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Alt-Ventures (Accendo Latin American Technology Ventures) is a $50M Venture Capital Fund dedicated to developing early stage Technology companies in Mexico, with potential to expand into Latin America and the US. We believe the most attractive investment opportunities will be created by entrepreneurs who take existing technology and apply it to solve local problems for consumers. We don’t expect most companies in this sector to establish competitive advantages via new intellectual property or patents, but rather, we expect the key skill sets for success to be recruiting, talent and project management, product usability, and sales and marketing. As a venture fund we see significant benefits to specialization. Deep industry expertise will help us select and scale winners, and develop clear exit strategies. But we also acknowledge that the market in Mexico is incipient and we must play in a field that is sufficiently broad to build an attractive portfolio. To balance specialization with sufficient broadness, we have decided to focus on four high growth verticals: Ecommerce, Access Economy, Fintech, and Media & Advertising. Alt-Ventures will target extraordinary teams with a compelling idea or outstanding products in large, high growth potential markets that are ripe for disruption. We will focus on four specific consumer sectors: ● E-Commerce ● Access Economy ● Fintech ● Media and Advertising Alt-Ventures is aiming for a 4-8 Multiple on Capital invested, which represents a 20-30% annual return. LPs will receive their investment returns in 6-8 years. Alt-Ventures investment focus will be on four specific consumer sectors: 1. E-commerce: We believe there is an attractive opportunity in industries with high profit margins, and where middlemen/ distributors are providing lackluster service. We will focus on Digitally Native Vertical Brands (DNVBs), which have been increasingly successful in the US market, and local entrepreneurs are launching similar ventures in Mexico. 2. Access Economy: Describes companies that connect consumers to assets and services for a fee, often leveraging information technology to expand distribution, and reuse of excess capacity. We believe the key to success is the ability to scale quickly and to become the leader in each space. We accept that margins in the core service may be relatively low, but the network effects are powerful. Once supply and demand is established companies can create new revenue streams of new related services at a low marginal cost. Mexico faces considerable challenges that the Access economy can help solve. 3. Fintech: At ALT- Ventures AT ALT -Ventures we will evaluate platforms that provide loans to the underserved SME segment and avoid the consumer segment. We believe the risk profile is lower than it is with consumers, and that companies that service successful businesses will be in a stronger position to withstand a negative economic cycle. We also believe that the average interest rates in the business segment will be lower and less likely to trigger government regulation and negative PR. 4. Media and Advertising: Across the world advertising spend has migrated from traditional media to Digital Platforms as all consumer segments spend more time online. The main winners are companies such as Google and Facebook, who now rank among the most valuable companies in the world. But we believe there is an opportunity for new local digital media players and advertising solutions. In the last couple of years we have seen the rise of new media models such as targeted digital advertising and content development that are becoming increasingly attractive to advertisers. Other models include Influencer Marketing agencies that help develop branded content campaigns at scale and also marketing technology companies that are using Artificial Intelligence to track brand sentiment across social media.