91 posts Posts by davesuperman

Top tech conferences in Brazil

If you are serious about startups, I can’t recommend highly enough going to the programming conferences.  Its the best way to find good programmers and potential cofounders.  Of the annual programming conferences in Brazil every year, don’t miss the following are: 1) RubyConf Brazil. Formerly Rails Summit Latin America, this event draws 700 attendees over 2 days.  Since Ruby is highly popular among US startups, this attracts a lot of talent interested in this area. …

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Barriers to innovation in Brazil

Brazil has many low hanging innovation “fruit”; problems unique to Brazil with huge markets crying out for innovative solutions. However, there is 10% of the innovation in Brazil than there should be. Here are a few reasons why: Structural barriers to iteration: High barriers to opening AND closing businesses Complex and time-consuming tax and legal system (and high corruption) Underdeveloped seed and growth capital markets High cost of doing business as a startup compared to …

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Is the tech scene in Brazil a bubble?

Brazil is a very hot market at the moment and naturally people have started asking whether it is becoming a bubble.  I think there are a couple of questions here: 1) Is the market over valuing startups? 2) If there is a correction, will people flee the market? Answer to 1 is I’d say it’s about right overall (maybe a little over valued in e-Commerce). Brazilian startups are almost entirely focused on the Brazilian market …

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Foreign startups in Brazil

Brazil is a target market for many US startups and you will find many popular US websites that have entered Brazil organically. The biggest social networks in Brazil are mostly from the US such as Facebook, Twitter and LinkedIn.  LiveMocha (US) has a strong presence in Brazil which I don’t believe was the original plan but Brazilian’s loved the service. Groupon (US) entered organically via their international partner Rocket Internet (German). Lieferando (German) entered recently in …

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8 legal reforms to improve the Brazilian startup scene

The legal system in Brazil is extremely complicated and tends hurts startups rather than nurturing  them.  There is much discussion in the startup community as to how to improve the competitiveness of new tech companies through reforms.  Here are 8 reforms that could have a positive effect on the Brazilian startup scene: 1) The legal process to open a company should be integrated and streamlined so that opening a company takes less than 48 hours and …

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Internet copycats in Brazil

The clones have arrived in Brazil. What works somewhere else that could work in Brazil? The majority of startups funded in recent year are following in US startups footprints it seems. Brazil is a risky place to do business, especially for early stage companies without a proven business model. So, it makes sense that entrepreneurs and investors try and reduce this risk by focusing on business plans that work elsewhere. Like with any list of …

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Top 10 cloned websites in Brazil

Found a website that is successful in the US and want to bring it to Brazil?  If you have this idea, you are not alone.  Cloning websites with proven business models is big business and the leading cloning funds from Germany all have a strong presence in Brazil, attracted to Brazil’s highly social internet environment like moths to a flame. Berlin based Rocket Internet has a firm stronghold in cloning websites in Brazil after the success of …

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Top 5 mistakes that foreign startups make when entering Brazil

There are many foreign startups that have entered Brazil in recent months, attracted by the high number of Internet users and the opportunity to grow. I have noticed they tend to make the same mistakes. Here are a few to avoid: 1) Underestimating the cost of doing business; talent is extremely expensive, cost of quality services is very high, high rent etc. 2) Underestimating the bureaucracy involved with opening the company; things take longer and …

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How Peixe Urbano got its name

Peixe Urbano is a Group buying site which started in Brazil and is one of the references in Brazilian internet. Originally, Julio wanted to choose an animal that would be easy for people to remember. Fish (peixe) worked well since fish travel in groups. The first name was Peixe Gordo, which means fat fish but their communications director thought that the word “fat” might put people off. Since the fish were imagined to be swimming …

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Top Brazilian VC funds

Brazilian venture capital is not as developed in the US (less money and fewer funds) and there was historically a gap in the market in growth capital for startups which required $500k-1.5M to get off the ground.   However, in 2012 the VC industry is growing quickly with several new funds created in the last couple of years to invest in consumer internet. There is a long list of VCs at ABVCAP (Brazilian Association of Venture Capital and Private …

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