XSquare raises pre-Seed round to expand into Saudi Arabia

XSquare, a UAE-based B2B payment orchestration startup, has closed an undisclosed pre-Seed funding round led by Raed Ventures, with participation from AngelSpark, 500 Global and Oraseya Capital, per Wamda. The announcement was made on August 20, 2026.

The round includes Oraseya Capital, described by Wamda as a Dubai government-backed venture fund. XSquare plans to use the capital to expand its payment rail and banking partnerships, grow its engineering and commercial teams, and begin operations in Saudi Arabia. The company is also deploying Mastercard's B2B payments product, enabling card-funded supplier and vendor payments that settle directly to bank accounts, targeting government bodies and large corporate clients.

Founded in 2023 by Tanvir Shah and Ashwin Shenoy, XSquare builds what it describes as the region's first and only payment orchestration layer built purely for B2B. The platform unifies multiple payment rails — including Telr, Geidea, VaultsPay, Spare and Tess Payments — behind a single integration, letting businesses collect, pay and reconcile across providers without managing separate systems. This pre-Seed follows an earlier funding round from AngelSpark earlier in 2026, also for an undisclosed amount, as noted by Wamda.

XSquare is currently live in the UAE and Qatar. Its Qatar presence includes a foothold at the Qatar Financial Centre (QFC) and partnerships with banks and regulated payment partners in Doha, which Wamda describes as the company's first cross-border expansion and a foundation for a wider GCC footprint. "B2B payments in this region have been underserved for too long, forced onto tools built for consumer markets," Shah, co-founder and CEO, said in the announcement.

Saed Nashef, Founding Partner at Raed Ventures, cited the company's early traction with banks, government entities and enterprise clients, alongside progress on the Mastercard B2B programme, as the basis for leading the round. With Saudi Arabia next on the roadmap, XSquare is positioning itself as infrastructure for the GCC's business payments stack — a market Raed Ventures characterized as "large and still largely untapped," per Wamda.