2021 has so far been a very good year for Chilean startups. A few days ago the purchase of 100% of Cornershop by Uber was made official. In addition, other startups such as The NotCo, Betterfly, Poliglota, Fracttal, Houm, Xepelin and Rocketbot, among others, have managed to attract the attention of international investors thanks to their attractive value propositions and income models.
A report from the Latin American Venture Capital Association reported that during 2020 Latin America reached a record number of venture capital agreements.To better understand these figures, it is worth putting yourself in the shoes of foreign investment funds and asking yourself what they are looking for, what factors make them decide before contributing capital in a certain firm. Many of them opt for startups in an early stage (seed), but with great potential for growth.
In addition, investors are looking for companies in the digital sector (and with recurring income models), with special attention to e-commerce or Fintech, because they are the industries that are making a difference in the way markets are moving. The pandemic highlighted the need to accelerate digital transformation and has revolutionized all types of industries. If a startup is aligned with these new parameters and already has clients that demonstrate better business performance in practice, betting on them is at the same time a strategic decision.
Today Chile is making noise worldwide, that is something to highlight, and of course you must know how to take advantage of this attention for the benefit of the entire startup ecosystem in the country. According to CORFO figures, although they represent 1% of all companies, startups provide 40% of new jobs and are making a real contribution to economic growth
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We have to start changing the mindset locally. It helps a lot for foreign investors to put their money in Chilean companies, but wouldn’t it be equally valuable if we first became aware of the potential of
the new promises in the area of technology and thus we are forming a culture that encourages international investment that transforms Chile into a hub within the region?
Every day we are showing that innovation exists in the country and that we are capable of creating concrete solutions to problems that people experience every day. The next step is to capitalize on the success that these startups are obtaining and promote the expansion of the ecosystem, create the conditions so that those who come after can also access these opportunities and we manage to position our ventures as worthy of foreign capital.
