My Key Skills from This Work:

• Holistic Strategic Thinking:

  My skill isn't limited to analyzing a single problem. I have the ability to connect multiple, disparate factors—such as government transformations (Vision 2030), market dynamics, and financial policies—to provide an integrated vision that helps understand the broader landscape and develop successful strategies.

  
  

• Strategic Communication:

  I possess a skill for active listening that goes beyond simply hearing words. I can understand the unspoken vision and strategic goals of a speaker (like a CEO), which allows me to customize solutions to meet their needs with precision.
  
  

• Simplifying Complex Ideas:

  I have the ability to transform complex business models like the Corporate Venture Builder into a clear, concise executive report and presentation. This makes it easy for decision-makers to understand the concept and make informed decisions.
  
  

• Data-Driven Decision Making:

  I use both quantitative data (such as potential market size) and qualitative data (like case studies) to support my arguments and provide actionable recommendations. This proves that I rely on a logical, systematic analysis.
  
  

• Adaptability to Challenges:

  I demonstrated an understanding of the challenges facing local companies (such as the trust gap with some consulting company) and offered practical solutions (like focusing on quality and transparency) to turn these challenges into competitive opportunities.

Additional Skills:

• Research & Analytical Proficiency

I rely on deep research and meticulous analysis. My reports and presentations aren't just data compilations; they are built on a strong foundation of evidence-based arguments, drawing on case studies and previous research. This proficiency enables me to gather information, analyze it, and use it to formulate strong, convincing insights.

• Storytelling Ability

I don't present information as a dry list of facts; instead, I craft it into an inspiring narrative. I have the ability to transform raw data into stories, such as those found in my analysis of the Tamara and Rimthan case studies, making complex ideas easy to understand and connect.

• Entrepreneurial Mindset

My deep understanding of the challenges facing startups and my ability to propose practical solutions (such as partnerships with funding and technical entities) prove that I don't think only as an analyst. I possess an entrepreneurial mindset and understand how to build businesses from the ground up.

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The Executive Report:

Title: Corporate Venture Builder (CVB) Model and Its Application Potential in the Saudi Market.
Prepared by: Samahir Al-Zhrani.
Pages: 6.
Date: May 16, 2025.
To: Esteemed Executives at Mars Venture.

Introduction:

I’m pleased to present this executive report on the Corporate Venture Builder (CVB) model. It outlines how this approach can be effectively applied within the Saudi market as a strategic framework for building sustainable startups that address real sector-specific challenges, fully aligned with Vision 2030.

This report offers a comprehensive breakdown of how the CVB model operates, its main strengths and risks, and provides actionable recommendations tailored to the local context. My hope is that this report serves as a strategic tool that informs your decisions and encourages partnerships that drive innovation and knowledge-based economic growth.

1. Executive Summary

• Objective:
This report explores the CVB model as a catalyst for innovation and revenue diversification for large local corporations. It also demonstrates how CVBs can be used to build impactful startups—like Tamara—by leveraging public funding to create the legal and infrastructural foundation needed for launching ventures in emerging sectors such as BNPL in KSA. These ventures can later be acquired by international companies looking to grow their presence in key markets like Saudi Arabia.

• Key Insights:

• CVBs combine startup agility with the scale and resources of established corporations to create successful new businesses.

• The model can be strategically deployed with public VC funds to create ventures that wouldn’t exist without local builders actively engaging regulators to open market pathways. Tamara is a strong example—it likely would not have launched without regulatory support that fast-tracked licensing and streamlined legal infrastructure to reduce financing risk. (You can read more here: https://medium.com/@samahir.000/would-bnpls-in-saudi-arabia-exist-without-vision-2030-3229073dd804.)

• While CVBs offer great potential for long-term growth, success depends on effective risk management, operational discipline, and strong brand reputation.

• Local and international examples (such as Rimthan) prove the viability of the model.

• The Saudi market presents exceptional opportunities for CVBs, particularly given the government's commitment to Vision 2030 and its drive to attract global companies to elevate local capabilities, increase GDP, and diversify economic activity.

• Key Recommendations:

• Adopt the CVB model to harness innovation and revenue diversification, prioritizing sectors aligned with Vision 2030.

• Allocate sufficient financial and operational resources to support the end-to-end venture-building process.

• Form strategic partnerships with government agencies, private sector entities, and specialized international venture builders to reduce execution risk.

