To make the most of their businesses' potential, these entrepreneurs won over local investors for amounts exceeding $3.5 million. What makes them “different.”
Argentina's ecosystem of private equity and seed fund managers is made up of 48 firms that, in a single half of 2020, allocated US$41,600 million to local startups, according to data from Microsoft and the Argentine Private Equity, Venture and Seed Capital Association (ARCAP).
«Despite the difficulties caused by the pandemic, it is encouraging to see that, although the amounts invested have declined, capital keeps moving. The large number of startups funded by this type of investment shows that the entrepreneurial ecosystem and the traditional sector are not mutually exclusive, but can work in synergy», according to a study by the organization titled Study of the Private Equity, Venture and Seed Capital Industry in Argentina. «Argentina has always produced high-quality entrepreneurs, the combination of knowledge and execution skills makes our entrepreneurs stand out. In addition, their ventures are digital natives, born from innovation and easily scalable. They are equipped to weather and even grow through crises like the one we are experiencing«, explains Luis Bermejo, founder and Managing Partner of Alaya Capital.In fact, for this investor, backing this kind of startup is one of the ways to revive the post-Covid-19 economy. That capital goes to Argentine entrepreneurs to drive the development of technology and innovation across every sector of the local economy. They, in turn, work on providing services to third parties in the country and expanding throughout Latin America. These are three success stories that show how the investment hopes of those who bet on Argentine talent are materializing.