COLABS, Pakistan's leading flexible workspace and community-driven platform, recently secured $2 million in a pre-Series A funding round, led by Shorooq Partners and supported by Waad Investment. This latest capital boost will facilitate COLABS’s expansion into Saudi Arabia and broader MENA markets, propelling the company toward becoming a regional leader in coworking spaces. This funding milestone underscores the increasing demand for flexible workspaces across the region and COLABS’s capacity to create dynamic, community-centric environments.

Funding Details and Strategic Partners

This latest round brings COLABS’s total funding to over $5 million, with backing from notable investors like Indus Valley Capital, Zayn VC, and Fatima Gobi Ventures. In a global coworking sector that has faced challenges, COLABS stands as one of Pakistan’s few coworking ventures to secure significant venture capital, especially in the wake of the coworking sector’s challenges following the WeWork fallout. With this financing, COLABS is set to replicate its model in Saudi Arabia, a market with increasing interest in flexible workspaces and startup hubs.

Omer Zabit, Principal at Shorooq Partners, praised COLABS’s resilience and impact on Pakistan’s startup ecosystem, noting, “COLABS has demonstrated impressive growth, emerging as a key player in Pakistan's startup landscape despite local macroeconomic challenges. We are proud to support their next phase of growth as they expand into Saudi Arabia, one of the most exciting markets in the region.”

Pioneering Pakistan’s Startup and Freelance Community

COLABS quickly established itself as a hub for the growing Pakistani tech and startup ecosystem. Offering more than just workspace solutions, COLABS cultivates an environment where emerging ventures and international players alike can thrive. Its platforms serve over 5,000 members and have become a foundation for community-building, collaboration, and scaling for many Pakistani startups, freelancers, and creative professionals.

Through diverse programs, COLABS has enabled a new generation of startups, freelancers, and artists. Its Freelancer Fellowship Program provides workspace to over 100 freelancers each quarter, making a direct contribution to Pakistan's vibrant IT and freelance industry, which is the fourth largest in the world. During economic and political instability, COLABS offered free workspace and internet access, underscoring its commitment to its community.

Unique Model and Market Impact

The company’s expansion comes at a time when demand for flexible, community-oriented workspaces is rising. Currently operating across more than 10 locations, COLABS supports 300 companies and over 250 partners, including Google Cloud, AWS, and Spotify. As a platform that seamlessly connects international businesses with Pakistan’s tech ecosystem, COLABS offers resources that enable startups to launch, scale, and connect with investors, further enhancing the value of its workspace solutions.

Members like EY, Digital Ocean, Gelato, and K Trade, as well as ventures like Jiye Kisan and Burq, have experienced growth and capital investment opportunities facilitated by COLABS. The organization’s success has been particularly evident in the coworking sector, where it has grown revenue fivefold in just five years and maintained profitability, even during challenging economic conditions. COLABS has positioned itself as a bridge to facilitate entry for global tech companies and VC-backed startups into Pakistan.

Creative Collaborations and Cultural Initiatives

Beyond the business landscape, COLABS has actively engaged with Pakistan’s creative industries. Through the COLABS Creative Collective, the platform has curated an art collection with over 300 pieces and held a four-month artist-in-residence program. Initiatives like COLABS Live—an effort to promote local artists through partnerships with industry giants such as Spotify and Coke Studio—reflect the company’s dedication to fostering Pakistan’s arts scene.

Recently, COLABS partnered with popular local musician Maanu to produce an anthem celebrating the country’s creative spirit. By integrating creative and business communities, COLABS is creating a holistic platform where diverse sectors come together to inspire innovation and collaboration.

Expansion into Saudi Arabia and Future Goals

With the registration process in Saudi Arabia now complete, COLABS is prepared to bring its unique model to the MENA region. The expansion into Saudi Arabia’s emerging coworking market is expected to bring significant benefits to local entrepreneurs, startups, and freelancers. By extending its signature community-focused approach, COLABS aims to replicate its success and foster an environment of growth and opportunity for regional businesses.

Co-founders noted that as the company enters this new market, it will be vital to maintain the quality and community-driven model that have fueled its success in Pakistan. The Saudi expansion will prioritize creating essential infrastructure and support systems for freelancers and startups, with a goal of cultivating a dynamic community that mirrors Pakistan’s thriving entrepreneurial landscape.

The $2 million investment from Shorooq Partners and Waad Investment highlights the confidence in COLABS’s potential to expand its flexible workspace model across the region. By focusing on building a community-oriented workspace that supports startups, freelancers, and creatives, COLABS is not only shaping the future of workspaces in Pakistan but now, with this funding, aims to bring that transformative approach to Saudi Arabia. With a solid foundation and ambitious growth plans, COLABS continues to redefine the coworking landscape across borders, inspiring a new generation of entrepreneurs and innovators.