Crossing Borders with Nathan Lustig

Before Divibank, small and medium enterprises in Brazil only had two financing options: getting debt from a bank or raising venture capital. But most startups don’t meet bank financing requirements, and not every company can raise VC or wants to raise VC.

Divibank provides a third alternative for startups and SMEs: revenue-based financing. Divibank launched in 2020 by financing digital marketing campaigns via a revenue share model. Since then, Divibank has launched other products including inventory financing and recurring revenue financing.

In this episode, I sat down with Rebecca Fischer, Divibank’s CPO and cofounder to talk about what she learned from working on digital marketing campaigns for huge brands, how she got Divibank off the ground, and how Divibank provides a better financing alternative for entrepreneurs in Brazil.

The overlooked potential of ad spend

Before starting Divibank, Rebecca worked for an advertising agency where she helped companies grow via paid digital ads. Clients invested huge amounts of money in their digital marketing campaigns, and the returns were great.

During her time running ad campaigns, Rebecca discovered two things that kickstarted the idea for Divibank: ad spend was a real asset class that could be an alternative to VC funding, and many people weren’t taking their ad spend as seriously as she thought they should be.

Listen to this episode to discover how Rebecca found an opportunity to provide financing for entrepreneurs to scale through digital marketing campaigns.

Non-dilutive capital to extend entrepreneurs’ runways

Divibank provides financing for founders who don't want to dilute themselves through venture capital and want access to capital to scale their businesses.

The startup’s clients are usually digitally native companies that know what their revenue will look like in the short term. They are looking for financing, but they are not ready yet to split the pie with many other shareholders. Divibank gives them the freedom to choose whether to raise VC money or keep growing with non-dilutive capital.

Check out this episode to find out how Divibank is helping founders in Brazil extend their runways and raise when they’re at a higher valuation.

Outline of this episode:

[01:10] - About Divibank
[01:42] - What financing looks like for SMEs in Brazil
[03:40] - Divibank’s average client
[05:10] - Rebecca’s background
[06:00] - Lessons learned from working in advertising agencies
[08:08] - ABC of non-dilutive financing
[11:30] - Divibank’s zero to one
[12:58] - Divibank’s first steps
[14:43] - Divibank’s experience with fundraising
[16:30] - Where is Divibank today
[17:49] - Rebecca’s book recommendations
[19:21] - Rebecca’s advice to a younger self
[20:10] - What’s next for Divibank

Resources and people mentioned:
Rebecca Fischer
Divibank
Kenshoo
Nubank
Jaime Taboada
Book Piranesi by Susanna Clarke
Podcast Fintech Leaders

Argentina has the most US dollars in circulation of any country after the US. Argentina’s high inflation rate, currency controls, and multiple devaluations make it difficult for people to plan for their future. Saving is hard, and many people don’t have the tools to save efficiently.

Manuel Beaudroit is co-founder and CEO of Belo, a digital wallet that helps Latin Americans plan for their financial futures by saving and spending in both fiat and crypto.

Manuel started out studying biology, worked at Accenture, and then created multiple businesses, including a brand of customized USB flash drives, before starting Belo.

In this episode of Crossing Borders, I sat down with Manuel to talk about Belo, his thoughts on entrepreneurship in Argentina, and how Belo is solving a pressing financial problem. We also talk about the misunderstandings surrounding cryptocurrencies.


Why can it be hard to save money in Latin America?

Inflation in Argentina is approximately 60-70% per year, and for many years acquiring US dollars was the most efficient way to save money. At the same time, government regulations and currency devaluation made it increasingly complex for people to buy US dollars.

In this episode, Manuel explains why crypto is becoming popular among Argentines and other Latin Americans and why many are eager to try new financial technologies.


Transforming people’s perceptions of cryptocurrency

Retail-oriented cryptocurrency products are often built with complex technologies. Sometimes they mimic Wall Street dynamics, but very few people understand how to trade stocks without losing lots of money. Complex user experiences won’t work.

