Belvo scores $10M from Founders Fund and Kaszek to scale its API for financial services – ProWellTech
Belvo, a Latin American fintech startup that was launched just 12 months ago, has already obtained funding from two of the biggest names in North American and South American venture capital.
The company aims to expand the reach of its service that links mobile applications in Mexico and Colombia to a customer’s banking information and now has some deep investors to support its efforts.
If the business model seems familiar, it is because it is. Belvo is borrowing a page from Plaid’s playbook. It’s a strategy that ultimately grossed the American startup and its investors $ 5.3 billion when it was acquired by Visa in January of this year.
Belvo and his supporters, who channeled $ 10 million into the one-year company, want to replicate Plaid’s success and open up a whole new range of financial services companies in Latin America.
The round was co-directed by the Silicon Valley Founders Fund and the Argentine Kaszek. With the new arsenal of capital complimented on the Founders Fund’s network and Kaszek’s in-depth knowledge of the Latin American market, Belvo hopes to triple his current team of 25 which spans all operations in Mexico City and Barcelona.
Since its initial founding in May 2019, the company has raised a total of $ 13 million from Y Combinator (W20) along with some of the biggest actors in the Latin American startup scene. Among these investors, David Velez, the co-founder of Brazil’s multi-billion dollar loan startup, Nubank; MAYA Capital and Venture Friends.
The company’s co-founders, Pablo Viguera and Oriol Tintoré, are no strangers to the startups themselves. Viguera has been COO at Verse, the European payments app, and is a former general manager of one of the major European neo-banks, Revolut. Tintoré is a former NASA aerospace engineer and, while working for his Stanford MBA, he founded Capella Space, an information-gathering startup that raised over $ 50 million.
The company said it wanted to work with major fintechs in Latin America, ranging from vertical markets such as neobanks, credit providers and personal finance products that Latin Americans use every day.
Belvo has created a developer API platform that can be used to access and interpret the end user financial data to build better, more efficient and more inclusive financial products in Latin America. Popular neobank app developers, credit providers and personal financing tools use The Belvo API to link bank accounts to their apps to unlock the power of open banking.
Viguera says the capital will be used to open a new office in Sao Paulo and invest in new product and business development assumptions. In particular, Belvo is only one year old, having been launched in January 2020 and operating in Mexico and Colombia.
Belvo’s latest funding also marks another instance of a US-Latin America investment team for a Latin American company.
Nuvocargo, a logistics startup that wants to strengthen the Mexico – United States trade lane with its freight technology, recently raised a round co-led by Mexico’s ALLVP and Silicon Valley-based NFX. American investors may begin to take note of the co-investment opportunity to put capital into start-ups at the service of the Latin American market in collaboration with successful new wave national funds such as the ALLVP of Mexico and the Argentine Kaszek.