Ziff, a prominent financial solutions provider in Mexico, has finalized the acquisition of digital lending company Arrenda, marking a strategic move to enhance its credit offerings.
This acquisition is a pivotal moment in Ziff’s mission to alleviate cash flow issues for 4.46 million small and medium-sized enterprises (SMEs) and to support the $9.23 billion commercial real estate market in Mexico.
Arrenda, launched in 2022, is recognized for its innovative financial product that underwrites businesses with recurring revenues and finances them for up to 36 months of future income. By integrating Arrenda’s technology, Ziff plans to expand its market presence throughout Mexico, with a goal to deploy over $1 billion pesos in liquidity to empower Mexican SMEs by the end of 2027.
Addressing a critical financing gap for SMEs, which often lack a credit history, Ziff introduces a revenue-based financing model to offer liquidity by funding up to 36 months of receivables. This approach is designed to counteract the financing shortfall identified by the SME Finance Forum, which amounts to $163 billion globally.
Following the acquisition, Arrenda’s founder and CEO, Joe Merullo, will join Ziff’s executive team as Chief Technology Officer, bringing a wealth of market knowledge and a global perspective from his extensive fintech experience. Ziff plans to scale Arrenda’s flagship product, Adelanta, enhancing financing options for property owners based on existing rental contracts, leveraging Arrenda’s vast network of real estate advisors to fuel growth.
About Ziff:
Ziff stands as a leading financial solutions provider in Mexico, committed to delivering creative financing solutions to ensure stability for Mexican entrepreneurs. Post-acquisition, Ziff reiterates its dedication to innovation and customer-centric services, aiming to transform how Mexican businesses access financing.
About Arrenda:
Founded by Joe Merullo in 2022, Mexico City-based Arrenda offers digital financial services to Latin America’s real estate market. Its flagship product, Adelanta, utilizes proprietary risk algorithms and technology to enable property owners to convert future rental payments into cash within 24 hours.
