How does ApexBrasil help startups go global?

Brazil is one of the hottest startup countries in the world right now. But why? ApexBrasil has the answers.

The Brazilian government’s trade and investment promotion agency, ApexBrasil, is coming to Web Summit 2022 in Lisbon to showcase the best and brightest of Brazilian tech startups.

Ahead of Web Summit, we spoke with ApexBrasil’s head of global competitiveness, Clarissa Furtado, about Brazil’s VC scene, its growing number of unicorns, foreign direct investment and more.

Hi Clarissa. What’s your role at ApexBrasil?

I’m the head of global competitiveness. In this department, we’re dedicated to supporting companies that aim to start operations in foreign markets, regardless of their size. We have several special programmes directed at startups with a global focus.

What is ApexBrasil’s main goal? What are its main activities?

ApexBrasil is the Brazilian government’s trade and investment promotion agency. Its mission is to promote exports, the internationalisation of Brazilian companies, and foreign direct investment, in support of national public policies and strategies, and to contribute to the sustainable growth of the Brazilian economy.

The Agency currently supports around 15,000 companies in 80 sectors of the Brazilian economy.

ApexBrasil acts in several ways to promote the competitiveness of Brazilian companies in their internationalisation processes. The main services offered are market intelligence, business qualification, internationalisation strategy, business and image promotion, and investment attraction.

Clarissa Furtado, head of global competitiveness, ApexBrasil. Image: ApexBrasil

What kind of work does ApexBrasil do with Brazilian startups?

For startups, ApexBrasil offers support both to internationalise operations and to attract foreign investment.

Our internationalisation programme assists companies that intend to open or expand operations abroad. It’s a customised service that helps companies prepare their international expansion plans through training, missions and local support around the world.

Regarding investment activity, ApexBrasil supports international investors in identifying the best opportunities to establish a presence in Brazil, begin a partnership with a Brazilian company or invest capital in Brazil.

How has ApexBrasil helped to promote trade and investment between Brazil and other countries?

Among other activities, we organise prospective and commercial missions and business rounds, support the presence of Brazilian companies in major international fairs, and invite foreign buyers and opinion makers to get to know Brazilian business and industry.

We have a qualified, client-oriented team with the ability to adapt its scope and direction to meet the specific demands of exporters and investors.

Despite global challenges to trade – such as tariff and non-tariff barriers – we work together with different partners and counterparts to tackle these issues and expand markets for Brazilian companies.

ApexBrasil exhibition booth at Web Summit 2021. Image: ApexBrasil

How would you describe the Brazilian innovation ecosystem in terms of its growth and maturation in the last few years?

Brazil is a pioneer when it comes to innovation. For decades its agencies and institutions have led groundbreaking research in new technologies across all major economic sectors.

The startup business, specifically, gained traction over the last decade and, since then, more than 20,000 startups emerged in the ecosystem.

Are there many unicorns emerging from this scene?

Since 2018, big investment firms have found Latin America a fertile ground for disruptive businesses. This was the year when the first ever Brazilian startup – a transportation app called 99 – reached unicorn status.

“The largest startup sectors in Brazil are edtech, health and life sciences, fintech, agtech and ecommerce.”

Clarissa Furtado, ApexBrasil

To date, Brazil has become home to 30 unicorns. In 2021 alone, 11 startups from multiple sectors became unicorns. Brazil currently ranks ninth globally in terms of total number of unicorns, putting it ahead of countries including South Korea, Singapore and Japan.

According to the Brazilian Startups Association, by 2026 there will be 100 startups with unicorn status in the country.

What are the largest or fastest-growing segments or verticals?

Out of the 20,000-plus startups that have been founded in Brazil since 2011, there are currently almost 14,000 active ones, spread across 78 sectors in more than 690 cities.

The main sectors are edtech, health and life sciences, fintech, agtech and ecommerce, and about a third of these startups are already in a growth phase or scaling up.

The ecosystem’s high performance is reflected in these companies’ search for new markets. According to the latest Abstartups survey, around 18 percent of Brazilian startups already operate abroad, and this number is expected to grow in the coming years.

In terms of diversity, are you working with many women-led businesses?

Among our delegation, at least 14 companies are going to be represented by women, and the numbers show woman-founder presence is steadily growing.

What is the VC scene like in Brazil?

The corporate VC market in Brazil has never been so heated. In the last year alone, several big national companies launched their startup investment vehicles. Today, there are at least 150 corporations investing in the startup sector. In Latin America, Brazil is positioned as the region’s leader.

In 2019, the market was already booming. Large companies have since started to evolve out of hackathons, open innovation programmes, partnership projects, proofs of concept and pilot phases, and are reaching the stage of actual investments and corporate venture capital within formal VC programmes.

The Brazilian Legal Framework for Startups, sanctioned in 2021, reflects the major change in the sector, with a substantial increase in the availability of capital.

How many startups are in the Brazilian delegation this year at Web Summit?

This will be the biggest Brazilian participation of all time at Web Summit. ApexBrasil and the Embassy of Brazil in Lisbon, in partnership with other Brazilian institutions, will promote an internationalisation mission for 76 startups with the potential to open operations in Portugal or elsewhere in Europe.

Brazilian participation in Web Summit will also include a special Brazil pavilion that will operate as a meeting point for all Brazilians at the event. Our purpose is to show Web Summit attendees how dynamic and innovative our ecosystem is.

Can you give us a few examples of these startups? What will they be doing?

Our delegation consists of technology-based companies with scalable solutions and the potential to open operations in Portugal or Europe. They’ll have the opportunity to present their pitches in a demo day, during which they’ll run demos and hold meetings with investors.

Some of these startups are already operating abroad. Jade Autism, for example, has already established a presence in the UK. Founded in 2018, this startup developed an app for those with autistic spectrum disorder. The app takes the form of a game that stimulates cognitive development. Jade Autism has already received €200,000 in European investment and is attending Web Summit 2022 with an eye to international expansion.

Some companies, such as telemedicine startup MedAssist, are attending specifically with a view to attracting investment. MedAssist provides remote orthopaedic care for emergency departments that don’t have an expert available in person.

What do you hope to get out of your Web Summit experience this year?

ApexBrasil has been going to Web Summit since 2018. It is a globally relevant event, and is considered one of the main events for innovation and entrepreneurship in the world today. It’s an ideal platform to showcase Brazilian startups and help them reach their goal of going global.

Portugal is one of the main destinations of interest and a gateway to Europe. Therefore, ApexBrasil is leading Brazilian participation in Web Summit towards a common goal of presenting the best of our startups and the innovations they have to offer to the world.

To learn more about ApexBrasil, visit the company’s website.

Main image: ApexBrasil