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YC alum Mendel, a ‘Ramp for LatAm enterprises,’ raises $35M Series B
Mexico City-based Mendel, a corporate spend management platform, has raised $35 million in Series B funding, totaling $60 million in equity since its founding. The startup aims to automate financial operations for CFOs in Latin America. With a focus on large enterprises, Mendel anticipates profitability by late 2025 and plans geographic expansion to other Latin American countries.
Key points
- Mendel raised $35 million in Series B funding, totaling $60 million in equity since 2021.
- Founded in early 2021 by Alan Karpovsky and Alejandro Zecler, Mendel offers an integrated platform for expense management, payments, and travel.
- The startup targets CFOs in Latin America, providing real-time visibility and control over business expenditures.
- Mendel has grown its annual recurring revenue (ARR) by 2.5x year-over-year with a focus on high gross margins over 75%.
- The company plans to expand into Chile, Colombia, Peru, and Brazil by 2025-2026, building on its existing customer base of 500.
- Mendel distinguishes itself by addressing complex local regulations and providing deep ERP integrations for large enterprises.
Why it matters
- The rise of corporate spend management platforms aligns with the increasing digital transformation in business finance.
- Mendel's approach reflects a trend towards SaaS business models amidst shifting economic landscapes in Latin America.
- The growth potential in Latin America for financial technology is recognized, especially with increasing demand for efficient enterprise solutions.
- Mendel's expansion plans highlight a broader trend of startups aiming to capture large, underserved markets.
Mendel's successful funding round illustrates its potential as a key player in transforming corporate spend management in Latin America, aiming for profitability and regional expansion in the coming years.