Village Capital and Moody’s have partnered to create a new accelerator program in Latin America. This program will support eight to ten startups that are working to create pathways for Latin America’s middle class and to improve economic mobility. Applications opened on April 25th and will close on June 25th.
Although Latin America’s economy is developing, inequality and the difficulty to climb the income ladder are still pressing issues. According to a World Bank report, Latin America’s middle class now represents 30% of its population, which is a historic high for the region. The report also points out that this increase is the result of growth dynamics and job creation.
Nevertheless, worsening economic conditions around the world threaten to push people back from their newly achieved status. If Latin Americans are to continue participating in economic mobility, the region needs to implement projects and policy reforms related to education, employment and access to financial services, among others.
This is a challenge that the startup ecosystem and entrepreneurs from Latin America also have to face. Considering the social and economic context of the region, Village Capital and Moody’s launched this program to support startups that are backing Latin America’s middle class. The startups that apply should focus on helping people move from the informal sector and into the middle class, or helping those that are already middle class thrive. Village Capital and Moody’s are looking for companies that strive to:
- Improve education and provide skill-building opportunities;
- Contribute to improved access to formal financial services, insurances, and employee benefits;
- Increase financial health alternatives for unexpected expenses, savings, and economic mobility
The startups that apply must be legally incorporated as a for-profit entity, be less than 5 years old, and have less than $1M in annual revenue.
The selected entrepreneurs will meet in three online workshops and one in-person workshop from August through October 2022. This program will provide entrepreneurs with opportunities to build connections with other founders and Village Capital’s investor and alumni network.
The curriculum is also focused on providing mentorship, training, advice, and tools to help them scale their impact. Also, one founder or C-suite member of the startup will access an all-paid trip to Mexico City, where they will interact with one of Latin America’s biggest ecosystems.
For more information, reach out to Sofía Cándano at Village Capital (sofia.candano@vilcap.com).