Manuel finds that the cryptocurrency industry insists on talking about the technology that surrounds it. Instead, he believes it should focus on discussing the problems it can solve. In this episode, Manuel shares why one of Belo's main features is its simplicity and accessibility.


Outline of this episode:

[01:20] - About Belo
[01:59] - What does inflation look like in Latin America versus the U.S.?
[04:30] - Manuel’s background
[06:00] - Previous ventures before Belo
[10:27] - Why is bitcoin popular in Argentina?
[13:25] - Why Manuel started Belo instead of anything else
[16:30] - How clients use Belo
[19:43] - How will Belo’s use cases and products evolve?
[23:11] - Misunderstandings of crypto and Web3
[25:56] - Book recommendations
[26:45] - Advice to younger self
[28:20] - What’s next for Belo

Resources and people mentioned:

Manuel Beaudroit
Belo
Bitex
Accenture
Books
Build: An Unorthodox Guide to Making Things Worth Making by Tony Fadell
Technological Revolutions and Financial Capital: The Dynamics of Bubbles and Golden Ages by Carlota Pérez

Laura Martínez is a Senior Investment Analyst at Magma Partners, and she joined the team in 2021. Previously, she spent two years at Mastercard, where she helped launch an in-house accelerator program and fell in love with startups. In this episode, we went through Magma’s investment process, what Magma looks for in startups, and Laura’s experience working as an Investment Analyst.


How to get funded by Magma Partners

Magma invests in Latin American startups solving the region’s biggest problems. The best way to get in touch is by creating a Magma Memo, which explains what your business does in detail, why you wanted to start your business, and gives our team enough information to decide if it may fit our thesis. Next, Magma analysts like Laura review your memo to either provide feedback, ask for additional information, schedule a call, or let you know it doesn’t fit our investment thesis.

As Laura explains, it is essential to provide clear and specific information to help us give you feedback as fast as possible and get you money as quickly as possible if it's a fit for our thesis.

Listen to this episode of Crossing Borders to learn about Laura’s advice for startups that want to apply for Magma’s funding.

Why Magma looks for founder market fit

Laura reflected on why founder market fit is important to Magma: why are you the best person to solve the problem you’re trying to solve? Why do you care about this problem? Will you keep executing even after it gets hard?

For example, Magma’s portfolio company Kushki’s four founders had deep payments industry experience before starting the company. And Maribel Domínguez, founder and CEO of Círculo de Belleza, had already spent nearly 10 years in the beauty industry.

Check out this episode to find out why Laura believes founder-market fit is key to building a successful business.

Laura’s experience as a Magma Analyst

Laura thinks of her job as an opportunity to help unleash the potential startups have to create groundbreaking technology. And in many cases, the products they build can be life-changing for people in Latin America.

In this Crossing Borders episode, Laura shares what she likes most about working at Magma. She also talked about what the fund is looking for in candidates that apply to Magma’s open positions.

Outline of this episode:

[01:30] - Laura’s background
[02:56] - Making the jump from corporate to the startup world
[04:02] - Why she decided to work in the startup ecosystem
[05:35] - Steps Magma takes towards an investment
[07:20] - Advice for filling out Magma’s Memo
[09:45] - What a first call with Magma Analysts looks like
[11:37] - Founder market fit
[14:30] - The decision to make an investment
[15:20] - Processes after investing in a startup
[18:34] - What does an Investment Analyst do day to day
[22:22] - Advice to herself when starting her journey at Magma
[23:24] - Laura’s favorite things about working at Magma
[24:53] - Book and podcast recommendations

Resources and people mentioned:

Laura Martínez
Nathan Lustig
Magma Partners
Kushki
Círculo de Belleza
Maribel Domínguez
The Magma Memo
Alexa Clark
Pedro Pablo del Campo
Book The Startup Nation

Gregorio Gilardini is the co-founder and CEO of Leasy, a Peru and Mexico-based startup that provides car financing for Latin Americans. Starting with ride-hailing drivers, Leasy is helping drivers who have good credit and income but that banks won't lend to.

