Plaid for LATAM, Prometeo, Uruguay fintech, real-time payments, open banking, scaling fintech in Latin America.

WEBVTT
00:00:12.640 --> 00:00:17.679
Welcome everyone to another episode of the Nearshore Cafe Podcast.
00:00:17.839 --> 00:00:19.679
I'm your host, Brian Sampson.
00:00:19.839 --> 00:00:25.039
Today's episode is sponsored by Plug Technologies, P-L-U-G-G.
00:00:26.320 --> 00:00:30.399
A great way to connect talent from all over Latin America with U.S.
00:00:30.480 --> 00:00:31.039
companies.
00:00:31.280 --> 00:00:37.200
If you're a founder in Latin America, this is going to be a great episode for you.
00:00:37.359 --> 00:00:46.240
We're going to be talking to someone who has built a fintech, raised capital, and we're going to talk all about her journey and doing it from Uruguay.
00:00:46.560 --> 00:00:51.520
Please welcome Zemena Aliman, founder and CEO of Promateo.
00:00:51.679 --> 00:00:52.159
Great to have you.
00:00:52.399 --> 00:00:53.039
Hi, Ryan.
00:00:53.280 --> 00:00:54.000
Thanks for having me.
00:00:54.159 --> 00:00:55.039
Very happy to be here.
00:00:55.359 --> 00:01:03.840
Well, I shared a little bit, just a little teaser on the intro about entrepreneur doing it from Montevideo, Uruguay.
00:01:04.000 --> 00:01:10.079
A lot of great stuff we'll talk about in the present, but I would love for our audience to get to know you.
00:01:10.319 --> 00:01:15.200
Could you take us from the start, you know, maybe university to today?
00:01:15.280 --> 00:01:16.560
Like how did you get to where you are?
00:01:16.879 --> 00:01:17.120
Wow.
00:01:17.439 --> 00:01:18.719
So yeah, definitely.
00:01:18.879 --> 00:01:19.760
It was a long way.
00:01:19.920 --> 00:01:28.719
I major in journalism, which I always it seems a little bit different from what I do right now, you know, being CEO of a fintech company.
00:01:28.879 --> 00:01:34.560
And so that's always seems a little bit unorthodox, you know, like a little bit different.
00:01:34.719 --> 00:01:40.400
I actually think that my background was a key asset for Prometeo.
00:01:40.480 --> 00:01:44.159
You know, um, at Prometeo, what we build is fintech infrastructure.
00:01:44.319 --> 00:01:48.719
We're somehow like rebuilding the foundations of the financial system.
00:01:48.879 --> 00:01:56.879
And so we are always talking about two things that usually go unnoticed: the infrastructure, you know, the financial sector.
00:01:57.040 --> 00:02:15.680
And so we like as human beings, like we interact with money, and so how the money moves from here to there more efficiently, more inefficiently, but we are not usually thinking about how it went from there to there, you know, and so like the flows, how they got done, they are invisible.
00:02:15.840 --> 00:02:20.719
And then the tech that powers those flows also go unnoticed.
00:02:20.879 --> 00:02:42.719
And so being able to translate that complexity into clarity, I think that that's something that I was able to do, or I have been able to do because of this background that I have, because of this um my background as a journalist, you know, like being able to um uh somehow like understand complex systems and navigate them.
00:02:42.879 --> 00:02:56.479
I think that um the the perhaps what seems uh like a leap for me was uh a step, which was hey, like I understand how this works, you know, I'm able to translate it and I'm able to talk about it.
00:02:56.639 --> 00:02:58.639
Would I be able to reshape this?
00:02:59.439 --> 00:03:00.080
You know?
00:03:00.319 --> 00:03:02.400
Um is that a possibility?
00:03:02.639 --> 00:03:10.080
And and I think that when that sort of clicked inside me, it was like at least I I'll have to try to try.
00:03:10.240 --> 00:03:16.400
Like I'll I'll I'll I'll try to see if I can reshape somehow like this flows, how this works.
00:03:16.560 --> 00:03:19.280
And that's when I became an entrepreneur.
00:03:19.599 --> 00:03:20.000
Yeah.
00:03:20.159 --> 00:03:37.199
Um, that makes a lot of sense with the the journalism, because you're right, we don't think about I think a lot of companies are built by engineers with engineer backgrounds, and they think like engineers, they talk like engineers, they explain things like engineers, and they think everyone's an engineer, right?
00:03:37.520 --> 00:03:44.479
So when you come from a journalism background, it's always who, what, why, when, where, you know, the mystics, the story.
00:03:45.280 --> 00:03:45.759
Exactly.
