Ghada Ismail

Most startups don’t fail because they lack ideas. They fail because they misjudge how efficiently they turn what they own into revenue.

In the rush to grow, founders often focus on how fast money is coming in, while paying far less attention to how hard their assets are actually working. Office space sits half-used. Software tools pile up. Teams expand faster than output. On paper, the startup looks like it’s growing. In reality, its engine may be inefficient.

This is where the Asset Turnover Ratio quietly steps in. It doesn’t care about hype, valuation, or future promises. It asks one simple, uncomfortable question: How much revenue are you actually generating from the assets you already have? For startups operating on limited capital and tight runways, the answer can be revealing, and sometimes alarming.

What Is Asset Turnover Ratio?

The Asset Turnover Ratio measures how efficiently a business uses its assets to generate revenue. It shows how much revenue is produced for every unit of assets owned by the company.

The formula is simple:

Asset Turnover Ratio = Revenue ÷ Average Total Assets

If a startup generates SAR 2 million in revenue and holds SAR 1 million in total assets, its asset turnover ratio is 2. This means the company generates SAR 2 in revenue for every riyal invested in assets.

In general, a higher ratio indicates stronger operational efficiency, while a lower ratio suggests that assets may not be used to their full potential.

Why Asset Turnover Ratio Matters for Startups

Startups rarely have excess resources. Capital is limited, margins are thin, and every investment—whether in people, technology, or infrastructure—needs to prove its value quickly.

The asset turnover ratio helps founders understand whether their business model is genuinely efficient or simply growing heavier over time. It highlights whether assets are actively contributing to revenue or quietly becoming cost centers.

For investors, this metric offers insight into execution quality. A startup that generates strong revenue relative to its asset base signals discipline, thoughtful scaling, and smarter capital allocation, qualities that matter far more than growth alone.

Interpreting High and Low Asset Turnover Ratios

A high asset turnover ratio often reflects a lean, well-optimized business. Digital startups, SaaS platforms, and marketplace models typically perform well because they generate revenue without heavy physical infrastructure. High turnover suggests that the startup is maximizing output from minimal resources.

A low asset turnover ratio is not necessarily a red flag on its own. Asset-heavy startups in sectors such as manufacturing, logistics, or hardware development often show lower ratios, especially in early stages. The real concern arises when assets continue to grow while revenue lags behind, signaling inefficiencies or premature expansion.

What matters most is what happens next. Improving turnover over time indicates that the startup is learning how to scale more efficiently.

How Startups Can Improve Asset Turnover

Improving asset turnover is not about cutting costs aggressively. It is about making smarter decisions with existing resources.

Startups can focus on increasing revenue before acquiring new assets, delaying major capital expenditures until demand is validated, and outsourcing non-core functions instead of owning everything in-house. Regularly reviewing underperforming assets—whether tools, systems, or physical resources—also helps prevent unnecessary drag on performance.

Ultimately, the goal is not to own fewer assets, but to ensure that every asset actively supports growth.

Putting Asset Turnover in Context

No single metric tells the full story. Asset turnover should be viewed alongside profitability, cash flow, and growth indicators. A startup can be efficient but unprofitable, or profitable but inefficient. The real insight comes from understanding how these metrics work together.

For founders, asset turnover serves as a reality check. It keeps ambition grounded in execution and encourages smarter scaling rather than reckless expansion.

Wrapping Things Up…

At its core, the asset turnover ratio is not just a financial metric, but rather a discipline check.

It forces founders to ask whether growth is being built on smart execution or on accumulating more resources than the business can justify. High turnover reflects a startup that knows how to extract value before spending more. Low turnover, if ignored, quietly erodes runway long before cash flow problems become obvious.

In a startup landscape where capital is no longer unlimited, the businesses that survive will not be the ones that own the most assets, but the ones that use what they own best.

Kholoud Hussein 

In the startup world, building a product is only half the battle. The other half is making sure it works in the real world. That’s where alpha and beta testing come in.