In this episode, Gregorio shares his experience as an Italian living and creating a business in Peru and what it’s like to raise money and build a business starting outside of Mexico and Brazil.

Lessons learned by an Italian doing business in Latin America

Originally from Italy, Gregorio studied in England before moving to Peru. He didn’t like his work as an intern in corporate banking, which confirmed that he wanted to follow his family’s entrepreneurial mindset and start his own business. Eventually, family ties led him to apply for an investment job at a family office in Peru.

In this episode of Crossing Borders, Gregorio shares how he decided to move to Peru and talks about the different businesses he built and the lessons he learned before creating Leasy.

Starting with ride-hailing drivers as a wedge to open the market

As a frequent user of ride-hailing services in Peru, Gregorio noticed that many drivers rented their cars because they could not access credit to buy one. These interactions sparked the idea for Leasy. In Latin America, ride-hailing drivers can generate up to four times the average salary, but because they have no fixed contract, they cannot access traditional financing.

Gregorio shared the main differences between Latin America and the US ride-hailing markets and explained why Leasy’s model is working in Latin America.

Fundraising in Peru, a “non-sexy” country for VCs

Gregorio describes fundraising in Peru as a double-edged sword. There is little competition, which helped Leasy scale quickly. But the limited access to local venture capital made it particularly hard to start the journey. Gregorio explains that it took an enormous amount of time just to get someone to finance the cars. Leasy had to prove to VCs that their milestones were achievable and that they would scale to larger markets quickly.

Listen to this episode of Crossing Borders to learn about Gregorio’s advice on how to raise money in Latin America when your business is not based in Mexico or Brazil.

Outline of this episode:

[01:19] - About Leasy
[01:46] - Why Leasy’s model makes sense in Latin America
[04:32] - Financing for ride-hailing drivers in the U.S. versus LatAm
[09:49] - Gregorio’s background
[12:15] - How did Gregorio end up in Peru?
[13:33] - Why Gregorio decided to build Leasy
[17:33] - Lessons learned from entrepreneurial experiments pre-Leasy
[19:40] - Steps to build and grow Leasy
[23:35] - Fundraising in Peru
[27:06] - Advice on the fundraising process
[32:16] - Books and podcast recommendations
[34:48] - Advice to younger self
[36:5] - What’s next for Leasy

Resources & people mentioned:
Gregorio Gilardini
Leasy
Fair
Credit Suisse
Podcast How I built this by NPR
Book Moonwalking with Einstein

Almost two-thirds of consumers ages 18 to 40 say ads are disruptive and annoying, while 54% say they don’t spend any time watching television with advertising, according to a study by Marketing Dive. The survey found that 73% of younger consumers trust product reviews from “a person that seems like them,” while 62% trust the recommendations of people who follow the same creators. This yearning for authenticity makes influencer marketing an important tool for brands that seek to cut through ad clutter.


50 million creators advertise products worldwide and more brands are shifting from hiring big creators with huge audiences, to finding micro and nano influencers to target niche products and advertise their products in a more organic way.

In this episode I sat down with Alessandra Angelini, CEO and cofounder of Influur, a marketplace that makes it easy for brands and influencers to connect and work together,
to talk about influencer marketing, the latest marketing trends and how brands can benefit from working with influencers.


From news to social media entrepreneur

Before becoming an entrepreneur, Alessandra worked at CNN alongside her now cofounder Paola Coleman as part of the breaking news team. They were both used to contacting presidents, heads of state and various public figures without difficulty so that they could be interviewed on CNN programs. However, both were surprised to realize that it was not so easy to contact influencers.

For the duo, it was an "aha!" moment. In the creative world, influencers don't have LinkedIn or a professional platform to monetize their work. This realization led Alessandra to join forces with her cofounders and take the leap to launch a platform that would allow brands and influencers to easily connect and monetize their collaborations.

Listen to this episode of Crossing Borders to find out how the four Influur cofounders met, and how they went from an idea to building a working marketplace for the creator economy.


