Starting a business in Argentina is an act of courage and creativity. In a country where the rules of the economic game seem to change daily, entrepreneurs face unique challenges, but also have access to a vibrant ecosystem and an inspiring culture of resilience. However, turning an idea into a sustainable business is an adventure that requires strategy, perseverance and, above all, the ability to adapt.
Raising capital: a local odyssey. When we founded KURU, one of the biggest challenges, as for any entrepreneur, was obtaining the initial resources. In Argentina, this becomes an obstacle course. Inflation, exchange rate instability and lack of access to competitive financing create a complicated landscape. Entrepreneurs are forced to be creative, resorting to personal networks, groups of “angels” with local investment scope and, in many cases, bootstrapping, that is, financing themselves with their own resources and reinvesting the initial profits.
In addition, there is an inconspicuous but significant barrier: the lack of dissemination about the available financing options. In our experience, we discovered that there are many hidden sources of capital for those who are taking their first steps. The first doors we knocked on led us to a network of institutions, “angels” and corporate investment funds (CVC) that are not detailed in any manual. Although this ecosystem is growing and achieving greater penetration, there is still a long way to go.
On the other hand, startup competitions are gaining popularity as a valuable resource. Although the funds they grant are not particularly high, these competitions provide support and prepare teams in the art of presenting their project. In many cases, this support may be sufficient for the development of a first MVP.
The team, a fundamental pillar
Entrepreneurship requires numerous skills and personal characteristics, but none can replace the importance of building a solid team. Empathy, perseverance, resilience, adaptability and lateral thinking are essential attributes for any entrepreneur, but these individual qualities must be complemented by a collective vision. Each stage of the business presents different challenges—from raising capital to expanding regionally—and that is where a well-structured team makes the difference.
Investors are also prioritizing this dynamic. According to our experience, the factors that concern them most when betting on local projects are the trajectory and cohesion of the founding team. The ability to overcome adverse situations and adapt to new scenarios can be as important as the business model itself. Even a great idea can fail if it is not supported by a robust team that can pivot when necessary.
Strategies to attract investors
In an environment like Argentina, it is not enough to have a good idea; It is crucial to know who to present it to. Each investment fund has its own business thesis and risk/return equation, so it is essential to investigate how our project aligns with your expectations. In our case, since we started with a local focus, we avoid wasting time contacting funds that are looking for businesses with global projection or exponential growth. This prior analysis allows you to optimize resources and increase the chances of success.
A resilient entrepreneurial culture
The entrepreneurial culture in Argentina has a distinctive character, forged by adversity. Inflation, exchange rate volatility, a complex regulatory framework and restrictions on capital flows are just some of the challenges we face. However, these difficulties have also given rise to a collaborative and associative ecosystem, where entrepreneurs share experiences and resources. This mentality not only allows us to adapt quickly to changes, but also prepares us to compete in more stable scenarios.
And looking toward the future, I am optimistic about the Argentine entrepreneurial ecosystem. Positive conditions are being created, such as a more stable macroeconomy, a generation of young people looking for alternatives to the traditional corporate career, and a growth in the number of “angels” and investment funds. In addition, the costs and times to launch new businesses have decreased considerably. Today it is more accessible to create an MVP, whether it is an app, a chatbot or a digital platform, which opens new opportunities for innovation.
*Luis Ariel Peralta Aliano is CCO of KURU
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by Luis Ariel Peralta Aliano
