As part of its Economic & Social Development strategy, molding a vibrant business sector that overall is set to contribute SAR 120 Bn and generate 38,000 new jobs by 2035, the Royal Commission for AlUla (RCU) has partnered with AstroLabs to launch the 2-year Vibes AlUla SME Enablement Programme, which graduated its second cohort in October of this year.

 “The Vibes AlUla SME Enablement Programme, in collaboration with AstroLabs, is a key driver of economic growth in AlUla. RCU strongly believes in the role of SMEs in unlocking the full potential of AlUla as the world's largest living museum. Over the past two cohorts, the programme surpassed expectations in building strategic partnerships, creating jobs, introducing digital innovation, and invigorating the SME ecosystem with AlUla’s rising entrepreneurs. The diligence and hands-on approach of the AstroLabs team in working with our SMEs to unlock their full potential is commendable. Hearing entrepreneurs pitch their businesses with confidence, and professional visual aids was an astonishing closure of the second cohort," said Abobakar A Alanazi, SME Enablement Programme Manager at the Royal Commission for AlUla.

This first-of-its-kind programme is enabling and accelerating the growth of SMEs in AlUla by designing accelerated business tracks that provide business and market analysis, mentorship, optimisation, and market outreach, as well as partnership establishment and strategy execution. With more than 30% of Saudi SMEs currently based in Riyadh, AlUla provides attractive opportunities for SMEs to set up and operate in an uncharted market.

“In this pivotal moment for Saudi Arabia’s economic transformation, the active role played by RCU in invigorating and supporting its SME sector provides an immense opportunity for emerging businesses to design and unlock their true potential as active agents of innovation, economic contributors, and, eventually, the bustling engine of AlUla’s local business community. While the programme has already achieved two of its key milestones, including the number of commercial registrations established and job opportunities created, it has also achieved success in the level and intricacy of local SME offerings and the numerous digital transformations that have occurred over the past year. Upon the graduation of our second cohort, I’m happy to welcome the 29 SMEs to our extended AstroLabs community and support networks, and more importantly, welcome the next generation of business excellence in AlUla,” said Roland Daher, CEO of AstroLabs.

AstroLabs has designed the programme to invigorate SMEs in critical sectors that not only serve under Saudi Vision 2030’s economic diversification efforts but also encourage AlUla’s rich heritage and invaluable natural resources. Engaging with SMEs operating in travel & tourism, e-commerce, Food & Beverage, and Agriculture, amongst others, the programme enables entrepreneurs to leverage local networks and key stakeholders while elevating current business models to capitalise on the market’s early-entry opportunities.

The second cohort of SMEs under the Vibes SME Enablement Programme underwent an immersive 3-phased cycle designed intricately by AstroLabs to focus on strategy, optimisation, execution, and mentorship, resulting in the creation of 38 new job opportunities, the launch of 36 new products, the establishment of 15 new commercial registrations, the launch of two new equestrian farms, and the establishment of 85 strategic partnerships to support the companies in their scaling strategies.

With invaluable private and public support, the SME sector observed 15% YoY growth over Q1 2022 to reach 750,000+ active businesses in Saudi Arabia, and as a result, recruiting more than 66% of the current private sector workforce as reported by Saudi’s SME General Authority Monsha’at.

In AlUla, the Vibes AlUla SME Enablement Programme was keen on fostering local employment, where 20% of the participating companies in both cohorts were first-time employers, and Saudi nationals consisted of 78% of all programme employment opportunities. More importantly, the programme helped scale local SMEs to serve international market demand, with nine participating companies exporting to 10 global markets and capitalising exponentially on market penetration, generating more than SAR 6.6M in revenues over the last two cycles. The programme also broadened the local entrepreneurial diversity, with 56% female founder participation.

While RCU has been the backbone for the integration and growth of the selected businesses, driven by AstroLabs acceleration tracks, the programme aims to create an autonomous community of emerging companies with the elevated know-how and entrepreneurial mindset needed to become crucial agents of unlocking AlUla’s economic potential. It establishes a self-evolving business ecosystem that integrates across industries and value chains and institutes a continuous pipeline of lucrative opportunities.