When your customers become your investors

Fundraising is fundamentally a relationship game, and to Alessandra, a personal one. She is building a community and looks for investors who not only want to generate a financial return, but also add real value to her company. Some of Influur’s own customers - the influencers - became some of their first investors. Talk about the perfect brand ambassadors!

Although Influur is changing the way influencers make money and the way new creators can grow on social media, brands are the ones having their own "aha!" moments with the realization that partnering with influencers has a stronger ROI than paid ads.

Listen to this episode to find out how Alessandra started her fundraising journey from doing a spreadsheet to having top celebrities like Sofia Vergara and Thalia in the investment team.

Outline of this episode

[01:10] - Introduction to Alessandra
[01:29] - About Influur
[02:17] - The world of influencers
[04:36] - Alessandra’s background
[07:06] - Meeting her co founders
[08:04] - Finding a problem
[12:28] - From idea to launching a startup
[13:55] - Fundraising
[19:47] - Why should brands invest in influencer marketing?
[23:10] - Alessandra’s favorites podcasts and books
[24:27] - Advice to a younger Alessandra

Resources and people mentioned:

Alessandra Angelini
Valeria Angelini
Paola Coleman
Fefi Oliveira
Influur
Howard Schultz Masterclass
Bob Iger Masterclass
Sara Blakely Masterclass
Zero to One by Peter Thiel
The Subtle Art of Not Giving a F*ck by Mark Manson

As an intern at a law firm, Juan hated parking in cash-only parking lots. After having to go to the ATM or getting countless parking tickets, he thought there had to be a better way. In 2016, Parco was born in Guadalajara, Mexico, and has since expanded into 28 cities across the country. Parco allows parking lot operators to install a software system to their existing parking systems for consumers to pay using a credit card via the Parco app. Users can also pay for parking tickets and get information about their driving history.

In this episode, we discuss how Parco is changing how the parking business operates and improving people’s lives across Latin America. We talk about his journey from working at a law firm to becoming a full-time tech entrepreneur and how the pandemic accelerated the company’s growth.


From law firm employee to full-time entrepreneur

Juan knew nothing about the tech business world when he started Parco, but he did know a problem when he saw one. Juan drove a car to run errands for his job at a law firm in Guadalajara, and parking was a nightmare because parking lots only accepted cash. After a few costly parking tickets, Juan pitched the Parco idea to his boss, who thought it was a great idea and said he was willing to invest.

In this episode of Crossing Borders, Juan talks us through his experience creating a company with zero experience to building a startup that plans to scale to multiple Latin American countries.


Creating an easy and transparent way for people to pay for parking in Latin America


Before Parco, parking meant long lines, carrying cash, or walking to an ATM to take out cash if you didn’t have any with you. Today, Parco allows people to pay for their parking via an app, which is 10x better than waiting in line or running back into a mall to search for an ATM.

Parco also generates user demographics and data for operators to understand how users behave and how often they park while providing transparency and safety.

Check out this episode of Crossing Borders to learn more about how Parco provides more revenue to parking operators and why they chose to be a software vendor instead of hardware.


Scaling Parco in Mexico during the pandemic

The pandemic was a before and after for Parco. Before the pandemic, Parco had only launched in 8 cities. Since then, the Parco team launched 20 more cities remotely.

The pandemic not only accelerated the parking industry’s digitization but also changed the way Parco interacts with customers. The app quickly transitioned from an added value to a necessity.

In this episode, Juan shares with us how the pandemic became a milestone for Parco because of how they learned to scale and expand.

Outline of this episode:

[01:20] - What problem does Parco solve?
[05:08] - Juan’s background
[07:15] - Creating a company with zero experience
[09:45] - Parco’s geographic expansion
[12:07] - Covid-19’s effect on Parco
[15:26] - Choosing to be a software vendor
[16:48] - Planning for a LatAm expansion
[18:23] - Parco as an operating system
[20:30] - Data analytics for operators
[23:48] - Advice for a younger Juan
[24:55] - Book recommendations
[26:25] - Parco’s plans for the future


Resources & People mentioned:
Juan José Leaño
Nathan Lustig
Parco
Books
The Almanack of Naval Ravikant: A Guide to Wealth and Happiness by Eric Jorgenson
How to make friends and influence people by Dale Carnegie

Alexa Clark is an Associate at Magma Partners, an early-stage venture capital fund based in Latin America. After working for four years at an accelerator in Guadalajara, Mexico, Alexa joined the Magma team as an Investment Analyst and worked her way up to Associate. Although she majored in International Relations, she pivoted to the startup world to create more impact in Latin America.