For early-stage companies, these testing phases are not technical formalities. They are risk-management tools. They help founders validate assumptions, uncover weaknesses, and refine user experience before a full public launch. Done properly, alpha and beta tests can mean the difference between a controlled rollout and a costly failure.

What Is Alpha Testing?

Alpha testing is the first structured round of product testing. It usually happens after internal development is complete but before the product reaches external users.

At this stage, the product may be functional but not polished. Features might be incomplete. The interface may still need refinement. Bugs are expected.

Alpha testing is typically conducted internally by the startup’s team, along with a small, controlled group of trusted users. These may include employees, close partners, advisors, or early supporters. The goal is to identify major technical flaws and usability issues before exposing the product to a broader audience.

This phase focuses on stability and core functionality. Does the platform crash? Do essential features work as intended? Are there obvious friction points in navigation?

Because the testing environment is controlled, feedback tends to be direct and detailed. Developers can observe user behavior closely, fix bugs quickly, and release multiple iterations in a short period of time.

For startups, alpha testing is about protecting reputation. Launching publicly with obvious technical failures can damage trust early. Alpha testing minimizes that risk.

What Is Beta Testing?

If alpha testing is internal, beta testing is external.

Beta testing involves releasing the product to a limited group of real users outside the company. These users represent the target market more accurately. They are not part of the founding team, and they interact with the product in real-world conditions.

Unlike alpha testing, beta testing examines more than technical performance. It evaluates user experience, product-market fit, and perceived value.

Key questions during beta testing include:

• Do users understand the product without explanation?
• Are they willing to pay for it?
• Which features do they actually use?
• Where do they drop off?

Beta testing can be closed, meaning access is by invitation only, or open, where anyone can sign up. Early-stage startups often prefer closed beta programs to manage feedback and maintain control.

This phase generates critical data. It reveals whether assumptions about customer behavior were correct. It also surfaces issues that internal teams may overlook, especially around user expectations and workflows.

The Strategic Role of Testing in Startup Growth

For startups operating with limited capital and time, alpha and beta tests are not optional. They are part of a disciplined launch strategy.

Testing reduces uncertainty. Instead of betting everything on a full-scale launch, founders collect evidence first. They identify weak points before marketing budgets are deployed. They adjust pricing models before scaling sales teams.

In lean startup environments, alpha and beta testing align closely with the build-measure-learn cycle. Each testing round provides measurable insight that informs product decisions.

Importantly, testing is not just about fixing problems. It is also about discovering opportunity. Many successful startups refine their value proposition during beta testing. Users may gravitate toward a feature that was initially secondary. Pricing strategies may evolve. Target segments may shift.

This flexibility is critical in early growth stages.

Common Mistakes to Avoid

Despite their importance, alpha and beta tests are often mismanaged.

One common mistake is rushing through testing to meet artificial launch deadlines. Compressed testing phases reduce feedback quality and increase post-launch risk.

Another mistake is ignoring negative feedback. Founders can become attached to product assumptions. Testing only works if feedback drives change.

A third issue is testing with the wrong audience. If beta users do not reflect the intended customer base, insights may be misleading.

From Testing to Launch

Alpha and beta testing are bridges between development and commercialization. They transform a product from a concept into a market-ready solution.

For investors, thorough testing signals discipline. For customers, it improves reliability. For founders, it provides clarity.

In competitive markets, speed matters. But controlled speed matters more. Startups that treat alpha and beta testing as strategic milestones, rather than procedural checkboxes, increase their odds of building products that not only launch successfully, but scale sustainably.

In the end, alpha and beta tests are about learning before scaling. And for startups, learning early is one of the few true competitive advantages.

Noha Gad

The insurance market in Saudi Arabia is growing rapidly, becoming the largest in the Middle East and North Africa (MENA) region. Propelled by the ambitious Vision 2030, the insurance industry is moving from a traditional, compliance-driven market to a dynamic, technology-enabled ecosystem that is ready for global competition.

During the first half (H1) of 2025, the Saudi insurance sector maintained solid momentum with insurance revenue rising 8.1% to SAR 34.7 billion, assets growing 4.5% to SAR 91.96 billion, and equity expanding 4% to SAR 28.4 billion, as stated in a recent report released by Milliman, the global consulting firm based in Seattle.