00:03:45.919 --> 00:04:12.319
And and I think that it's not only about the pitch, you know, it's not only being able to design a good pitch deck, you know, and a compelling blurb or elevator pitch, but it's actually like somehow I think that it goes unnoticed that we interact with reality because of language, you know, and so language is the interface in which we interact with everything, even ourselves, you know?
00:04:12.479 --> 00:04:18.079
And so being able to understand that, I think is capital, you know, and I think that that's the asset.
00:04:18.240 --> 00:04:27.040
Because basically, if you're pitching a problem that hasn't been addressed or that somehow is new, you are creating that problem for someone else.
00:04:27.199 --> 00:04:32.720
You know, like someone else will notice that problem because you have addressed it through language.
00:04:33.040 --> 00:04:57.759
And so I think that having that expertise, it's really important, you know, because it it helps you to make it more clear, to make it more compelling, you know, and especially when you are building something from scratch and especially early on in the in the startup, being able to attract people, you know, like make them gravitate towards your idea, that's very, very important and it's very powerful.
00:04:57.920 --> 00:05:04.800
And you only get to do that through language, you know, and with imposters, with talent, with everyone, that's the interface.
00:05:04.879 --> 00:05:10.319
And so, yeah, I think that's that's something that for me was very important from my background.
00:05:10.560 --> 00:05:11.759
Yeah, I think that's great.
00:05:11.920 --> 00:05:14.560
Well, tell us more um just about your journey.
00:05:14.639 --> 00:05:16.720
You know, how did you get to where you are today?
00:05:17.199 --> 00:05:21.439
Okay, so basically, I, as I mentioned, I studied journalism.
00:05:21.600 --> 00:05:32.319
I went I worked for a couple of years in media outlets in in Uruguay, and I got hired by this company, like this entrepreneur that wanted to build uh a digital spin-off.
00:05:32.399 --> 00:05:43.839
Like he he owned a publishing house and he wanted to build like a spin-off that involved digital content, you know, and and that was it, you know, like he knew that something will happen.
00:05:44.079 --> 00:05:51.120
It happened with digital content and that that his company will have to shift towards that.
00:05:51.360 --> 00:05:58.480
And I was in charge of leading that endeavor, and I became like an entrepreneur, an intrapreneur, and I loved it.
00:05:58.639 --> 00:06:04.160
You know, like this thing, this very adrenalinic process of building something from scratch.
00:06:04.399 --> 00:06:09.360
Um, and for me, it was sort of obvious that I I I wanted to do that.
00:06:09.839 --> 00:06:16.079
And so, like after a couple of years, like the business was stable, a new customers' revenue, everything.
00:06:16.319 --> 00:06:24.160
So, like I decided, okay, I'll go for an MBA, you know, with focus in tech businesses because this is what I love.
00:06:24.240 --> 00:06:31.920
Like I'm in love with technology, and I think that this new world is happening, and I want to build something related to this new world.
00:06:32.160 --> 00:06:36.639
And and I met my co-founders, Rodrigo, in during the MBA.
00:06:36.720 --> 00:06:44.240
I met Rodrigo and Eduardo, who I meant who are my co-founders, and we were talking about digital content, micropayments for digital content.
00:06:44.480 --> 00:06:49.120
And Rodrigo's expertise was cybersecurity in the financial with a sector.
00:06:49.279 --> 00:06:53.040
He used to, uh, his background was PCI DSS for financial institutions.
00:06:53.199 --> 00:07:03.439
And so immediately it was like, okay, payments, and and fintech wasn't uh even a word in Uruguay back then, I'm talking about 2014, 2015.
00:07:03.839 --> 00:07:08.160
And so, okay, this is like uh, it seems like a very interesting idea.
00:07:08.319 --> 00:07:09.519
We should explore it.
00:07:09.680 --> 00:07:17.920
And we started uh working on that, you know, like uh initially an idea, a brainstorming process, it became a digital wallet.
00:07:18.079 --> 00:07:35.920
We pivoted, and then we created a PFM, you know, a personal finance manager, very similar to Mint in the US, to another equivalent in Brazil, which is called Giabolso, and we loved it, you know, like this powerful idea about providing financial education for microentrepreneurs in Latin America.
00:07:36.160 --> 00:07:51.519
And while doing this, we understood that there was an infrastructure problem, actually, that was embedding us to build what we wanted to build, but at the same time that it was uh transversal to other in other fintech verticals.
00:07:51.600 --> 00:08:01.920
You know, like we all had the same problem trying to interoperate with financial institutions because Reduardo's skill set was very specific in the tech world.
