I’m excited to finally be able to announce our second fund, Magma II, which will continue to support the growth of U.S. incorporated startups with technology and sales teams based in Latin America, along with Fintech, InsuranceTech and Blockchain startups in Latin America. Just like Magma I, we’re still 100% privately funded.
Since we launched as Chile’s first fully private VC firm in 2014, and subsequently expanded across the region and into the United States, we’ve invested US$2.5m of our own money into 32 pre-seed and seed-stage companies with founders from ten countries. These startups now employ 300+ people from 15+ countries and have annual sales of US$15M+.
We’re excited to continue to build on Magma I by investing into 60 pre-seed and seed stage companies over the next three years into two niches: (more…)
Decide why you want to be a thought leader — To make yourself feel good? To be “famous”? To get invited to conferences to speak? To drive leads for your business? To start a consultancy? Something else? Pick your goal and work backward from there.
Have useful thoughts — It should go without saying, but thought leaders should provide useful content that helps people understand the world better. If you’re trying to be a thought leader simply regurgitating mealy mouthed, hedged thoughts of others, you’re likely a social media personality, not a thought leader. (more…)
Mexico has all the right ingredients for an e-commerce boom: a young, tech-savvy population, rapidly increasing Internet penetration, and access to the world’s biggest e-commerce retailers, namely Amazon, Walmart, and Alibaba. In fact, Amazon and Alibaba have been vying for territory in Mexico’s e-commerce space for the past three years, betting on explosive growth.
While Mexico accounts for 12.6% of Latin America’s online purchases, only 1.6% of Mexico’s retail spending is conducted online. As Latin America’s second-largest e-commerce market, Mexico is poised for an online retail boom as Internet services reach more and more of the population.
Mexico’s strategic location close to the United States has a lot to do with this market’s growth potential. As one of three partners in the US$1.2 trillion NAFTA trade deal, Mexico is uniquely well-connected to the US and Canada, making international e-commerce much more available to the population.
According to LAVCA’s latest State of the Industry Report, Latin American startups received a total of USD$500M in all of 2016. In just the first 6 months of 2017, they received USD$477M.
It is clear that Latin America is experiencing a substantial uptick in venture capital activity. For one, Series C rounds in Latin America totaled USD$314M for the first half of 2017, compared to USD$208M raised in all of 2016.
Additionally, the investments in 99, Brazil’s largest rideshare service, by Didi, China’s largest ridesharing company, represented two of the top three largest investment rounds of all time in Latin America.
The report also uncovered that 93% of the funding that Latin American startups received this year in VC funding went to the IT sector. This is almost triple the amount that was invested in the fiscal year 2016 through the same number of deals.