In this episode, Alexa talks about her unconventional path toward venture capital, explains what are some red and green flags when she meets startups, and shares lessons learned from her time in venture capital.

Patience is key to being a successful venture investor

Learning to be patient is crucial because VC is a no business. 99 times out of 100, investors have to tell founders they won’t invest in their startup. Getting comfortable staying no is one of the first steps to being a successful investor.

According to Alexa, trusting your gut and being proactive is essential. FOMO, or the Fear Of Missing Out, is a strong force in this industry, but good investors must overcome this fear and avoid investing in trends just because everyone else is doing it.

In this episode, Alexa shares her experience investing in early stage Latin American startups.

Investor’s advice to early stage founders

Alexa believes that simple storytelling is better than using complicated jargon. Investors want to understand why a team is trying to solve a particular problem, how they think about the problem, and why they will be successful in solving it.

Alexa sometimes meets founders that get carried away trying to create FOMO or try to fit a problem into a business model or technology instead of explaining the problem and solution clearly.

Alexa doesn’t expect early-stage startups to have everything figured out. Be honest about your numbers and answer questions directly.

Check out this episode of Crossing Borders to get more tips on how to talk to VCs.

Which industries drive the most impact?

Alexa decided to pivot to the startup world because she thought she could make a bigger impact helping founders solve Latin America’s biggest problems than via international relations. Founders that solve big problems can impact millions or hundreds of millions of Latin Americans.

Listen to this episode to discover why startups make Alexa feel hopeful about Latin America’s future.


Outline of this episode:
[01:23] - The day-to-day as an Investment Analyst
[02:16] - Alexa’s background
[04:18] - Working at a startup accelerator
[05:28] - Starting at Magma Partners
[06:28] - Alexa’s evolution as an Investment Analyst
[09:28] - Do’s and Don’ts for founders
[11:24] - Red flags when meeting startups
[14:51] - What’s interesting about tech in LatAm?
[16:46] - What does Magma look for in candidates for Investment Analyst positions?
[19:50] - Advice to younger self
[21:53] - Alexa’s favorite things about working at Magma
[23:37] - Book recommendations


Resources and people mentioned:

Alexa Clark
Nathan Lustig
Magma Partners
Books:
A room of one’s own by Virginia Woolf
A gentleman in Moscow by Amor Towles

Two months ago HR tech startup Revelo acquired Listopro, a Mexican tech talent marketplace. In this episode, I interviewed the founders of both companies: Lucas Mendes (Revelo) and Giuseppe Belpiede (Listopro). Together, these startups have more than 300,000 tech professionals and are the largest platform for US companies to hire Latin American talent.

Lucas, Revelo’s cofounder, is Brazilian and previously started a beauty e-commerce company which was backed by Tiger Global and Kaszek. Originally from Italy, Giuseppe cofounded Rocket Internet startups like as Linio and worked at Foodpanda.

In this episode of Crossing Borders Lucas and Giuseppe discuss building HR tech businesses in Latin America, share insights about why they decided to work together, and share fundraising advice for startups.

The impact of Covid-19 on the remote tech talent industry

Giuseppe and Lucas founded their startups before the Covid-19 pandemic transformed the talent market globally. Revelo helps companies find, screen, source, and onboard remote Latin American tech workers and Listopro is a marketplace that helps companies hire tech talent in Mexico. The pandemic was a tailwind for both businesses, and Revelo grew seven times since 2020.

Listen to this episode to learn how Listopro and Revelo are solving one of the biggest bottlenecks for companies: hiring high quality tech talent.

