The Spanish startup ecosystem continues enjoying good health. Today, our country has more than 11,000 startups, employing around 140,000 people. These data place us as the fourth European country in number of startups, only behind the UK, France and Germany.
In the last decade, the Spanish startup ecosystem has grown significantly. The numbers speak for themselves: this sector has increased its value twenty-fold, reaching more than 83 billion euros by 2022.
It is also true that during the first half of 2023 the situation has changed slightly. It is easy to see that investors are a little more cautious and company valuations are significantly lower than just a few months ago.
However, it seems that, despite this, international investors have identified Spain as a priority investment destination for this type of company, seeing it as a source of potential success stories, and some of the world’s most renowned funds are committed to investing in Spanish startups.
In conclusion, numbers show that the year-on-year increase in the volume of investment attracted in Spain is higher than the average for the rest of Europe, which certifies the maturity of the emerging companies in our country.
But, considering this maturity and internal strength that the sector has already reached nowadays, it is time to ask ourselves what is happening with the internationalization of Spanish startups.
Internationalization is the key for startups to grow. Most entrepreneurs know this and are looking for the growth of these companies and their conversion into what are known as scaleups: startups that already have some experience and want to make an ambitious leap.
To become a scaleup it is necessary to have an internationalization project and that this aspect is understood by the company and its partners as a strategic decision practically from the beginning of its activity, feeling global and planning its international expansion carefully and accompanied by specialized legal advisors.
- Latin America is one of the main target markets for Spanish entrepreneurs.
According to current data, Latin America is one of the priority destinations for Spanish startups.
Several studies suggest that this American region could already account for more than 40% of the total foreign turnover of Spanish startups and the most representative sectors would be telecommunications and e-commerce.
It should be noted that the entrepreneurial ecosystem in Latin America has also been expanding at a fast rate. Such is the growth that last year it managed to capture more than 15,000 million dollars in venture capital investments, according to data from the Association for Private Equity Investment in Latin America. Today this area is one of the most highly valued by Spanish startups seeking to expand their businesses to other countries.
Spanish startups that choose to internationalize in Latin America mostly do so in countries like Mexico and Colombia because they understand these are growing countries, highly stable, with reliable regulatory frameworks and in which Spanish entrepreneurs have detected that there are great business opportunities that have not been covered by national companies.
In case you are an entrepreneur and want to analyze the possibilities of internationalization of your company, do not hesitate to contact us. We will be happy to help you with everything you need.