Egyptian HR tech start-up SAmAS Gamify, which specialises in psychometric assessment, recently raised $125,000 in a pre-seed funding round led by Houston-based Softeq Venture Studio. 

Founded in 2021, the firm offers companies a fully automated gamified psychometric assessment for new hires and employees. The product is AI-powered and backed with blockchain technology. 

While the funds will partly be used to hire a marketing and sales team, the company hopes to raise in two years a total of $1 million, which will help drive their expansion into the Gulf Cooperation Council (GCC) countries. 

The start-up founders argue that their model brings down the cost of psychometric assessments from 2,400 Egyptian pounds ($153) to 80 pounds ($5) per candidate, while maintaining a 70 percent profit. 

“In normal scenarios, a company would hire an assessor and bring them in to proctor a test for multiple candidates on a particular day. Then, the assessor would take two to three days to evaluate the outcomes and write reports. This process takes a lot of time and requires a lot of manpower,” SAmAS Gamify CEO Moustafa El-Hadidi told Zawya. 

By automating the process, SAmAS Gamify could hold assessments remotely and have reports released instantly, said El-Hadidi who had worked as a certified assessor for 14 years. 

“Because of the high cost, psychometric assessment has been only used in Egypt by big companies and multinationals,” said El-Hadidi, adding that the penetration rate of such assessment is as low as three percent in Egypt. 

SAmAS Gamify would make this type of testing affordable to a wider base of companies likes SMEs and start-ups, he said. 

Hence, El-Hadidi sees a huge gap in the market that his company can fill. “It has become very challenging to hire and retain people,” said El-Hadidi. 

“The rate of bad hiring in Egypt is 95 percent. Globally, bad hiring costs between $2,400 and $15,000 per employee over their three-month probation period.” 

Softech Venture Studio, an American accelerator program, invested and partnered with SAmAS Gamify team in the venture. 

In June, SAmAS Gamify expects to launch six game-based tests that assess organisational culture, leadership style, subordinate style, management skills and decision-making abilities. So far, 28 companies have signed up for the service. 

(Reporting by Noha El Hennawy; editing by Brinda Darasha) 

Disclaimer: This article is provided for informational purposes only. The content does not provide tax, legal or investment advice or opinion regarding the suitability, value or profitability of any particular security, portfolio or investment strategy. Read our full disclaimer policy here.

© ZAWYA 2022