Brazil Special Report: VC Awaits Big Breakthrough

Sep 1, 2008

Incubators for entrepreneurs in Brazil have increased three-fold during the past five years and venture capital has taken off. However, Brazil awaits a grand VC success story.

Keywords: venture capital Brazil


by Jason Mitchell

At the start of the decade, just 135 incubators – buildings or studios set up for budding entrepreneurs, often linked to universities – had been set up in Brazil, while more than 400 exist today, according to the Brazilian Venture Capital and Private Equity Association (ABVCAP). The incubators are home to some 4,000 start-ups, according to the Genesis Institute, an incubator attached to Rio de Janeiro’s Catholic University.

ABVCAP’s president, Luiz Eugenio Junqueira Figueiredo, says that 15-20 venture capital (VC) groups now exist in Brazil and that they have raised between 500 million and a billion reais since the year 2000. “The average venture capital fund now being set up in Brazil seeks to raise 80 million to 100 million reais while five years ago it could only raise 20 million reais,” Figueiredo says. “Many are now undertaking their second or third round of fundraising.”

Figueiredo adds...

To continue reading please take a free trial, subscribe or login below.


Already have an account?

Subscribe

Subscribe now for unlimited access to all current and archive news, data and market analysis. 

Subscribe

Free trial

Take a free two-week trial now for the latest news, data and market analysis.

Free Trial



LatinFinance Events

Poll

Are populist governments like Venezuela & Argentina turning pragmatic?

Vote