In this week’s Fast Track News, Latin America is a burgeoning epicenter for technological innovation, venture capital investment, and sustainable practices. From Databits’ successful fundraising to advance data science to CleanLight’s strides in solar energy, the region is making headlines for all the right reasons. As companies like Paymentology and Nelo revolutionize financial solutions in Mexico, the nearshoring trend draws global eyes toward Latin American startups. Amid these dynamic shifts, however, challenges also lie ahead—revealing a complex landscape of opportunities and hurdles. Stay tuned as we dive into these compelling stories that highlight Latin America’s entrepreneurial spirit and innovative drive.
Databits, the Ecuadorian data science platform, has raised USD $600,000 in a pre-seed round to expand its presence in Mexico and Latin America. This aligns with the growing relevance of nearshoring in the region, driven by advantages like low costs and technical talent, drawing in venture capital, and offering a new horizon for startups.
Meanwhile, the logistics and transportation industry in the region has seen a 67% decline in capital investment in 2022, according to a study by Endeavor and Glisco Partners. Despite these challenges, companies like Paymentology and Nelo are making strides in financial inclusion in Mexico. Nelo, for example, has facilitated over 6 million online purchases and aims to revolutionize credit services.
CleanLight, the Chilean solar energy startup, has raised USD $3.2 million, and SQM Lithium Ventures has invested $2.6 million in the UK-based cleantech firm Altilium Clean Technology. OutSystems has also announced a free training program for developers in Chile and Peru.
Alza, founded in October 2021, is helping to meet the diverse banking needs of Latin Americans who have moved to the U.S. With a focus on cross-border remittances, the startup seeks to alleviate friction in financial services for this demographic.
Lastly, Maxxa is offering a new free tool to help SMEs avoid fines and overpayments on taxes, with over 40,000 companies already signed up and plans to double its sales this year.