Ep. 63: FinTechs are on the move during September
Welcome to Scenius Mexico: Your weekly newsletter on technology, innovation, and startups in Mexico.
This week, FinTech Syscap raised a significant US$ 2.3 million in seed funding to streamline private credit management for non-banking lenders. Meanwhile, Kunzapp, with its enterprise software management solutions, has secured a nice US$ 750,000 pre-seed to to address the escalating challenge of software subscription management.
On the startup news front, Stori joins the trend of acquiring sofipo licenses to be able to offer a wider financial product range, with sights set on savings and investment offerings. In contrast, Konfío, another major FinTech player, opted for a strategic move by discontinuing Gestionix's operations (its ERP unit), choosing to direct its energies towards SME-focused financial services.
Let’s dive into the details and more.
Follow The Money
Syscap has secured US$ 2.3 million in seed funding
The funding will help the FinTech to enhance its infrastructure, aimed at assisting Mexico's non-banking lenders in managing and accessing private credit. The platform streamlines the registration, communication, monitoring, and reporting of private lines of credit, a process that's traditionally been managed through banking software or manual methods. Currently serving over 100 non-banking financial institutions in Mexico, Syscap plans to channel the funding towards technology and product development.
Sector: FinTech
Total raised to date: US$ 2.3 million
Founders: David Noel Ramírez, Alejandro O’Farrill
Investors: Wollef, Redwood Ventures, Melek Capital, 500 Global, Angel Hub Ventures
Kunzapp has secured USD $750,000
The Mexico and Chile-based startup specializing in enterprise software management, addresses the challenge of managing numerous software subscriptions for companies, a growing concern given that organizations use an average of 80 SaaS applications. Having shown a robust 22% monthly growth and with plans to reach $1 million in annual recurring revenue within 14 months, Kunzapp aims to use the new funds to fast-track its expansion, onboard more clients, and enhance its platform features.
Sector: Enterprise Software
Total raised to date: US$0.75 million
Founders: Laura del Castillo, Francisco Abarca, Alfonso Brown
Investors: Platanus Ventures, Fen Ventures, Daedalus
Startups News
Stori acquired the license of MasCaja
The FinTech has expanded its financial portfolio by acquiring the license of MasCaja, a notable financial society (sofipo). With this acquisition, Stori aims to introduce savings and investment products, building on its reputation as a lifeline for individuals previously unable to access credit cards or build credit history through conventional banks. While Stori joins the ranks of fintechs like Nu and Klar in broadening product offerings through a sofipo acquisition, it envisions this move as just the start, intending to further diversify its financial solutions and capitalize on its unique market insights.
FinTech Konfío discontinues the operations of Gestionix
Gestionix is its ERP software subsidiary, acquired in December 2020. The decision aims to keep its focus on providing financial services to SMEs. Established in 2013, Konfío, valued at US$ 1.3 billion and having secured $706 million in debt in 2021, is part of fintech entities in Latin America offering expedited online loans to SMEs leveraging innovative technology and data analytics.
Briq.mx launched the first fully digital and remote administration trust of a hotel
Briq.mx, the crowdfunding real estate platform, and Bramah Desarrollos, a development company, have jointly signed the country's first fully digital and remote administration trust for the crowdfunding and operation of Sanâh Tulum, a boutique hotel. This stride was facilitated through a collaboration with Weetrust, a pioneering firm transforming notarial processes in real estate, and Banco Covalto, a bank that embraces digital trust processes. By enabling this digital agreement, they've sidestepped traditional challenges like physical presence, coordination delays, and additional costs. Within eight months, the Sanâh project has successfully raised over $33 million, involving 1,232 investors, acquiring 46.44% of the trust's shares.
Rest of the World
Spanish Correcto closes €6.5 million to grow in Mexico
The startup aims to use the new funding to elevate its presence in the linguistic solutions sector, particularly in Mexico and Latin America. Correcto provides real-time linguistic corrections in Spanish using artificial intelligence and machine learning. Emphasizing Mexico's position in their growth trajectory, the company recognizes Latin America as home to the majority of native Spanish speakers.
Mexican Bayonet is expanding to LATAM
The AI-driven startup combating online fraud, is extending its reach throughout Latin America amid growing concerns over digital transaction security. Highlighting a threefold rise in online fraud since 2020, CEO José Andrés Chávez emphasizes the importance of daily anti-fraud efforts. Currently analyzing about 30% of Mexico's online consumers, Bayonet, aspires to dominate 80% of the region's digital sales by 2024, targeting major countries like Peru, Brazil, Argentina, and Chile for its expansion plans.
See you for the next edition. Have a question or any feedback? Just hit reply. We'd love to chat!