Another study conducted by Global Data, the UK-based consultancy firm, anticipated the Saudi insurance industry to see a compound annual growth rate (CAGR) of 5.2% until 2028, reaching SAR 83.7 billion. This rise, the study said, will be fueled by the Kingdom’s shift towards other sectors to reduce dependence on an oil-based economy, along with other factors, including a young, tech-savvy population, trillion-dollar infrastructure and giga-project investments, and a series of forward-thinking regulatory reforms.

Digital transformation serves as the primary catalyst. The adoption of emerging technologies demonstrates the market’s readiness for scaled digital operations. Insurers are leveraging AI-driven underwriting, exploring blockchain for claims processing, and adapting to a landscape in which consumers demand personalized and seamlessly accessible products.

Embedded insurance represents a fundamental shift in how insurance is distributed and consumed. In essence, it is the seamless integration of insurance coverage into the purchase process of another product or service. Instead of a customer having to search for a separate policy from an agent or a dedicated website, protection is offered, or even included, at the exact moment of need, within a digital ecosystem they are already using and trust. This model leverages technology, primarily application programming interfaces (APIs), to connect insurers with non-traditional partners like retailers, telecoms, fintech platforms, and mobility providers. 

It offers a win-win proposition for all parties: customers gain convenient and relevant protection without additional effort; partner companies create new revenue streams and deepen customer loyalty; and insurers access new customer segments and lower their acquisition costs. 

As the Kingdom moves steadily towards Vision 2030 goals, this model of intelligent, integrated, and invisible protection is poised to play a pivotal role in revolutionizing the insurance industry in Saudi Arabia and transforming the sector from a passive financial safety net into an active, embedded part of everyday life.

Traditional and embedded insurance 

For traditional insurance models, insurers invest heavily in marketing and sales channels to push their products toward consumers, while customers must expend effort to find, compare, and purchase a policy. However, embedded insurance is seamlessly integrated into the customer journey of purchasing another product or service.

Finding good insurance means filling out long forms, getting medical checks, and waiting a long time. Embedded insurance transforms this by embedding protection into everyday digital flows, creating a frictionless, app-native experience without requiring a separate trip to an insurance site.

Embedded insurance uses partnerships to gain access to up-to-date data. This lets it offer exact, custom coverage that old-school insurance cannot match. 

Impacts of emerging technologies on insurance services in Saudi Arabia

The application of emerging technologies has significantly changed how insurance firms work in terms of speed and adequacy of benefit delivery. Key innovations driving this change are:

• Machine learning (ML). Thanks to their ability to handle massive data, ML innovations can offer quick risk assessment, improved client back, and lower operational costs.
• Big Data. Insurers utilize Big Data to progress decision-making, offer tailored insurance products, and enhance client experiences.
• Blockchain technology. It significantly enhances transparency, reduces fraud, and streamlines processes.
• Internet of Things (IoT) technologies provide real-time data for exact risk evaluation and proactive loss prevention.

Additionally, AI plays a strategic role in reducing uncertainty, improving risk measurement, and enhancing capital deployment. When applied correctly, AI can drive more granular underwriting segmentation, provide real-time portfolio and accumulation monitoring, and enhance smarter reinsurance and capital optimization.

Yasmina AI is the first AI-powered embedded insurance platform in Saudi Arabia, helping insurers eliminate the friction of offering protection. Trusted by over 67 online businesses and insurance companies, Yasmina AI helps clients deliver seamless coverage at the perfect moment to protect their customers.

The platform transforms how insurance is delivered across digital platforms by offering seamless API integration that enables digital businesses to provide personalized insurance at checkout in less than 48 hours.

Embedded insurance shows the visible change in how and where customers get protection, while AI-driven Insurance-as-a-Service(IaaS) is the invisible engine powering it all. Through this platform-based model, insurers can offer their capabilities via APIs to non-insurance brands. This transforms the insurer from a final destination into a behind-the-scenes enabler. IaaS platforms allow insurers to offer coverage to partners on a flexible, pay-per-use or subscription basis, making it ideal for the short-term, activity-specific coverage often demanded in embedded contexts.