Why Revelo Acquired Listopro and Listopro said yes

The Covid-19 pandemic attracted more US companies to Revelo’s services, which led them to. setup headquarters in Miami, as 80% of its business is in the US. As they expanded, Revelo decided they should find top talent across Latin America, not just in Brazil and started looking for opportunities to expand in Latin America.

After getting to know each other,Revelo decided that acquiring Listopro’s was the best way to expand, and Listopro was fully onboard with the Revelo mission. for expansion. They believe they will grow faster together than separately.

Check out this episode of Crossing Borders to understand how these startups are well positioned to connect the Americas through remote tech work.

Fundraising advice for entrepreneurs

Lucas and Giuseppe have impressive track records as entrepreneurs and have raised venture capital for multiple businesses at different times in the VC cycle.

In this episode, they shared advice on how to approach fundraising and explained why persistence can pay off, consistency is key and discussed how investors make decisions based on trust. Find out more about their recommendations in this episode of Crossing Borders.


Outline of this episode:
[01:50] - About Listopro
[03:50] - About Revelo
[08:30] - Lucas’ background
[12:42] - Giuseppe’s background
[16:55] - Giuseppe as part of Linio, Rocket Internet and LSE’s mafia
[19:52] - Lucas’ decision to pivot to HR in tech
[22:41] - Lessons learned by Lucas with his first startup
[25:09] - Advice from Lucas on fundraising
[28:18] - What’s wrong with incentives in VC
[30:55] - Giuseppe on fundraising for Listopro
[34:10] - Revelo’s expansion outside Brazil
[36:59] - Acquisition deal between Revelo and Listopro
[40:50] - Book and podcast recommendations by Lucas
[41:45] - Book and podcast recommendations by Giuseppe
[43:00] - Giuseppe’s advice to younger self
[44:55] - Lucas’ advice to younger self
[47:23] - What’s next for Revelo and Listopro


Resources and people mentioned:
Giuseppe Belpiede
Listopro
Lucas Mendes
Revelo
Rocket Internet
Linio
Foodpanda
London School of Economics
Beleza na Web
Tiger Global
Kaszek
Magma Partners
Books/Blogs/Podcasts
The Obstacle Is the Way: The Timeless Art of Turning Trials into Triumph by Ryan Holiday
Ego is the Enemy by Ryan Holiday
Platform Scale: How an emerging business model helps startups build large empires with minimum investment by Sangeet Paul Choudary
Why We Sleep: Unlocking the Power of Sleep and Dreams by Matthew Walker
Steve Blank blog
NFX blog
Paul Graham blog
Open by Andre Agassi

There are nine million motorcycles in Colombia, a country of 60M compared to eight million in the US, a country seven times larger, and Brazilians own 14+ million motorcycles. In Latin America, motorcycles are not transportation, they're also a work vehicle for delivery and courier workers.

Freelancers who work for delivery apps like Rappi, Uber and Didi use motorcycles and bicycles to make deliveries, but gig workers make ~50% more money if they have a motorcycle, because they can make deliveries faster and fulfill more orders per day.

I sat down with Daniel Otero to talk about how he is tackling financial inclusion via his company Ozon, a platform that finances motorcycles for gig workers and couriers in Latin America. We also discussed his entrepreneurial journey, the growth of Latin America's Motorcycle market, the advantages and disadvantages of running a multi-country company, and Ozon’s plans for the future.

Latin American motorcycle use is more like motorcycle use in SE Asia

In Mexico, gig workers purchase nine out of ten motorcycles and the motorcycle market is growing quickly. As more Latin Americans purchase motorcycles, they become more important to Latin American economies. Daniel believes that Latin America might look more like SE Asia in the future. .

Learn more about Daniel’s insights on the data and trends of mobility in Latam in this episode of Crossing Borders.

Becoming an entrepreneur: From Zero to One

Daniel always dreamed about becoming an entrepreneur, but it wasn’t after working in a traditional company and finishing his MBA that he actually launched his first startup, Muvo, a micro mobility app that paved the way for Ozon.

