Fundraising in Mexico: Annual Investments

Ilian Murillo

How many investments per year are made in Mexico?

The highest number of investments registered by Crunchbase from the last 10 years (2010- 2020) was in 2017, with 177 fundraisings.

The creation of  S.AP.I. in 2006 (so called in Spanish: Sociedades Anónimas Promotoras de Inversión) made it easier for startups borned in Mexico to raise capital in an accelerated way.

This number of investments per year had been growing until 2017 where we witnessed a decrease of 13% in the number of investments for 2018, and then another reduction of 3.3% in 2019.

There are several factors that caused the decrease in investments, one of them is the result of the presidential elections in Mexico published on August 8, 2018. Before the winner was announced there was already a lot of uncertainty for businessmen, entrepreneurs, and investors. 

Another important factor was the renegotiation of the North American Free Trade Agreement (NAFTA) that started in May 2017 and affected the following years. The trade eliminated progressively tariffs, duties, and quantitative restrictions, this helped most importantly to ease investments and sales of products and services.

Credits: Ilian Murillo Palma, Luis Miguel Almanza Rueda, Itzel Pamela Becerril Tovar, Rodrigo Alejandro Ibarra Vizcarra, Sara Escamilla Enríquez, Gabriel García Nevárez, Marcos Abraham Rascón Corona, Priscila Elizabeth Terrazas Rico, Ivan Elias Castro Cordero.