The Latin American startup market of today is a story about talent and now is about capital as well.
The U.S. venture capital firm Sequoia affirmed that it has “been blown away by the quality of founders in the current wave of Latin American entrepreneurs.”
Other elements on the Latin American startups boom, include structural factors, such as strong digital penetration and quick e-commerce growth something that improved the business environment to build digital business models in the region.
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The portion of market capitalization from technology companies in Latin America is only 2.5% today compared to 40%+ in the U.S, something that shows the huge opportunities on a long term for the region, since the tendency is the reduction of the gap between both markets.
Latin America is on pace for all-time records in venture capital dollars raised and venture capital rounds in 2021. According to ‘CB Insights’ data, startups in the region have already raised $9.3 billion in 2021’s first six months from 414 deals. The same data set indicates that in all of 2020, startups in the region raised $5.3 billion across 526 deals.
By: Digital Dominium from the article published on www.techcrunch.com
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