Colombia's budding tech scene needs a cash boost

Colombia's budding tech scene needs a cash boost 36 minutes ago Share Save Suzanne Bearne Technology Reporter, Bogota, Colombia Share Save Visit Bogota and it's hard to miss the Rappi bikes with bright orange bags featuring a moustache motif whizzing around the city dropping deliveries off. The on-demand Colombian delivery platform is lauded as the country's most successful tech start-up, with the unicorn (a company valued at over $1bn [£750m]) said to be worth more than $5bn, and attracting over 35 million active monthly users. Rappi's success signals a bigger change happening in Colombia – the country has shaken off its dangerous reputation, especially since the 2016 Peace Accord. It has become a magnate not only for tourists, but also immigrants moving to destinations such as Medellín and Bogotá from the likes of the US, Canada and the UK. The country has become a key business hub with an emerging start-up scene. In a report published by KPMG last year , the accountancy multinational counted 2,100 start-ups in Colombia, up 24% from the year before. "The country is in second position among the best start-up ecosystems in Latin America after Brazil," says Maria Peñaranda, manager of emerging giants and innovation at KMPG Colombia. Almost 80% of the country's start-ups are early stage, she says, demonstrating a dynamism in the creation of new companies. "Long-term cases like Rappi continue to influence the ecosystem as catalysts for talent recycling and investor confidence," says Peñaranda. She mentions other success stories: global payments firm Yuno and renewable energy company Erco Energy who have both transitioned into established companies with revenues of more than $10m and expanded across regions. Another start-up doing well is Foodology, which creates virtual restaurants, where the food is cooked in so-called dark kitchens. Founded in Bogota in 2019, the company has raised over $60m, employs more than 800 people, and claims to be fully profitable. Most of th...