, and where the hads_ products stand today.

The stages.

Each round pays for the next set of milestones. Its name tells you how far along the company is.

The rounds our products are raising now.

  1. banana24: SAR 6M

    Pre-seed

    An idea, a team and a first product.

    The company has
    A prototype or first version, and early users or pilots.
    The money is for
    Building the product and finding the first customers.
    Usually from
    Founders, friends and family, angel investors and accelerators.

  2. yourspace: SAR 3M

    Seed

    A product people use.

    The company has
    A launched product with real usage and early revenue.
    The money is for
    Proving people keep paying, and finding a repeatable way to sell.
    Usually from
    Angels, angel networks and seed funds.

  3. tap&eat: SAR 10M

    Series A

    A business that works, ready to scale.

    The company has
    Paying customers, recurring revenue and a product in daily use.
    The money is for
    The team, technology and sales to grow fast across its market.
    Usually from
    Venture capital funds, often with one fund leading the round.

  4. Series B

    Scaling what works.

    The company has
    Strong revenue growth and a proven way to win customers.
    The money is for
    New cities, countries and customer segments.
    Usually from
    Larger venture funds and growth investors.

  5. Series C and later

    Leading the market.

    The company has
    A leading position and a clear path to profit or a listing.
    The money is for
    Acquisitions, new markets and preparing to list.
    Usually from
    Growth funds, private equity and strategic investors.

How big is the market?

Investors size a market three ways: from everything spent on this kind of product, down to what one company can realistically win.

TAM Total addressable market
Everything spent on this kind of product, if every possible customer bought it.
SAM Serviceable available market
The part of TAM the company can actually serve, with its product, in its region.
SOM Serviceable obtainable market
The share of SAM it can realistically win in the next three to five years.

Our markets, in Saudi Arabia.

tap&eat

Software for restaurants and cafés.

TAM
SAR 89.3 billionRestaurant sales in Saudi Arabia in 2023, up 13.7% on the year.
SAM
112,000+Active restaurants and cafés in 2024, double the number in 2021. At the Basic plan’s SAR 2,899 a year, that is about SAR 325 million a year in subscriptions alone.
SOM
Shared when we talk.

Sources: SAMA monthly bulletin, via Arab News; Mukatafa, via Okaz.

yourspace

Spaces by the hour, the night or the year.

TAM
SAR 5.9 billionThe flexible office market in Saudi Arabia in 2025 (USD 1.56 billion, an industry estimate).
SAM
8,357Private hospitality licences issued in 2024: stays that can be listed and booked by the night.
SOM
150+Partner spaces targeted in the first 12 months of the seed round.

Sources: Mordor Intelligence; Ministry of Tourism, via Arab News; hads_ target.

banana24

Brand-sponsored games and tasks.

TAM
SAR 9.4 billionAdvertising spend in Saudi Arabia in 2025, up 10.5% on the year.
SAM
25.8 millionGamers in Saudi Arabia in 2024, in a games market worth about SAR 4.5 billion.
SOM
Shared when we talk.

Sources: GMedia and Oxford Business Group, via Campaign ME; Savvy Games Group, via Arab News.

What is traction?

Traction is proof that people want the product: they use it, pay for it and come back. At early stages it matters more than market size.

What counts at each stage.

  • Pre-seed.

    Sign-ups, pilots with real customers, and letters of intent.

  • Seed.

    Active users, the first paying customers, and how many keep using it.

  • Series A.

    Recurring revenue, month-on-month growth, and what a customer costs to win against what they pay over time.

  • Series B and later.

    Revenue at scale, healthy margins and a growing share of the market.

Where our products are today.

  • tap&eatIn service since 2021, with six live apps and restaurants in Riyadh ordering through it today.
  • yourspaceLaunched on the App Store in 2020. yourspace 2.0 is in development.
  • banana24In private beta, with six branded games ready.

Detailed figures are shared when the hads_ team gets in touch.

Terms you’ll hear.

What is a valuation?

What the company is agreed to be worth when investors buy in. Pre-money is the value before the new money arrives; post-money is the value after, so post-money equals pre-money plus the amount raised.

Can a company raise without a valuation?

Yes. Early rounds often use a SAFE or a convertible note: the investor puts money in now, and it turns into shares at the next priced round, usually with a valuation cap (the most it can convert at) and sometimes a discount.

What is dilution?

When new shares are issued in a round, every existing shareholder owns a smaller percentage of a company that is now worth more. Each round dilutes earlier investors a little.

What is a lead investor?

The investor who commits first and usually the largest amount, agrees the terms with the company, and often takes a board seat. Other investors then join on the same terms.

What is use of funds?

How the company plans to spend the round, usually as shares of the total. tap&eat’s Series A, for example, puts 75% into team and talent, 15% into technology and growth, 5% into operations and keeps 5% in reserve.

Ready to talk?

Register your interest on any product page, and the hads_ team will get in touch to talk through the round.

tap&eat yourspace banana24

Non-binding. No payment is taken on this site.