00:08:02.079 --> 00:08:03.920
He was able to create APIs.
00:08:04.079 --> 00:08:08.480
So we were, we had the skills to solve that issue for our startup.
00:08:08.560 --> 00:08:13.279
But it became obvious that there was demand for that, you know, and even from financial institutions.
00:08:13.600 --> 00:08:19.040
Other like large banks would ask us, okay, and how is that you are connecting?
00:08:19.199 --> 00:08:21.839
And how are you, how is it that you are accessing this information?
00:08:22.079 --> 00:08:24.079
Can you use this information for this, for that?
00:08:24.160 --> 00:08:27.360
Like, and and suddenly we were talking about interoperability.
00:08:27.519 --> 00:08:32.080
It was not about financial education, user experience, microentrepreneurs.
00:08:32.240 --> 00:08:35.279
It was about pure tech, like the plums, you know.
00:08:35.440 --> 00:08:38.240
And so we said, okay, this is very interesting.
00:08:38.399 --> 00:08:47.200
We can somehow like different from what we thought initially, we can still like fix this system with a new infrastructure, you know.
00:08:47.360 --> 00:08:54.960
And for us, fixing this system with a new infrastructure was uh like the kickoff of Prometeo.
00:08:55.120 --> 00:09:10.639
That was the insight that that drove us to build uh this API that aggregates uh, well, right now, more than 1500 APIs from uh more than a thousand financial institutions in 11 countries.
00:09:10.879 --> 00:09:11.200
Yeah.
00:09:11.360 --> 00:09:23.679
I want to talk about building from Uruguay in fintech, which I have uh a few maybe assumptions or thoughts about Uruguay, and you could tell me if I'm right or wrong and like how how this might have helped.
00:09:23.919 --> 00:09:32.080
So Uruguay is a small, safe, stable country surrounded by big, loud, chaotic countries.
00:09:32.159 --> 00:09:36.879
Um people look to Uruguay sometimes as the Switzerland of Latin America.
00:09:37.039 --> 00:09:39.279
So the banks are just kind of different there.
00:09:39.440 --> 00:09:55.200
So tell us maybe about how you thought about your thesis and you know, building for Uruguay and Fintech, and then you know, the rest of Latin America is just different, bigger, and maybe they have different financial issues or problems.
00:09:55.600 --> 00:10:03.279
Well, you know, I think that for financial infrastructure applies the same that can apply for language, you know.
00:10:03.919 --> 00:10:11.120
We are used to think about okay, Latin America, living Brazil aside, the rest of the region talks Spanish.
00:10:11.440 --> 00:10:17.600
You know, and if you go to Buenos Aires, you will see that the Spanish is very different from the Chilean one.
00:10:18.159 --> 00:10:22.399
You have the Yapo, and in Argentina is Botan.
00:10:22.720 --> 00:10:26.320
No, it's very different than Mexico, orale.
00:10:26.960 --> 00:10:29.759
Each Spanish has its own flavor, you know.
00:10:30.320 --> 00:10:34.080
And for financial infrastructure, it's the same, you know.
00:10:34.240 --> 00:10:37.519
And so each country has its own financial infrastructure.
00:10:37.600 --> 00:10:49.200
And so we are somehow like the last financial mile addressing the issues of that infrastructure, but then on top of it, creating a standardization layer, you know.
00:10:49.440 --> 00:10:56.320
And um initially our thesis was pan-regional, you know.
00:10:56.559 --> 00:11:04.799
During the first two startups, we were very focused in the Uruguayan market because they were B2C companies, both of them.
00:11:05.039 --> 00:11:10.399
But when it came to building Prometeo, it was it was obvious that it was B2B.
00:11:10.480 --> 00:11:17.279
And of course, like Uruguay is very small, and the financial market is very concentrated with very few players.
00:11:17.440 --> 00:11:24.879
But because Uruguay is also so small, those players they don't have budget for tech tech uh like deployments.
00:11:25.120 --> 00:11:28.240
They don't take even the decisions at the local level, you know.
00:11:28.320 --> 00:11:38.720
Most of the decisions are taken by the like the headquarters, being that in Spain or in Brazil or in the US, you know, whatever.
00:11:38.960 --> 00:11:48.000
And so like at the local level, you have very like little flexibility, you know, and so the revenue opportunity becomes very, very small.
00:11:50.080 --> 00:11:59.120
And so for us, it became like really obvious that if we wanted to build a huge company, we had to go beyond Uruguay.
00:11:59.279 --> 00:12:07.600
And so from the beginning of Prometeo, the idea was creating like this huge layer of financial information, this highway of financial information and transactions.
