Meet the woman with a Dh1 billion fund: A venture capitalist with a soul?

Najla Al Midfa launched Emirates Growth Fund this week to support SMEs in the UAE

Meet Najla Al Midfa, the woman behind one of the biggest growth funds in the UAE, who is supporting the small and medium-sized enterprise (SME) sector.

Every entrepreneur who, through sheer determination – blood, sweat, and tears – has grown their business to the cusp of profitability and maybe, even into the black, ought to meet her.

It’s profitable, it’s growing, and it’s yours. You don’t want to give up control, but you need capital to take the next big step, is the message Ms Al Midfa, vice chairwoman and managing director of the Emirates Growth Fund, wants to send out to the SMEs out there seeking funding.

Ms Al Midfa, this week, launched the Dh1 billion initiative designed to bridge the critical funding gap for SMEs.

Her vision and target for EGF are clear. There is $2 billion in unrealised home-grown potential in the UAE, and EGF wants to "unleash those ambitions".

Asked if she was essentially a venture capitalist with a soul, Ms Al Midfa jokingly said: “You can say that ... private equity with a soul is a tag line that works.”

But patience is the key mantra with this investor. Yes, they have returns to make, but they have latitude, maybe up to seven years, she told The National at the Make it in the Emirates forum this week.

EGF is built to fill the gap between early-stage venture capital and late-stage private equity. SMEs often fall into this middle ground – too mature for venture capitalists, but not quite the right fit for private equity. That’s where EGF comes in.

Why this matters

SMEs make up 94 per cent of the UAE’s business landscape and employ more than 86 per cent of the private-sector workforce. Yet, many struggle to find the kind of capital needed to scale. EGF is here to change that.

Ms Al Midfa and her team don’t just look at numbers – they look for chemistry. They aim to build partnerships, offer patient capital, and support long-term growth. Think of it as smart money with a human touch.

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What they are looking for

EGF is focused on five core sectors aligned with the UAE’s Operation 300bn initiative: manufacturing, food security, health care, sustainability and advanced technology.

The fund’s goal is to support businesses that contribute to the UAE’s GDP in a meaningful, ongoing way.

More than just money

Traditional venture capitalists seek quick exits – usually within three to five years. EGF, in contrast, is willing to wait seven to eight. They understand that real growth takes time. Exit options may include trade sales, secondary sales to larger private equity firms, IPOs – or even founders buying back their own companies once they’ve scaled.

EGF is not chasing unicorns or moonshots. They’re building a portfolio of quality businesses for the long haul.