In Saudi Arabia, this model is gaining traction, with major players and innovative partnerships demonstrating its real-world application. Rommana is the first IaaS platform in Saudi Arabia to offer comprehensive solutions that equip businesses with all the essential tools they need to effortlessly sell, manage, and renew insurance policies. Rommana’s AI-powered solutions help insurers transform insurance operations by automating claims, reducing costs, and enhancing efficiency. Equipped with a comprehensive full-stack infrastructure, Rommana’s API ensures seamless connections, making the process both cost-effective and durable.

The integration of AI into the Saudi insurance sector is driving a profound dual transformation, making protection more personal, accessible, and proactive, and revolutionizing insurance’s technical core. These two outcomes are two sides of the same coin. Better risk assessment, powered by richer data and more sophisticated analytics, enables the personalization and fairness that customers increasingly demand. By analyzing vast databases, from shopping habits and lifestyle choices to driving behavior and health metrics, AI enables insurers to create highly personalized products that fit an individual's actual risk profile and needs.

In conclusion, the insurance sector in Saudi Arabia is rapidly emerging as a defining force in the global financial landscape, moving decisively beyond the era of friction-laden paperwork and distant, transactional relationships. At the heart of this transformation is the convergence of two powerful forces: embedded insurance and IaaS. Embedded insurance revolutionized the customer journey, pulling protection out of siloed distribution channels and shifting it directly into the digital pathways of daily life transactions, from e-commerce checkouts to mobility applications and fintech platforms. Additionally, IaaS platforms provide the invisible infrastructure that makes this seamless integration possible, while empowering insurers to offer their core capabilities as modular, on-demand services.

The ultimate beneficiary of this technological revolution is the customer. By harnessing richer data and more sophisticated analytics, Saudi insurers can move beyond one-size-fits-all products to create coverage that is dynamically aligned with individual risk profiles and lifestyles.

Ghada Ismail

As artificial intelligence moves from experimentation to enterprise-wide deployment, Egyptian organizations are entering a decisive phase of digital transformation. In this interview, Hossam Seifeldin, Executive Vice President and CEO of Capgemini in Egypt, shares his perspective on how generative and agentic AI are set to reshape operations, competitiveness, and talent development over the next five years.

Drawing on Capgemini’s expanding footprint in Egypt and its role as a global delivery hub, Seifeldin discusses the technologies poised to have the greatest impact, how consulting and technology firms must adapt their business models in an AI-driven economy, and what truly differentiates Capgemini’s approach to digital transformation. He also highlights the company’s growing focus on youth empowerment, skills development, and public-private partnerships as Egypt positions itself as a regional hub for advanced technology and innovation.

Generative and agentic AI are reshaping enterprise operations globally. How do you expect these technologies to transform Egyptian organizations over the next five years?

We are entering a new phase where AI is no longer experimental; it is a practical, scalable driver of real business value. Over the next five years, generative and agentic AI will reshape how Egyptian organizations operate, make decisions, and engage with customers.

Globally, companies moving from pilots to full-scale AI deployments are seeing measurable returns, with average ROI of 1.7x and cost reductions of 26–31% across functions like finance, supply chain, HR, and customer operations. AI is now a strategic business asset delivering efficiency and growth simultaneously.

Sectors such as banking, telecom, healthcare, retail, and especially hospitality and tourism — a cornerstone of Egypt’s economy — will benefit significantly. In tourism, AI can enable personalized visitor journeys, immersive experiences, predictive destination management, and sustainable resource planning. Initiatives like our “Hack the Future of Tourism in Egypt… Make it Real!” engage students to create practical AI solutions, from virtual tour guides to smart travel platforms.

Ultimately, AI will help Egyptian organizations compete globally, unlock new services and revenue streams, and foster a culture of continuous innovation, positioning Egypt as a growing hub for AI-driven transformation.

How is Capgemini evolving its business model to remain competitive amid accelerated AI adoption across industries?