00:12:07.759 --> 00:12:09.840
Our first customers were from Colombia.
00:12:10.080 --> 00:12:28.480
We moved right away to Mexico, you know, like I was living there for more than I think that nine months, you know, um, build like trying to understand how the financial infrastructure worked in Mexico, how they would address open banking, they would win, you know, like the revenue opportunity in that market.
00:12:28.960 --> 00:12:34.159
And then it was like, okay, where else can we find customers for this, you know?
00:12:34.320 --> 00:12:38.240
And we started integrating new countries, Panama, Peru.
00:12:38.399 --> 00:12:44.720
And so from the beginning, for us, it was all about building connectivity across the region.
00:12:44.879 --> 00:12:55.200
Because at Rometeo, we do not define ourselves as a payment company or a data company or a payment player, a data player, you know.
00:12:55.360 --> 00:12:59.200
We are a connectivity layer, you know, and so what we do is connectivity.
00:12:59.360 --> 00:13:02.720
We help companies to interoperate with the financial sector.
00:13:03.279 --> 00:13:03.440
Yeah.
00:13:03.759 --> 00:13:09.919
Could you talk about just the general Latin America, maybe banking ecosystem?
00:13:10.000 --> 00:13:18.799
And, you know, I maybe like my my assumption is some countries and banks are much more closed off than others, and how you might navigate that.
00:13:19.120 --> 00:13:29.759
I think that there are a couple things that are very interesting about the current, like the state of the art in Latin America in terms of uh financial technology.
00:13:29.919 --> 00:13:42.480
The first thing I think is usually like the first years of this fintech revolutions in the of this fintech revolution in Latin America were very focused in building financial inclusion.
00:13:42.559 --> 00:13:52.480
You know, like the problem in Latin America was that people used cash and they were excluded of the financial sector, both credit cards and banks.
00:13:53.200 --> 00:14:08.799
Okay, and so I would say that since 2011, 2012 to 2020, there was a lot that was that happened that involved building inclusion.
00:14:08.960 --> 00:14:19.679
So making for people easy to access a credit card or a debit card, like power them with uh a wallet or a bank account.
00:14:20.080 --> 00:14:31.360
And I would say that Latin America did a great job in that direction, because like on average, we can talk about like we almost double the inclusion in the continent.
00:14:31.519 --> 00:14:34.080
Okay, and so that was a huge effort.
00:14:34.240 --> 00:14:43.279
I think that right now and like the last couple of years have been about understanding, okay, powering them with a credit card and a bank account.
00:14:43.519 --> 00:14:45.120
Is that financial inclusion?
00:14:45.279 --> 00:14:45.919
Is that it?
00:14:46.080 --> 00:14:47.120
You know, what else?
00:14:47.279 --> 00:15:01.200
You know, it's like because in many cases they have that bank account, they don't use it, you know, they have that credit card because they are but they are not using small and medium businesses, they keep using cash, you know, 80% of the transactionality goes over cash.
00:15:01.279 --> 00:15:03.360
You know, that's not an infrastructure, you know.
00:15:03.519 --> 00:15:06.799
How can we create a better penetration of digital payments?
00:15:06.960 --> 00:15:11.679
And I think that a lot has been happening around that, you know.
00:15:11.840 --> 00:15:20.080
And so right now you have real-time payment systems in, of course, Brazil, which is PIX, a huge success, you know, a huge success.
00:15:20.399 --> 00:15:23.039
The penetration was, well, hypergrowth, you know.
00:15:23.120 --> 00:15:33.440
Like I would say that any startup will dream with the metrics of success that PIX has had, you know, and an amazing accomplishment from the central bank in Brazil.
00:15:33.679 --> 00:15:40.559
You have Spay in Mexico, you have Breve, it's a PIX-like system that's been deployed in Colombia.
00:15:40.720 --> 00:15:50.159
Peru, for instance, is doing something a little bit different but equivalent, which is implementing UPI, which is the Indian real-time payment system.
00:15:50.480 --> 00:15:51.759
You know, the one from India.
00:15:51.919 --> 00:15:56.080
So they are taking it to Peru and implementing that, which is amazing.
00:15:56.159 --> 00:16:01.679
You know, it's like that would be something very different to what the rest of the region has done.
00:16:01.840 --> 00:16:08.000
You have open banking in Brazil, but then you have and you have real-time payments also in Argentina.
00:16:08.159 --> 00:16:11.519
You have open banking in Brazil, a huge success as well.
00:16:11.600 --> 00:16:16.879
Like the penetration of open banking in Brazil is better than the one in India or the one of the UK.
