This week in LATAM Startups: Jeeves goes for cross-border payments
Mealstar seeks to empower home cooks in Mexico through a Super App. Brazilian startups raises less and less VC. ThanksToYou becomes the first LATAM startup member of Ad Net Zero.
Welcome to our weekly newsletter covering the latest news and trends in the Latin American startup scene.
Jeeves will have a new business focus on cross-border payments
Dileep Thazhmon and Sherwin Gandhi, two U.S. entrepreneurs, designed a solution to deliver modern financial services to startups and SMEs with 50 employees or more. Starting in 2019, they worked for a year and a half to create a global financial platform with proprietary technology backend. What they wanted from day one was to fill the gap between the need for business credit and access and solve the problem of cross-border payments.
In four years Jeeves has reached unicorn status with a valuation of USD$2.1 billion and serves more than 3,000 companies in 22 countries across North America, Europe and Latin America. Its clients include startups and unicorns such as Kavak, Bitso, Merama, Moons and Platzi.
"We enter 2023 with USD$40 million in annualized revenue and 250% year-over-year growth," said Dileep Thazhmon, CEO and Founder of Jeeves in an interview with Contxto, who also boasts its most recent launch: cross-border payments, crucial for international trade. What does this represent for the business? Read more in Contxto.
Vía Contxto
Mealstar seeks to empower home cooks in Mexico through a Super App
The Mexican foodtech startup Mealstar aims to bring together lovers of homemade cooking in a Super App. The application allows anyone with culinary skills to sell homemade home-delivery food.
Founded in 2021, Mealstar emerged with the vision of empowering individuals and supporting families to increase their income. The platform provides the necessary technological support for cooks to expand their businesses locally.
Before the pandemic, users were looking for more diversified and quality options on home delivery platforms. This behavior and the digital boom during the pandemic created a favorable atmosphere for solutions like Mealstar.
Vía Contxto
Quick News
Investment in Brazilian startups plummets. According to a report by the local innovation platform Distrito, Brazilian startups raised USD$842 million in 253 financing rounds between January and July, 73.3% less than the nearly USD$3.15 billion raised in the same seven months last year. (Mundo Startups)
Colombian startup becomes the first Latin American member of Ad Net Zero. The ThanksToYou platform has revolutionized advertising with its innovative ad concept that allows viewers to support social causes through ads with purpose, and on the other hand, digital advertising campaigns with zero carbon footprint. (W Radio)
MercadoLibre Reaches the Figure of Five Million Customers in Its Insurance Sector. MercadoLibre has reached this milestone in less than four years thanks to solid investments in technology, positioning itself in the insurtech sector. (Contxto)
Num Finance and TruBit Join Forces to Expand Access to the nARS Cryptocurrency in LatAm. The nARS cryptocurrency pegged to the Argentine Peso, will be traded on TruBit, strengthening financial options in the region. (Contxto)
Vaki, the crowdfunding platform for donations and rewards, announces its arrival in Mexico. Donations are no longer exclusive to those who have the most, now everyone can participate in the financing of a cause by donating from USD$1 dollar. (Entrepreneur en Español)
Elon Musk's Neuralink raises USD$280 million in round led by Founders Fund. The brain-chip startup raised this round months after getting approval for its first human clinical trial while employees have been claiming since last year that the company was rushing and botching surgeries on monkeys, pigs and sheep. (El Economista)
Five steps to prepare for a startup's first round of investment. The objectives of making the first round of investment are not only monetary, the most important thing is to acquire strategic partners that provide knowledge and allow to expand networks, i.e. smart capital. (Forbes Chile)
albo, the Mexican Neobank, Acquires delt.ai for USD$20M, Strengthening Its Offer for Consumers and SMEs. albo became the only neobank in Mexico to offer a comprehensive financial services platform for consumers and SMEs. (Contxto)
Binance Obtains License for Cryptocurrency Exchange in El Salvador. This is one of the most significant exchanges for Binance and one of the most representative in the cryptocurrency sector to date. (Contxto)
Parallel18 Highlights USD$68.9M in Company Valuations in Acceleration Programs. Parallel18, the entrepreneurship pillar of the Trust for Science, Technology, and Research of Puerto Rico (FCTIPR), announced yesterday the results of its 2022 Impact Report on its new podcast. (Contxto)
Finds
tools, websites, and accessories
Grasshoper. This app will make you look much more professional for your customers. Turn your phone line into a business switchboard, record a welcome voice message, and assign dialing options that will redirect calls to your partners or employees, wherever they are.
Bill Tracker. If your business starts with a credit of any kind, thanks to Bill Tracker you will be able to have total control of it, so that you can keep up to date the evolution, enter payment notices, etc.
Doodle. This tool is quite helpful for scheduling meetings among several people who have varied schedules, as it puts the meetings to a vote, i.e., it sets the best time for everyone to attend the meetings.