Capgemini is evolving through a multi-dimensional strategy designed to lead in an AI-driven economy. We are investing heavily in advanced AI, cloud, and data capabilities while strengthening partnerships with global technology leaders and local institutions.

In Egypt specifically, we are establishing a dedicated AI Center of Excellence that brings together elite solution architects, data scientists, and engineers to deliver end-to-end AI solutions to global clients. This reinforces Egypt’s role as a global delivery hub for innovation and advanced technology services.

We are equally focused on talent. Since launching operations in Egypt in 2022, our team has grown from 40 to more than 1,000 professionals, with plans to reach 1,700 by the end of 2026. Through continuous reskilling and programs such as our Young Professionals Program, we are ensuring our workforce can design and implement responsible, scalable AI solutions that deliver measurable value for clients worldwide.

What emerging technologies do you see as most transformative for your clients over the coming period of time? How is Capgemini preparing for these shifts?

While generative and agentic AI remain at the forefront, several complementary technologies will be highly transformative for our clients, including advanced analytics, immersive technologies such as AR and VR, edge computing, blockchain, and in the longer term, quantum computing.

Capgemini is preparing by investing in innovation labs, strengthening collaboration with universities and startups, and expanding research and development capabilities. With our proven methodologies and deep industry knowledge, we partner with leaders to turn AI into a competitive advantage and a driver of sustainable growth.

In your view, what differentiates Capgemini’s approach to digital transformation from other major consulting and technology services firms?

What truly differentiates Capgemini’s approach to digital transformation is that we see technology not as an end goal, but as a human-centric enabler of sustainable business and societal impact.

We deliver end-to-end transformation — from strategy and design to implementation and scaling — ensuring measurable outcomes and long-term value for our clients. What makes our Egypt operations particularly distinctive is our role as a global delivery gateway: from here, we provide 24/7 services in multiple languages and support clients across diverse sectors, including telecom, retail, pharmaceutical and hospitality.

By combining global expertise with strong local talent and ecosystem partnerships, Egypt has become a strategic hub for Capgemini, enabling us to deliver high-value digital and AI solutions worldwide while developing future-ready capabilities locally.

How has the increasing adoption of AI by competitors influenced your strategic priorities?

The rapid adoption of AI across industries has reinforced the importance of speed, innovation, and differentiation. It has accelerated our investments in AI capabilities, talent development, and industry-specific solutions that deliver measurable outcomes.

Rather than viewing competition solely as a challenge, we see it as a catalyst for continuous innovation. It pushes us to refine our offerings, deepen our partnerships, and ensure that our clients are not only adopting AI but leveraging it strategically to lead in their sectors.

Our priority remains clear: to deliver practical, scalable AI solutions that create business value while positioning Egypt as a global hub for digital innovation and advanced technology services.

How do you think you can empower youth and young entrepreneurs through your business tech offerings?

Through initiatives like the “Hack the Future of Tourism in Egypt… Make it Real!” hackathon, we are connecting innovation with practical training. Multidisciplinary student teams are developing AI-driven solutions such as virtual tour guides, smart travel platforms, immersive storytelling experiences, and predictive analytics tools that enhance visitor experiences while preserving cultural heritage and sustainability.

The top three teams will join our six-month Young Professionals Program, where they will receive intensive hands-on training, mentorship from global and local experts, and direct exposure to real client projects, with a clear pathway to employment upon completion.

Beyond individual programs, our broader commitment is to build a generation of tech-enabled innovators who can lead Egypt’s digital transformation. By investing in skills, mentorship, and real-world experience, we help young talent move from creative ideas to meaningful careers that support Egypt’s Vision 2030 and its ambition to become a global digital and innovation hub.

This commitment is strengthened through robust public-private partnerships. Most recently, we signed memorandums of understanding with ITIDA and ITI to expand our presence and train 300 young engineers through the ServiceNow program, supporting a national initiative expected to create 70,000 new jobs and further position Egypt as a global hub for technology and outsourcing services.

Through collaborations with government entities, academic institutions, and global technology partners, we are not only creating career pathways for young talent but also strengthening Egypt’s role as a strategic gateway for high-value digital and AI services worldwide.