00:16:17.039 --> 00:16:20.559
So great infrastructure, fintech infrastructure in in Brazil.
00:16:20.720 --> 00:16:26.320
And also there's an open banking regulation in Brazil, in Chile, which is being implemented as we speak.
00:16:26.480 --> 00:16:26.799
Okay?
00:16:27.200 --> 00:16:40.240
And Colombia has a draft that will get to a regulation hopefully soon, you know, but I think that it's expected that towards next year we'll have like an in place a proper regulation of open banking in Colombia.
00:16:40.399 --> 00:17:05.839
And so I think that overall, the region has done a huge effort in order to mutate this infrastructure, you know, and taking it to the next level, understanding the complexities of the region, you know, and something that for me is especially using talking with US-based people in Latin America, credit cards do not have the penetration that they have in the US.
00:17:06.240 --> 00:17:07.279
So it's not the same.
00:17:07.440 --> 00:17:11.920
That's why alternative payment methods are so important in Latin America.
00:17:12.079 --> 00:17:19.359
And that's why the banking rails are so important in Latin America and have grown at the speed that they they've had, you know?
00:17:19.519 --> 00:17:34.079
Um, and so I think that we need to somehow like revamp this old legacy infrastructure from the banks to create this new layer of digital payments that complements the infrastructure from the credit cards.
00:17:34.400 --> 00:17:34.640
Yeah.
00:17:34.880 --> 00:17:37.839
You know, um two questions and they're a little bit different.
00:17:37.920 --> 00:17:51.680
Um the first is as you brought up the US, and there's a lot of US listeners on this podcast, is there maybe a company that um has a lot of similarities to what you're doing, like it maybe plaid or stripe or chime?
00:17:52.000 --> 00:17:58.079
Could you maybe maybe talk about uh a US player that might might be common to what you're you're solving?
00:17:58.400 --> 00:17:58.640
Yes.
00:17:58.799 --> 00:18:07.440
So I would say that in terms of the infrastructure that we have built and the connectivity that we offer, plaid definitely it's the benchmark.
00:18:07.759 --> 00:18:12.000
It's like, okay, and actually we used to say like we are plaid for LATAM, you know.
00:18:12.880 --> 00:18:22.799
But because LATAM works differently towards the US, it didn't make sense to keep saying that, you know, because at the same time we are similar, but we are not that.
00:18:22.880 --> 00:18:28.720
We are another thing, you know, like something that has been done thinking about the needs of this region.
00:18:28.960 --> 00:18:32.960
And so that's why uh like plat for Latam doesn't apply, you know?
00:18:33.200 --> 00:18:34.400
It's a different thing.
00:18:34.559 --> 00:18:36.559
It's like another Frankenstein, you know.
00:18:37.440 --> 00:18:40.799
And so, but I would say that the comparison applies.
00:18:40.960 --> 00:18:59.440
Then I think that in terms of perhaps like the go-to-market, it's more of a more treasury, you know, because different to Plaid, which has always been more consumer-facing or more inclined towards small and medium businesses, our sales motion is financial.
00:18:59.839 --> 00:19:05.680
Okay, and so our customers are large financial institutions operating in multiple countries at the same time.
00:19:05.839 --> 00:19:14.000
And so we enable them with better infrastructure so they can reach with better products their customer base, okay?
00:19:14.319 --> 00:19:17.920
But uh that's also different from what Plat does.
00:19:18.079 --> 00:19:18.400
Yeah.
00:19:18.559 --> 00:19:28.720
Um, and so I would say that we are in there in and in between our like uh the most popular use cases for Prometeo are account verification.
00:19:28.880 --> 00:19:34.000
So we are a top of mind player in verification of PE in the region.
00:19:34.160 --> 00:19:38.640
We are providing verification of PE in LATAM and the US.
00:19:38.799 --> 00:19:46.000
We launched our verification of PE product in the US um earlier this year with name matching capabilities.
00:19:46.079 --> 00:19:56.559
And so being able to offer that in the US, you know, and that like standardizing this verification connectivity across not only LATAM but also the US.
00:19:57.279 --> 00:19:59.839
And that for us is a huge milestone, you know.
00:20:00.640 --> 00:20:01.119
Yeah.
00:20:01.599 --> 00:20:09.440
And then we also provide an API to automate pay-ins and payouts in all of the countries that I just mentioned.
00:20:09.599 --> 00:20:09.839
Okay.
00:20:10.319 --> 00:20:22.160
And so I think that's something else different to what Plat does or what Monet Treasury does is that of course we have a cross-border angle to our payment solution, okay?