Food for Thought
The ‘Godfather of AI’ Has a Hopeful Plan for Keeping Future AI Friendly
Geoffrey Hinton, renowned AI researcher, publicly announced his departure from Google to openly discuss his concerns about AI's potential dangers. Once an advocate for AI's capabilities, Hinton's perspective changed after observing the power of large language models like OpenAI's ChatGPT. He argues that AI could potentially get out of control to humanity's detriment and expresses concerns about machines having better learning algorithms than humans. Hinton's fears mark a significant shift from his earlier views on deep learning and its applications, now reflecting on AI's potential as an unprecedented form of intelligence that could surpass human capabilities within a few decades. (Wired)
Worldcoin, a San Francisco-based company, has gained attention for its ambitious plan to distribute a collectively owned global currency through biometric scans. Villagers in developing nations were lured with promises of free cash and other incentives, while Worldcoin representatives collected extensive biometric data, using futuristic metal orbs to scan irises. However, an investigation by MIT Technology Review revealed gaps between the company's privacy-focused messaging and its practices. Deceptive marketing, excessive data collection, and a lack of informed consent raised concerns about potential violations of data protection regulations. Worldcoin aims to address challenges of mass adoption in the emerging Web3 landscape by providing a universal authentication method. Critics question the security, fairness, and privacy implications of the company's approach to digital currency distribution and identity verification. (MIT Technology Review)
Homo Informaticus: The Evolving Relationship of Information and the Human Species
The evolution of information seeking, from navigating libraries to Google searches, now culminates in the era of AI-assisted exploration. In the past, libraries held limited knowledge, Google provided convenience but also information overload. AI-assisted search promises curated responses, learning from interactions to present refined results. However, questions emerge. Will AI breed complacency and intellectual laziness? Privacy concerns arise as digital butlers mine personal data. Can AI understand queries as human librarians do, maintaining serendipity and personal connection to information? The shift requires AI design that fosters questioning, stimulates critical thinking, and preserves human autonomy in the quest for knowledge. As we transition to an AI-dominated future, preserving the thrill of search and the satisfaction of discovery amid convenience is paramount. In the journey to Homo Informaticus, finding the balance between technology and human intellect is crucial for meaningful progress. (Harvard Technology Review)
Worthy Recommendations
Book Worth Reading, according to Antonio Nunes, Instaleap’s CEO:
The Hard Thing About Hard Things by Ben Horowitz. This book “tells a story of the different overcomes that an investor and an entrepreneur has to overcome when scaling his business, from how to pivot a business, how to set up a team and motivate it, and how to set goals, in a very practical way and from the story of an entrepreneur himself”, Nunes says.
Serie Worth Watching:
WeCrashed. Apple bet on the charismatic Adam Neumann, who promoted a new way of understanding coworking by founding WeWork in 2010. The Israeli created a multimillion-dollar business but ended up going down for irregularities and for spending investors' money ridiculously fast. The series achieves something difficult: portraying him as both extremely charming and at the same time an eminent liar. Much credit for that goes to Jared Leto, who plays him, while Ane Hathaway, as his partner, is not far behind.
Jobs
Growth Strategy Specialist at Kavak (Mexico City, attendance at work is required)
Planning & Operations Analyst at Konfío (Mexico City, expected to hybrid work)
Customer Success Specialist at Pomelo (Buenos Aires, Argentina, expected to remote work)
Content Specialist Customer Service at Laika (Bogotá, Colombia, expected to hybrid work)
Sr. Financial Planning at Moova (Buenos Aires, Argentina, expected to hybrid work)
Deals
These startups and companies received capital this week:
Loft | Proptech | Series D. The Brazilian marketplace for residential real estate that helps manage the home buying and selling process raised USD$100 millions from a16z, Altimeter, BTG Pactual and Baillie Gifford.
Tractian | AI | Serie B. Tractian, the Brazilian industrial operating systems company with artificial intelligence (AI), announced an investment of MXN$800 million (USD $47M) in its Series B. General Catalyst led the investment.
Avista | Fintech | Debt. Avista is a technology-based financial company reinventing people's financial lives through an ecosystem of simple, digital credit solutions based in Colombia. It raised COP$50,000 billions from Bancolombia.
Educbank | Fintech | Debt. Educbank is the LatAm's first K-12 fintech that obtained USD$20 millions of debt from Jive Investsments.
Flybondi | Airline | Seed. Flybondi.com is an airline company in Argentina that raised USD$17 millions.
Spline | 3D Design | Seed. Venezuelan Spline raises USD$15 million for its 3D design tool without programming from First Round Capital, NXTP, Chapter One and Y Combinator.
Cashbanx | Fintech. Cashbanx is a specialist in the cashback marketplace for banks, fintech, and other companies. The Brazilian startup raised USD$4.1 millions from SRM Ventures.
Senderos | Education | Seed. Senderos is a volunteer organization that promotes Latino culture through traditional arts and education in order to develop community. It raised USD$33,000 from Latino Community Foundation.
Campito El Laurel | Agriculture | Seed. Marketing of agricultural inputs and equipment. Development of agricultural projects, orchards and irrigation systems in agriculture. The Ecuatorian enterprise obtained USD$14,000.
ITP AERO | Aviation | M&A. ITP AERO is a aviation industry which are into sell of products and services to the aeronautical and industrial engines market. The company raised €175 billions from Indra.