Ghada Ismail

In finance, few phrases sound as dramatic—and as misunderstood—as “dry powder.” It has nothing to do with explosives or chemistry, yet when markets wobble and funding dries up, it suddenly becomes the most powerful thing in any context.

Dry powder is the cash everyone wishes they had when conditions turn tough. It doesn’t chase hype or panic in downturns. It waits—quietly and strategically—until the right moment arrives.

As startups learn to survive longer, investors favor discipline over speed, and economies navigate uncertainty, dry powder has moved from a niche term to a core strategy. It shapes who can act decisively, who can negotiate from strength, and who is forced to react.

At its simplest, dry powder means cash or highly liquid capital that is ready to be deployed. In reality, it represents control. For investors, startups, and the broader economy, dry powder is what separates those who endure market cycles from those who define what comes next.

Dry Powder from an Investor’s Perspective

For investors—particularly in venture capital, private equity, and institutional funds—dry powder refers to capital that has been raised but not yet invested. Funds typically collect commitments from their investors and deploy that money gradually over several years, rather than all at once.

Holding dry powder gives investors flexibility. In overheated markets, disciplined funds may slow their pace and avoid inflated valuations. When markets cool, that same unspent capital becomes a competitive advantage. Investors can move quickly, negotiate better terms, support existing portfolio companies, or back strong businesses that suddenly look undervalued.

This is why periods of uncertainty often coincide with reports of record levels of dry powder. It is not a sign of indecision, but of patience. Investors with capital ready to deploy often end up shaping the next growth cycle.

What Dry Powder Means for Startups

For startups, dry powder usually means cash reserves in the bank. It is the runway that buys time, reduces pressure, and keeps founders in control of their decisions.

Startups with sufficient dry powder can slow hiring, refine their product, or adjust strategy without being forced into emergency fundraising. They are less likely to accept unfavorable terms or dilute too early. In contrast, startups running low on cash often make rushed decisions driven by survival rather than long-term value.

Dry powder also changes how startups are perceived. A company with healthy reserves signals stability and confidence to investors, customers, and partners. It suggests the business is choosing capital—not desperately chasing it—often resulting in better negotiations and stronger relationships.

Dry Powder and Market Cycles

Dry powder plays a central role in how markets move through cycles. During boom periods, capital flows freely and aggressively, reducing the amount of unspent cash. Valuations rise, competition intensifies, and speed often outweighs discipline.

When markets correct, investment activity slows, and dry powder accumulates. While this phase can feel stagnant, it often sets the stage for the next wave of growth. Once confidence returns, that stored capital is deployed into new companies, technologies, and acquisitions, often more selectively and sustainably than before.

In this way, dry powder acts as both a buffer and a reset button, preventing capital from being exhausted at the peak of hype and ensuring resources remain available when opportunity reappears.

The Economic Impact of Dry Powder

At the macro level, dry powder influences investment, innovation, and job creation. Large pools of deployable capital—held by institutional investors, sovereign funds, and corporations—can stabilize markets during downturns and accelerate recovery during upswings.

For innovation-driven economies, dry powder is especially important. It allows funding to continue flowing into startups, infrastructure, and strategic sectors even when global conditions tighten. Economies with active investors and available capital are better positioned to maintain momentum through volatility.

Common Misconceptions

Dry powder is often mistaken for idle money. In reality, it is intentional restraint. Choosing when not to invest can be just as strategic as choosing when to invest. At the same time, holding too much dry powder for too long can create pressure to deploy capital quickly, sometimes at the wrong moment.

The key is balance: aligning deployable capital with clear strategy, realistic timelines, and market conditions.

Why Dry Powder Matters More Than Ever

In today’s environment of economic uncertainty, higher interest rates, and rapid technological change, dry powder has taken on renewed importance. Investors are more selective, startups are more cautious, and economies are prioritizing sustainable growth over speed at any cost.

Ultimately, dry powder is not about waiting on the sidelines. It is about being ready to invest, to grow, and to lead when opportunity returns.