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Brazilian Neobank Conta Simples receives US$41.5M investment to expand its portfolio with credit operations

January 9, 2024
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Conta Simples
Conta Simples
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Conta Simples
In a series B round led by Base10 Partners, the corporate card and expense management solution secures investment to expand its portfolio, with credit operations, shortly after obtaining the BC license to operate as SCD and reaching breakeven.
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About the investment

The main expense management and corporate card platform in Brazil, Conta Simples ended 2023 as its best year in history, reaching breakeven and obtaining a license from Bacen (Brazilian Central Bank) to operate as an SCD (Direct Credit Society). The forecast for 2024 is even more optimistic with the announcement of one of the biggest fundraisings of the year in Latin America, a series B round of $ 41.5 million USD, the equivalent of more than R$ 200 million. The company’s series A investors all participated in the round, led by Base10 Partners, with contributions from Valor Capital, Jam Fund, Y Combinator, Big Bets, Broadhaven and DOMO.

Rodrigo Tognini, CEO and co-founder of fintech Conta Simples, highlights that the contribution will enhance these goals, helping to bring more efficiency to the business, which closed 2023 reaching the break-even point and with R$18 billion in TPV, the company's best result so far.

“Reaching breakeven and receiving a new investment are relevant milestones in the company's financial journey, which bring prospects for us to continue growing in a healthy way and expanding our operations with the launch of solutions complementary to the company's core. The funding opens up an even greater range of opportunities to launch products, implement significant improvements in all the services we offer, by optimizing the usability of our platform for customers to have their journeys improved”, he explains.

The investment round took place without the need to open a formal fundraising process or even a pitch deck, and almost doubled the amount received in the last round (Series A), R$ 121 million. This round also reinforces the company’s doubling down on governance, with Base10 managing partner TJ Nahigian joining the board.

“Already a leading fintech in Latin America, Conta Simples has what we believe to be the greatest growth potential in the region.We have invested in the startup since 2021 and we believe in the project and know that there are still many possibilities for expansion in 2024, broadening the scope of corporate expense management and cards for Brazil and beyond”, noted TJ Nahigian, co-founder and Managing Partner at Base10 Partners.

In the United Stages, the funding was advised by WilmerHale, an office that provides global legal representation, while in Brazil FM/Derraik, reference in the Brazilian VC, was ahead of the process.

Expansion forecast

The license to operate as an SCD, obtained from Bacen in December, allows the fintech to follow a new, even more comprehensive path of working with credit, combining the corporate card platform, digital account and payments with complete credit management software. expenses that unlock the payment flows and routines of financial managers.

“We are focused on using investment strategically to boost the business, exploring growth opportunities and generating sustainable returns for everyone who believes in our work. As SCD, we can increasingly invest in products for companies, and consolidate the platform as the maximum reference in saving time and money. In addition to granting credit, we can also work with other products, such as; financing, credit rights, 'buy now, pay later', evolving the credit card product and offering many other services within our technological platform to deliver an even better experience to our customers”, evaluates Taeli Klaumann, CFO of Conta Simples.

Conta Simples also intends to continue at a strong pace of increasing its customer base - multiplied three times in 2023 and already totaling more than 30 thousand active users -, evolving the company's distribution channels and expense management software. To fulfill this mission, the team will grow extensively in 2024, with plans to open and fill nearly 100 new roles throughout the year.

Fintech growth until 2023

One of the 100 Startups to Watch 2023, Conta Simples has issued 500K corporate credit cards, which helped the company achieve a TPV of R$5 billion on physical and digital cards alone. By offering a complete corporate digital account solution combined with a financial management service that facilitates customers' routines, Conta Simples streamlines the expense control process and allows for customized monitoring, whether by department, reason or employee.

Last year, one of the highlights of the Conta Simples allowing the company to reach these marks was the SCALE card, whose main features are spending control with a predefined limit for use in different areas and purposes, which are defined by each organization (from expenses for travel and events to costs for specific departments such as marketing, sales, etc.), complete management reports on card usage, expenses divided by cost center, attachment of invoices and options for creating recurring and temporary virtual cards.

Since the acquisition of Hackr Ads in 2022, Conta Simples has also integrated its operations, which gives the paid traffic startup's customers the opportunity to use fintech, and thus have access to an even better journey to manage campaigns, also with payment. The basis of Conta Simples benefits from a product that helps in the efficient management of ads, with more intelligence, assertiveness and reduced advertising costs.

Las opiniones compartidas y expresadas por los analistas son libres e independientes, y de ellas son responsables sus autores. No reflejan ni comprometen el pensamiento u opinión de Latam Fintech Hub, por lo cual no pueden ser interpretadas como recomendaciones emitidas por la platafomra. Esta plataforma es un espacio abierto para promover la diversidad de puntos de vista sobre el ecosistema Fintech.