• Implement simple, effective governance. Ideally, the CVB should operate through five core divisions: Finance, Legal, Technology, Marketing, and Fundraising—supported by two essential leadership roles:

  1. A manager who oversees governance and stakeholder communication with the corporate partner.

  2. A second manager who leads the startup development process end-to-end.

• Expected Impact:

• Enable sustainable growth and income diversification across sectors.

• Establish a competitive edge by delivering a superior CVB experience for clients and partners.

• Actively contribute to Vision 2030’s economic transformation goals.

2. What is a Corporate Venture Builder?

A Corporate Venture Builder is a structured approach that merges entrepreneurial speed with corporate scale and assets to build new ventures. Unlike traditional venture builders, CVBs are created in partnership with a parent company to solve strategic problems or pursue targeted market opportunities.

3. Proposed Operating Model (for the Saudi Market)

• The model involves collaboration between three main players: a corporate sponsor, a venture builder team, and co-founding entrepreneurs.

• The process includes several key stages: market opportunity identification, ideation, business design, launch, and growth.

• Initial funding is provided by the corporate partner, with the potential to bring in external investors during later stages.

3.1 Execution Phases:

• Phase 1: Ideation and Validation (3–4 months):

• Fully funded by the corporate client.

• May include developing a new concept or refining one proposed by the client.

• Market research and validation are conducted to confirm commercial viability.

• This phase is scoped and priced independently before further commitment.

• Phase 2: Roadmap and Alignment:

• The client is provided with a detailed cost projection and phased execution plan.

• Agreements may take forms such as:

  • Fixed fee plus equity upon successful build.

  • Fixed fee plus a success bonus, where 20–25% of equity becomes liquid over time.

• Phase 3: Venture Build and Delivery:

• Complete venture development, including legal registration, team formation, and MVP execution.

• Optional support services may be offered after handover.

3.2 Organizational Structure and Culture:

• Structure:

• The startup can either be spun out as a separate entity or integrated as a subsidiary.

• It's strongly recommended to establish a culture tailored to startup dynamics to attract entrepreneurial talent and ensure agile operations.

• Example of Rimthan’s Organizational Structure:

• Joint Executive Leadership resource like (e.g., CFO and COO).

• A dedicated venture lead acting as the CEO of the startu, responsible for startup execution.

• Dedicated Venture Lead for each startup.

• Tailored onboarding program focused on entrepreneurial thinking and identifying the right venture lead.

4. Core Advantages:

• Flexibility to discontinue projects without added liabilities.

• Ability to run multiple builds for different corporates simultaneously.

• Direct access to resources, knowledge, and customer base from the parent company.

• Higher chances of market success compared to solo startups.

• Strong potential for generating scalable revenue.

5. Challenges:

• Some decision-makers still favor international players over local builders.

• A number of firms have exaggerated local market projections to inflate contract valuations with Saudi government entities. This has contributed to a breakdown of trust and damaged the credibility of several foreign consultancies in the eyes of public sector leaders.

6. Opportunities:

• The current trust gap presents a chance for local CVBs to prove themselves through quality delivery and transparency.

• Government backing and regulatory reform offer a favorable environment to accelerate venture building.

7. Risks:

• Misalignment with the parent company.

• Bureaucratic delays and internal friction.

• Delayed payments or unclear financial commitments.

• Leadership turnover in the corporate entity.

• Mismatch in expectations or communication.

• Failure to maintain consistent delivery standards and quality controls can pose significant risks to brand reputation.

7.1 Risk Management:

• Build clear governance systems into every engagement.

• Secure top-level sponsorship early.

• Evaluate payment history and reputation before engaging clients.

• Avoid working with unreliable or high-risk partners.

• Promote a culture of transparency, accountability, and entrepreneurial resilience within the CVB team.

7.2 Relationship Management:

• Define success metrics and align them early with the corporate sponsor.

• Ensure easy access to corporate resources and decision-makers.

• Maintain emotional intelligence when managing partnerships.

• Assign two essential leadership roles:

  • A manager who oversees governance and stakeholder communication with the corporate partner.

  • A second manager who leads the startup development process end-to-end.

8. Case Studies:

• Rimthan (Saudi Arabia): A pioneer in institutional venture building, partnering with major public and private entities.

• Creative Dock (Europe): One of Europe’s leading CVBs, active across fintech, insurance, and other emerging industries.

9. Recommended Next Steps:

• Identify high-priority sectors for launching pilot CVB projects.

• Assess and shortlist venture builder partners (local and global).

• Establish an internal task force to lead CVB implementation.

• Define OKRs and KPIs to measure operational quality and performance.

• Develop a detailed roadmap and preliminary budget.

I hope this report provides valuable insights to support your strategic decision.