00:20:22.319 --> 00:20:32.000
Which is basically being able to offer connectivity to our customers in the countries where they do not operate and help them to operate there.
00:20:32.480 --> 00:20:34.079
Yeah, yeah, that makes sense.
00:20:34.240 --> 00:20:34.720
That makes sense.
00:20:34.880 --> 00:20:41.279
And then my other question is maybe just more of a comment on the state of inflation in Latin America.
00:20:41.359 --> 00:20:44.799
And by the way, like the US has its own problems, you know.
00:20:45.680 --> 00:20:46.799
Yeah, yeah, yeah.
00:20:47.279 --> 00:20:49.119
US certainly has its own problems.
00:20:49.200 --> 00:20:57.759
And there's, you know, uh, I mean, you know, as I lived in Argentina a long time ago, you know, there's what the state says it is, and there's what it really is.
00:20:57.920 --> 00:20:58.079
Yeah.
00:20:58.240 --> 00:20:59.599
You know, the alternative realities.
00:20:59.680 --> 00:21:10.880
But it got me thinking about banking penetration, you know, and people wanting to trust banks and use banks and you know, you're not and have a lot of control over that, you know, and and inflation.
00:21:10.960 --> 00:21:29.359
But maybe just if you had a comment around banking penetration versus countries with high inflation, low inflation, and how that maybe impacts your your I think that doesn't impact our company as it is, but I think that definitely it was a driver for us, you know?
00:21:29.839 --> 00:21:32.720
A driver to build what we build.
00:21:32.960 --> 00:21:41.279
And this is something that I it's very dear to me, you know, it's something very important, which is core to my beliefs as an entrepreneur.
00:21:41.519 --> 00:21:47.519
Which is like in LATAM, like we have like these issues, you know, inflation, devaluation, poverty.
00:21:47.680 --> 00:21:52.079
On top of that, you have like, of course, money is scarce, you know?
00:21:52.240 --> 00:22:12.000
Like it's difficult to earn money, it's difficult to keep the money, you know, because you all the time are spending on things, you know, trying to cope with your budget, you know, somehow make miracles, turn of events and being able to pay everything that you have to be to pay, you know, and that's like daily life for an average person in Latin America.
00:22:12.160 --> 00:22:22.640
But on top of all of those things, you have like this thing about the experience of money, you know, it's very hard to open a savings account.
00:22:22.799 --> 00:22:30.880
And so when you have savings, like it's a nightmare navigating like the bank branch in order to open the bank account.
00:22:31.039 --> 00:22:44.559
And so if you want to save, then you don't like the bank won't pay you a rate on the money that you've put there, you know, and so like it's not just like earning money, but also saving money is very hard.
00:22:44.880 --> 00:22:46.640
Investing is very hard, you know.
00:22:46.720 --> 00:22:54.720
And so it's not just like that overall money is scarce, but also that the experience with money is very hard, you know?
00:22:54.960 --> 00:23:04.160
And because everything that you will do related to money, it will be awful, you know, like painful, you know, it will become a struggle for you.
00:23:04.400 --> 00:23:13.680
And so I think that's something, and and this is something that I always tell the team, as entrepreneurs, we won't have a saying on inflation, devaluation, poverty.
00:23:13.759 --> 00:23:21.680
You know, that that's not, you know, that's that's another set of people that uh they they have to to like get that better.
00:23:21.839 --> 00:23:38.319
As um fintech entrepreneurs, we do have a saying on reshaping like this experience of money, yeah, like making for people easier to have like all these experiences towards money and feel about money in a different way that they do right now, you know.
00:23:38.480 --> 00:23:52.480
And and I think that those macros somehow like create this context in which like at least being able to solve that friction for people, I think that that's that's very it's challenging, but at the same time it's very comforting.
00:23:52.720 --> 00:23:53.920
Yeah, yeah, I like that.
00:23:54.160 --> 00:24:00.799
On on our podcast, we've had several VCs that have invested in Latin America.
00:24:00.960 --> 00:24:03.519
Some are based in Latin America, some are in the States.
00:24:03.599 --> 00:24:13.519
And for me, it's very exciting because I think 10 years ago there wasn't a lot of attention and you know, new capital flowing in for entrepreneurs.
00:24:13.680 --> 00:24:16.000
I think it's wildly different today.
00:24:16.160 --> 00:24:17.599
There's a lot more attention.
00:24:18.000 --> 00:24:29.599
But I'd like to just focus on your specific scenario of at what point did you decide you needed to raise capital, you wanted to raise capital, and how did you think about that?
00:24:29.680 --> 00:24:36.160
And obviously you were successful, so if you have any advice for those listening on on your own uh experience.
