- Pre-Seed – Early stage investment between $25,000 and $75,000
- Seed Round – Investment between $100,000 and $500,000, ideally, but not necessarily, a follow on investment into a Pre-Seed investment
- Series A – Up to $1.5M investment as follow on investments into our Pre-Seed and Seed portfolio companies
We’re looking for high potential entrepreneurs with startups in two main niches: Fintech, Insurance Tech and Blockchain startups that attack the Latin American market or startups that have a presence in Latin America, but whose target market is the US.
We define startups as high potential companies that are attacking a market with potential for scalable growth. They are not traditional businesses that just happen to use the internet.
We invest $25,000-$75,000 into high potential companies that have some amount of traction. These companies could have a product, but no clients, clients, but no product, or a great idea that’s somehow been validated by the market. We like to be the first investor into a company, not counting equity free grants, but can coinvest at this stage.
We invest $100,000-$500,000 into companies that have a bit more traction that companies at the seed stage. We’re looking for companies that have demonstrated the ability to build a product that solves a problem for its clients. These companies might not have achieved 100% product market fit, or may need investment to continue to grow.
We prefer to follow on invest at seed stage into a Magma Partners Pre-Seed company, but are happy to co-invest at seed stage into companies that have received previous investment from another fund or where another fund joins us at Seed Stage.
We can invest up to $1.5M into Magma Partners portfolio companies that have received Pre-Seed or Seed stage funding. We are not currently making first investments directly at the Series A stage.
If you’re looking for investment at this stage and are not already a Magma Partners portfolio company, please feel free to reach out for feedback, as our LPs are from some of the top Family Offices in Latin America, US and China and we’d be happy to share interesting startups with them.
We’re looking for:
Traction: Traction means clients, revenue, letters of intent, successful meetings or something similar. Not just an idea. If you just have an idea, we want you to go out and validate it. If you want ideas about how to validate your business without money, check out our blog or send us an email.
A revenue model: You must have a way to make money or at least an idea of how you’ll make money in the future.
Domain knowledge and personal experience: We’d like you to have some experience in the industry where you seek to grow, and with the problem you’re trying to solve.
An unfair advantage: We’d like you to have a solid reason, other than “we’re really smart” (we already know that!), for why you’re going to succeed over your competitors.
A Balanced team: We look for balanced teams whose skills compliment each other and hopefully have previously worked together.
We prefer to be the first investor in the companies we work with, but will invest in high potential companies that already have a previous investor.
We’re very interested in hearing more about your business– please fill out our application form and a partner will get in touch with you as soon as possible, usually within a week.