27 de February 2020
Entrepreneurship rankings placed Colombia ahead of Australia, Spain, Switzerland, and Brazil in 2019
Numbers from the platform Crunchbase show that Colombian entrepreneurship led the way in raising capital and stood out in the number of closed deals in 2019. Bogota, the regional entrepreneurship capital, has the highest concentration of ecosystem actors in the country.
Bogota, February 27, 2020. Colombia stood out in 2019 for being one of the countries with emerging entrepreneurial ecosystems with the best performance in raising venture capital. This is shown in a recent report from the business information platform Crunchbase, which highlights that the capital raised by entrepreneurships originating in Colombia grew 236% last year, a number that is above the variations registered by countries such as India, Australia, Switzerland, and Brazil.
“Numbers like this help us reaffirm that the local talent is the main asset we have to position Bogota as a capital of dynamic entrepreneurship and innovation,” stated Juan Gabriel Pérez, executive director of Invest in Bogota, who recalled that the Colombian capital leads the active entrepreneurial ecosystem of the country and has the highest number of key actors.
In addition to the growth in the amount of capital raised, Colombia stands out for being one of the few countries on the list for increasing the number of closed “deals” during 2019, when local entrepreneurships received 16 investments from capital funds.
“We are very happy that Colombia is in first place for attracting early-stage investment. Even though we have to consider that the behavior in 2019 is largely due to the billion dollars that SoftBank invested in Rappi, we hope that this will be the first of many years that this type of investment occurs in the country,” stated the secretary of economic development of Bogota, Carolina Durán.
According to the Crunchbase analysis, the main reason for the increase in the amount of capital raised by Colombian entrepreneurships was the investment received by the company Rappi from the Japanese fund SoftBank. However, in previous periods and in other ranks, Colombia has already stood out as a regional player of relevant growth in the entrepreneurial ecosystem.
An example is the American Centre for Entrepreneurship’s Global Startup City, which classified the city of Bogota as the Latin American capital with the highest growth in raising venture capital during the 2010-2017 period (with a growth of 451%).
“In my opinion, the growth in Colombia in terms of investment is due to the confluence of these two main factors: on one hand, a clear government strategy regarding financing and regulation, and on the other hand, a clear maturity of the internal abilities to start entrepreneurships. If we look in detail at the most successful startups, it is clear that they have been capable of interpreting the necessities of emerging markets like ours, and they are advancing to significantly more sophisticated models", stated Claudia Aparicio, managing partner – Singularity University in Colombia.
A recent analysis from Invest in Bogota done using numbers from Crunchbase showed that between 2010 and 2019, Bogota was the second city in Latin America where entrepreneurships were able to raise a larger amount of capital – with $1.764 billion USD – surpassed only by entrepreneurships in Sao Paulo.
Other indicators such as the Global Fintech Adoption Index 2019, prepared by the firm EY, ranks Colombia as the fifth country of the 27 evaluated in the world with the largest percentage of user adoption of Fintech technology (76%). The Global Entrepreneurship Development Institute, in its ranking for the year 2018, ranked the Colombian entrepreneurial ecosystem as the fourth best in Latin America.