00:24:36.559 --> 00:24:36.880
Yeah.
00:24:37.440 --> 00:24:53.119
And so when we started as an entrepreneur team, entrepreneurial team with my co-founders, with Rodrigo and Eduardo, like fundraising wasn't even a thing in Uruguay, you know, very small market.
00:24:53.440 --> 00:25:03.039
There was like there wasn't a BC ecosystem, you know, like no one like no one knew like where are the investors, you know, like how can I reach an investor?
00:25:03.680 --> 00:25:05.519
Where are they where do they live?
00:25:05.599 --> 00:25:08.880
You know, it was like, I don't know, you know, it wasn't a thing.
00:25:08.960 --> 00:25:10.079
It wasn't possible.
00:25:10.319 --> 00:25:15.839
For us, yeah, of course, we bootstrapped, you know, and for us, it was all about getting customers.
00:25:16.000 --> 00:25:17.920
Like, how can we get customers?
00:25:18.079 --> 00:25:23.920
Um, the like the the first two startups, like that was our our mindset.
00:25:24.079 --> 00:25:35.680
Uh, but then when we started building Prometeo, um Mexico, Mexico launched uh like this um framework, which was the fintech law addressing open banking.
00:25:35.759 --> 00:25:45.119
And so we thought, okay, we should go definitely to Mexico because we think that time to market there is more nearer than anywhere else in Latin America.
00:25:45.279 --> 00:25:51.839
And so we went to Mexico, and in Mexico, the BC ecosystem was much more developed.
00:25:52.000 --> 00:25:52.319
Okay.
00:25:52.799 --> 00:25:57.599
Uh there was another maturity in the startup ecosystem.
00:25:57.759 --> 00:26:13.200
And we started talking with other entrepreneurs, and then it became somehow like obvious that if we wanted to build something in the scale of what we wanted to build, something that would operate in 11 countries, you know, like revamping the financial infrastructure.
00:26:13.359 --> 00:26:26.720
If that was the scale of the of the vision, that vision needed to be powered with another scale of funding, you know, especially given time to market, given that the opportunity was now, not in 15 years.
00:26:26.880 --> 00:26:29.759
And so we started fundraising, you know.
00:26:29.920 --> 00:26:35.920
Um something that I'm always very honest about is the fundraising experience is very contextual.
00:26:36.079 --> 00:26:38.319
It's not the same for any entrepreneur, you know.
00:26:38.480 --> 00:26:43.680
And so my advice, I don't know, doesn't apply to all realities.
00:26:44.240 --> 00:26:51.200
Applies to mine and to others that might find themselves in a similar place of the one that I was, you know.
00:26:51.359 --> 00:26:56.559
And so uh yeah, I think that I've learned a couple of things along the way.
00:26:56.720 --> 00:27:05.759
I think that it's very important when fundraising to understand clearly the audience, you know, what's the the investor mindset, you know?
00:27:05.920 --> 00:27:14.960
And I think that that's very important because you can understand how is it that they are like like the boundaries, you know, like what is that they are thinking, you know.
00:27:15.119 --> 00:27:16.799
And and I think that that's very important.
00:27:17.039 --> 00:27:28.720
And I think that there's something that I've always done that has played in in my favor, which is like basically never gave up on an investor that said no.
00:27:29.119 --> 00:27:30.079
Yeah, yeah.
00:27:30.400 --> 00:27:36.640
Like I don't know, the investor that led our preceed, I talked with him for over a year.
00:27:36.880 --> 00:27:52.720
The investor that led our I talked with him for, I don't know, like more than two years, you know, always coming back, always showing results, always showing like the level of execution that we could have accomplished, you know.
00:27:52.880 --> 00:27:58.160
And ultimately, I think that that speaks for itself itself, you know.
00:27:58.559 --> 00:28:03.599
When you reach uh a certain amount of credibility, you become like unavoidable.
00:28:03.680 --> 00:28:06.240
You know, it's like, okay, there's definitely something here.
00:28:06.400 --> 00:28:08.880
Um and I think that that opens doors.
00:28:09.039 --> 00:28:14.319
It doesn't open all the doors, you know, but I think that it opens enough doors.
00:28:14.640 --> 00:28:16.240
Yeah, no, I think that's wonderful.
00:28:17.119 --> 00:28:28.000
As we start to wind the show down, I always want to um give our guests a chance to talk about their home countries, home cities for the sake of tourism.
00:28:28.240 --> 00:28:28.559
Okay.
00:28:28.799 --> 00:28:33.200
Uh so tell us more about Montevideo for those who've never visited.
