AgriCapital receives US$7.4 million in round led by Alive Ventures

Agricapital announced the closing of a $7.4 million round to continue supporting access to financing for the agricultural sector in Colombia. This round combines both equity and debt and was led by Alive Ventures, with the participation of existing investors such as Bancolombia and Comfama, among others. On the debt side, the round had financing lines from renowned international players such as the IDB LAB, Alphamundi, and the Bancolombia group, among others.

Read: Expo Agrofuturo closed with business expectations of US$6.16 million

The objective of this investment is to promote the financial inclusion of the Colombian agricultural sector, providing personalized financing solutions that adjust to the needs and individual profile of rural producers.

The CEO and co-founder of AgriCapital, Juan Sebastian Correa said that “our obsession is to eliminate the access barriers that small and medium-sized farmers face when accessing credit to grow and make their businesses profitable. With the closure “With this investment round we guarantee the resources to continue investing in the processes and technology that allow us to provide credit products tailored to each crop in an agile and simple way.”

Virgilio Barco, Managing Partner of Alive Ventures, who will join the board of directors of AgriCapital, added: “We are excited to support AgriCapital, a company that is allowing small and medium-sized farmers in the country to carry out their productive projects, generating development and prosperity in the countryside.”

It should be noted that AgriCapital was born in 2018 in Colombia as the first agrifintech in the country dedicated to solving the financing gap in the agricultural sector in Colombia. The company leverages technology and data to offer personalized financing solutions that adapt to the needs of needs and the specific profile of rural producers. Thanks to more than 5 years of experience, this company has developed a unique business model by leveraging its infrastructure through a vast network of allied agricultural input stores that allows it to reach the entire national territory. This strategy ensures access to qualified financing opportunities efficiently and guarantees that financing is effectively used for productive purposes.

The company provides essential financing to rural producers in Colombia who face significant obstacles in accessing financing, contributing to their empowerment and financial inclusion. At the moment, 81% of AgriCapital clients are small producers, 17% are independent agricultural workers and 26% are women. Additionally, 45% of its users had no credit history and 99% of its clients reside in rural areas.

See also: Concern over the implementation of Agrarian and Rural Jurisdiction in Colombia