Our Services · Partnership Capital
Equity Participation Funding
Join forces with ARAR Saudi Investment to co-invest in high-value ventures and share in the profits of proven opportunities.
Our Services · Partnership Capital
Join forces with ARAR Saudi Investment to co-invest in high-value ventures and share in the profits of proven opportunities.
What Is Equity Participation
Equity Participation Funding is a powerful model where ARAR Saudi Investment partners with clients and businesses to co-invest capital into vetted, high-return projects. Unlike traditional lending, both parties share in the profits — aligning our interests completely with yours.
This structure is ideal for entrepreneurs, businesses, and investors who want to access larger capital pools without surrendering full ownership or incurring interest-heavy debt. Our Sharia-compliant framework ensures ethical, transparent arrangements every step of the way.
Our Equity Participation model is built on Mudarabah and Musharakah principles — profit-sharing structures rooted in Islamic finance that ensure fairness, transparency, and mutual benefit for all parties.
Partnership Structures
Choose a participation structure that fits your business model and risk profile.
A joint venture where both partners contribute capital and share profits and losses in proportion to their investment. Ideal for long-term projects.
ARAR provides the capital while you contribute expertise and management. Profits are shared per a pre-agreed ratio. Losses rest with the capital provider.
A declining partnership structure where one party gradually buys out the other's share over time — perfect for real estate and long-horizon assets.
Direct equity stakes in approved development, infrastructure, or commercial projects with structured profit distribution tied to project milestones.
Why Choose Equity Participation
Higher Returns: Profit-sharing often delivers significantly better returns than fixed-rate instruments.
No Interest Burden: Eliminates riba (interest), making it fully compliant with Islamic finance principles.
Aligned Interests: We win only when you win — ensuring full commitment from both sides.
Flexible Structures: Customisable terms to suit your industry, capital size, and investment timeline.
Access to Expertise: Gain not just capital but also ARAR's network, advisory, and strategic support.
Transparent Reporting: Regular performance updates and full financial disclosure throughout the partnership.
Our Process
Share your business plan, project details, and capital requirements with our partnership team for an initial assessment.
We conduct thorough due diligence and work with you to structure the right participation model — defining profit ratios, timelines, and exit provisions.
Once agreed, the Musharakah or Mudarabah contract is executed and funds are deployed to the project according to the agreed schedule.
Profits are distributed per the agreed ratio at pre-defined intervals. Our team monitors performance and provides full transparency throughout.
Partnerships Funded
Equity Capital Deployed
Sectors Covered
Partner Satisfaction