Daniel used what he learned starting Muvo to launch Ozon. This meant that from day one Ozon had access to data and resources to start testing different business models.

Listen to this episode of Crossing Borders with Daniel Otero to find out more about learning from mistakes, the importance of befriending your competitors and how to find new business opportunities.

Outline of this episode:
[01:25] - About Ozon
[02:54] - Numbers and stats
[05:05] - A trend like in South East Asia
[07:33] - Daniel’s background
[09:38] - About Muvo and its story
[13:50] - On launching Ozon
[15:15] - Lessons learned
[15:55] - Expanding to Mexico
[16:37] - Advantages and disadvantages of being multicountry
[18:44] - Insights on fundraising
[20:47] - Where is Ozon today?
[22:04] - Expanding to Brazil
[22:58] - The Colombian Entrepreneurial Mindset
[24:47] - Differences and similarities between Colombia and Mexico
[25:58] - Books and podcasts recommendations
[27:47] - Advice to a young Daniel
[28:44] - Plans for the future

Resources & people mentioned:

Daniel Otero
Ozon
TV Series: The Dropout
Book: Blitzscaling from Reid Hoffman and Chris Yeh

For this week’s episode of Crossing Borders, we’re revisiting one of our greatest hits episodes featuring Benjamin Labra, CEO and Co-founder of Houm.

Latin America’s real estate market is opaque, broken, and bureaucratic. The home buying process in the region can take up to a year, and even just renting an apartment requires having another property as collateral in some countries. There are many pain points in the industry that are being unaddressed by the market.

That’s why Benjamin Labra is looking to fix the broken real estate industry in Latin America with Houm, an end-to-end solution helping property owners rent, manage and sell their properties through an online marketplace.

I sat down with Benjamin to talk about how he’s tackling some of the industry’s deepest-rooted problems and streamlining the home buying and renting process in the region. We also discuss his experience at Y Combinator and how to build and maintain company culture once you go remote.

Real estate runs in the family
Real estate runs through Benjamin’s veins. He comes from two generations of Chilean real estate developers and was practically raised on construction sites and he always knew he wanted to do something on his own. For four years he managed his own private equity real estate firm and eventually decided to jump into tech.

Learn more about Benjamin’s journey into tech in this episode of Crossing Borders.

Houm: allowing apartment rentals without a cosigner
One of the ways in which Houm’s solution is truly revolutionary for the real estate market is that they’ve gotten rid of the cosigner. To mitigate this risk, the proptech guarantees the payment to the landlord even if the tenant doesn’t pay. In doing so, property rentals become much easier and faster to process – and can be done in less than 24 hours, compared to up to 3 weeks without Houm.

Listen to this episode of Crossing Borders to learn more about how Houm tackles the pain points of the real estate industry in Latin America.

The YC stamp of approval
Getting accepted into YCombinator can help many early-stage startups. Even though Benjamin and his team knew they were on the right path, the accelerator’s stamp of approval validated their vision.

Learn more about the ways in which participating in YC transformed Houm as well as the perception of US investors in this episode of Crossing Borders.

Benjamin Labra’s extensive experience in the real estate industry makes him one of the best-equipped people to tackle the challenges that property owners and tenants face in Latin America.

Outline of this episode:
[1:10] - About Houm
[2:28] - Pain points of the real estate industry in LatAm
[4:00] - A family of real estate developers
[5:32] - On Chilean talent
[7:33] - Jumping into tech
[8:35] - Switching from the investment side to running a startup
[10:05] - Basics of renting a property
[13:20] - Speeding up the renting process
[16:17] - A change in US investors’ perception
[18:52] - Challenges of operating remotely
[20:28] - Advice to entrepreneurs in smaller LatAm countries
[21:38] - Proptech boom in LatAm
[22:30] - Books, blogs, & podcast recommendations
[23:00] - Advice to Benjamin’s younger self

Resources & people mentioned:
Benjamin Labra
Houm
Book: The Hard Thing About Hard Things