Most founders would have quit when their company lost over 95% of its value, laid off hundreds of employees, and exited multiple markets.
Then again, most founders aren’t Mostafa Kandil.
At the age of 21, Kandil left Egypt to intern at Google in Dublin. He subsequently joined Rocket Internet, a global incubator known for scaling internet businesses in emerging markets, where he helped launch Carmudi, an online car marketplace, in the Philippines. Later, he worked as a Market Launcher at Careem, where he was responsible for expanding the company across countries. These early roles provided him with the operational grit and global perspective.
Back home, Egypt’s public transport was chaotic. In 2017, Kandil, along with two university friends, founded Swvl with the help of a $500,000 investment from Careem, creating an app that let commuters book seats on private buses running fixed routes.
Within two years, Swvl raised significant funding and expanded beyond Cairo to multiple countries. By 2021, the company was operating across Africa, Asia, and Latin America and achieved a historic milestone: becoming one of the first Middle Eastern mobility unicorns listed on Nasdaq, with a valuation near $1.5 billion.
Then came the storm no founder ever likes to face: a global pandemic that froze cities, shut down movement, and emptied buses. At the same time, rising costs and currency instability in key markets put additional strain on the company’s balance sheet. What followed was brutal: Swvl’s market value collapsed by more than 95%, dropping to just a fraction of its peak.
Many founders might have taken that as a cue to sell, fold, or shift industries entirely. Not Mostafa. He took stock, not defeat.
He recognized that growth without stability is fragile. So he led bold decisions: streamlining operations, exiting unprofitable markets, taking care of his team with dignity, and refocusing Swvl on B2B contracts and regions where the business could thrive financially. The mantra shifted from “grow at all costs” to “grow sustainably.”
And it worked.
In 2023, Swvl reported a net profit, a notable turnaround that signaled a deeper truth: you can rebuild stronger when you understand what really drives value. The company began expanding again, not as a startled sprint, but as a disciplined stride.
Founders, take note: Growing a business isn’t just about scaling fast, it’s about surviving challenges, staying adaptable, and making smart pivots when necessary.
Key Lessons for Founders
1. Double down on what works. Focus on your most profitable products, services, or customer segments, especially when resources are tight.
2. Make tough calls early. Exiting markets, trimming teams, or cutting costs may hurt in the short term, but they protect the long-term health of your business.
3. Diversify to stay resilient. Relying on a single revenue stream makes your company vulnerable, multiple streams build stability.
4. Adapt without losing focus. Change your strategy when conditions demand it, but keep your core mission and value proposition at the center.
5. Measure progress, not hype. Profitability, efficiency, and sustainable growth are stronger indicators of success than valuation alone.