About the investment

The main expense management and corporate card platform in Brazil, Conta Simples ended 2023 as its best year in history, reaching breakeven and obtaining a license from Bacen (Brazilian Central Bank) to operate as an SCD (Direct Credit Society). The forecast for 2024 is even more optimistic with the announcement of one of the biggest fundraisings of the year in Latin America, a series B round of $ 41.5 million USD, the equivalent of more than R$ 200 million. The company’s series A investors all participated in the round, led by Base10 Partners, with contributions from Valor Capital, Jam Fund, Y Combinator, Big Bets, Broadhaven and DOMO.

Rodrigo Tognini, CEO and co-founder of fintech Conta Simples, highlights that the contribution will enhance these goals, helping to bring more efficiency to the business, which closed 2023 reaching the break-even point and with R$18 billion in TPV, the company's best result so far.

“Reaching breakeven and receiving a new investment are relevant milestones in the company's financial journey, which bring prospects for us to continue growing in a healthy way and expanding our operations with the launch of solutions complementary to the company's core. The funding opens up an even greater range of opportunities to launch products, implement significant improvements in all the services we offer, by optimizing the usability of our platform for customers to have their journeys improved”, he explains.

The investment round took place without the need to open a formal fundraising process or even a pitch deck, and almost doubled the amount received in the last round (Series A), R$ 121 million. This round also reinforces the company’s doubling down on governance, with Base10 managing partner TJ Nahigian joining the board.

“Already a leading fintech in Latin America, Conta Simples has what we believe to be the greatest growth potential in the region.We have invested in the startup since 2021 and we believe in the project and know that there are still many possibilities for expansion in 2024, broadening the scope of corporate expense management and cards for Brazil and beyond”, noted TJ Nahigian, co-founder and Managing Partner at Base10 Partners.

In the United Stages, the funding was advised by WilmerHale, an office that provides global legal representation, while in Brazil FM/Derraik, reference in the Brazilian VC, was ahead of the process.

Expansion forecast

The license to operate as an SCD, obtained from Bacen in December, allows the fintech to follow a new, even more comprehensive path of working with credit, combining the corporate card platform, digital account and payments with complete credit management software. expenses that unlock the payment flows and routines of financial managers.

“We are focused on using investment strategically to boost the business, exploring growth opportunities and generating sustainable returns for everyone who believes in our work. As SCD, we can increasingly invest in products for companies, and consolidate the platform as the maximum reference in saving time and money. In addition to granting credit, we can also work with other products, such as; financing, credit rights, 'buy now, pay later', evolving the credit card product and offering many other services within our technological platform to deliver an even better experience to our customers”, evaluates Taeli Klaumann, CFO of Conta Simples.

Conta Simples also intends to continue at a strong pace of increasing its customer base - multiplied three times in 2023 and already totaling more than 30 thousand active users -, evolving the company's distribution channels and expense management software. To fulfill this mission, the team will grow extensively in 2024, with plans to open and fill nearly 100 new roles throughout the year.

Fintech growth until 2023

One of the 100 Startups to Watch 2023, Conta Simples has issued 500K corporate credit cards, which helped the company achieve a TPV of R$5 billion on physical and digital cards alone. By offering a complete corporate digital account solution combined with a financial management service that facilitates customers' routines, Conta Simples streamlines the expense control process and allows for customized monitoring, whether by department, reason or employee.

Last year, one of the highlights of the Conta Simples allowing the company to reach these marks was the SCALE card, whose main features are spending control with a predefined limit for use in different areas and purposes, which are defined by each organization (from expenses for travel and events to costs for specific departments such as marketing, sales, etc.), complete management reports on card usage, expenses divided by cost center, attachment of invoices and options for creating recurring and temporary virtual cards.

Since the acquisition of Hackr Ads in 2022, Conta Simples has also integrated its operations, which gives the paid traffic startup's customers the opportunity to use fintech, and thus have access to an even better journey to manage campaigns, also with payment. The basis of Conta Simples benefits from a product that helps in the efficient management of ads, with more intelligence, assertiveness and reduced advertising costs.

Las opiniones compartidas y expresadas por los analistas son libres e independientes, y solamente sus autores son responsables de ellas. No reflejan ni comprometen el pensamiento o la opinión del equipo de Latam Fintech Hub y, por lo tanto, no pueden interpretarse como recomendaciones emitidas por la plataforma. Esta plataforma es un espacio abierto para promover la diversidad de puntos de vista en el ecosistema Fintech.

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