About the Client
Cubo is an innovative fintech company providing mobile Point-of-Sale (POS) solutions, payment links, wallets, and e-commerce services primarily aimed at Micro, Small, and Medium-sized Enterprises (MSMEs) and Small and Medium-sized Enterprises (SMEs). The company was looking to secure seed round equity to drive the expansion of its digital payment platform across four Central American markets: El Salvador, Costa Rica, Panama, and Guatemala.
CrossBoundary Advisory was engaged through the Investment Facilitation El Salvador (IFES) program by USAID/INVEST to provide Cubo with the strategic support required to successfully raise seed capital for its venture in El Salvador and across Central America.
The fintech ecosystem in El Salvador and broader Central America is burgeoning, driven by growing internet penetration and a regulatory environment that is gradually becoming more favorable. However, access to capital remains a significant bottleneck for startups, and international investors often overlook the region due to perceived risks. In this context, Cubo’s fundraising endeavors signify an important stepping stone for the region’s fintech landscape.
The engagement aimed to provide the Client with the necessary resources and connections to successfully secure investment for scaling its digital payment solutions across Central America.
Investor Materials: Crafted compelling investor presentations and documentation, along with a targeted list of potential investors both regionally and internationally.
Investor Outreach: Orchestrated introductions to venture capital funds operating in the international and regional arenas, specializing in fintech investments.
Due Diligence: Assisted in managing information requests and due diligence processes to expedite the investment process.
Valuation Discussions: Provided strategic support during negotiations on valuation adjustments with various funds and investors, aiming for a mutually beneficial agreement.
Prepared a revised version of the investment memorandum and financial model synthesizing project and market information, covering the overview of the Client’s expansion opportunities and financing needs
Conducted an investor mapping to identify potential strategic or financial partners
Supported initial investor outreach and engagement, including company presentations and information/due diligence requests