00:28:33.359 --> 00:28:34.799
What do they have to do?
00:28:34.960 --> 00:28:36.079
When should they visit?
00:28:36.240 --> 00:28:37.200
What time of year?
00:28:37.359 --> 00:28:38.400
What should they eat?
00:28:38.559 --> 00:28:40.000
Tell us about that.
00:28:40.319 --> 00:28:41.119
Okay, amazing.
00:28:41.200 --> 00:28:42.000
Yeah, definitely.
00:28:42.240 --> 00:28:44.960
I well, I live in Montevideo, I love Montevideo.
00:28:45.039 --> 00:28:51.200
It's a very small city, very safe, very quiet, no, uh, 1.5 million people.
00:28:51.279 --> 00:28:56.559
Uh, I think that that's that number can create like it portrays uh what you can expect here.
00:28:56.799 --> 00:29:03.680
Not a crazy nightlife, not uh a lot of people, it's not very cosmopolitic, you know.
00:29:03.759 --> 00:29:06.079
It's like, but it's uh very calm.
00:29:06.240 --> 00:29:20.000
It's a city that you can come in order to relax, enjoy the seaside, a very beautiful seaside, enjoy um the sky, you know, um, enjoy uh like walking peacefully in the city.
00:29:20.160 --> 00:29:26.960
And and I think that um after 30s you reach an age in which you value all of those things, you know.
00:29:27.200 --> 00:29:32.160
So I would say that it's plus this is a plus 30 advice.
00:29:32.480 --> 00:29:44.240
Um and then I would say that in terms of food, great, great meat, great meat, great meat, ask for asado, and we have a local sandwich that is called chivito, ask for chivito.
00:29:44.400 --> 00:30:08.640
Um, and then in the last couple of years, great wines, not only tanat, which is like the wine that is more popular in like from Uruguay, you know, like the one that usually characterizes us, but great white wines, alvarinos, very nice alvarinos that are being planted in front of the sea, you know, like near Punta del Este, vineyards.
00:30:08.720 --> 00:30:14.799
If you like vineyards, you should go definitely to Punta del Este and visit local vineyards nearby.
00:30:14.960 --> 00:30:21.039
There are a couple of them: Viñaden, Garzon, of course, Altos de la Vallena, which is my favorite one.
00:30:21.119 --> 00:30:24.720
It's a more an underground one, but I would definitely go there.
00:30:24.960 --> 00:30:26.000
Cerro del Toro.
00:30:26.240 --> 00:30:27.920
And I like wine, by the way.
00:30:28.240 --> 00:30:29.920
It wasn't obvious by now.
00:30:30.079 --> 00:30:30.640
What else?
00:30:30.799 --> 00:30:38.480
When it comes to sweet things, there's a local cake made with Queen's sham that is called Pasta Frola.
00:30:38.799 --> 00:30:39.119
Okay.
00:30:39.279 --> 00:30:42.160
You should definitely visit a good bakery and ask for one.
00:30:42.400 --> 00:30:42.880
Amazing.
00:30:43.039 --> 00:30:43.920
I love this advice.
00:30:44.079 --> 00:30:46.960
I can't wait to go back and try some of these things.
00:30:47.200 --> 00:30:48.319
Especially the white wine.
00:30:48.400 --> 00:30:51.200
I didn't know that was a special thing in Uruguay.
00:30:51.279 --> 00:30:51.839
I did not know that.
00:30:52.079 --> 00:30:53.839
Yeah, a lot of Alvarino recently.
00:30:53.920 --> 00:30:59.519
Uh good chardonnays, but especially Alvarino, is something that you can find like a very good quality wine.
00:30:59.599 --> 00:30:59.839
Yeah.
00:31:00.079 --> 00:31:00.559
Amazing.
00:31:00.720 --> 00:31:05.440
Well, Zimena, it was my pleasure to have you on our show today.
00:31:05.599 --> 00:31:07.200
Thank you so much for being a guest.
00:31:07.440 --> 00:31:08.240
Thank you, Brian.
00:31:08.319 --> 00:31:09.680
It was a very fun conversation.
00:31:09.759 --> 00:31:10.559
I really enjoyed it.
00:31:10.799 --> 00:31:10.960
Good.
00:31:11.200 --> 00:31:19.200
Well, you're listening to the Nearshore Cafe podcast, sponsored by Plug Technologies, PLUG.tech.
00:31:19.519 --> 00:31:24.400
Great way to connect your team with all the amazing talent in Latin America.
00:31:24.559 --> 00:31:25.680
Thanks again for listening.
00:31:25.839 --> 00:31:26.880
We'll see you next time.