This is why you should not underestimate the startup industry in Colombia
The work environment and the vibrating startup scene that we live in our daily routine here in Berlin is quite different from the one that people live on the other side of the ocean (the Atlantic, I mean). Particularly in Colombia, my native country. Let me give you a contrast between the work environments and startup scenes from my (not so entrepreneurial) background.
Working here vs. working there
Let’s start with the work environment. As a stereotype, everyone tends to think about Colombians as people that are always happy and loud. Well, yes. I guess that part of the stereotype is true. We are happy and loud, even in our workspaces. That doesn’t mean, however, that we are in a constant party and not focusing our attention on our work. Colombians are usually hard working people that are very committed to their endeavours, but why not doing the routine more fun?
From our side of the world, we tend to think that Europeans are cold people that just sit down and work like robots from 8 to 5, but we all know that’s just another false stereotype. At least from my experience, colleagues at APX are very open people that enjoy their work and are really keen on getting to know and collaborating with new colleagues. Furthermore, the exceptional mix of cultures, religions and nationalities, among other backgrounds, that I have found at APX makes the working environment a really inclusive and open one. I cannot talk about the inside of other companies here in Germany, as I have not experienced them, but that particular characteristic of APX has prevented me from experiencing a cultural shock on that front.
Now, let’s change the perspective: How would it be if the situation was the other way around? (i.e. a foreigner experiencing the Colombian work environment?) Well, I have heard from first-hand witnesses that expats working in Colombia feel very welcomed and integrated, and people will always do their best to make you feel at home. So you should feel fairly comfortable there if at any point you decide to give it a shot over there. The only cultural risk that I can foresee would be that you feel overwhelmed by all the welcomeness of my fellow countrymen!
Innovation: how is it back home?
Let’s now briefly discuss the — fairly new — startup scene in Colombia. Here I must do a caveat: My background is not entrepreneurial. I worked for the last few years at a law firm. But let me give you my personal opinion about this topic (and I admit that for writing this article I had to do a little research on the topic). The startup scene in Colombia, although fairly new, is growing at a considerable speed. Until a few years ago the most representative example of a startup was what came to be the first Colombian unicorn (a delivery services startup), and perhaps some other smaller startups, but that was pretty much it. But nowadays the entrepreneurial topic is definitely on top of the table. Let me give you some examples:
First: Bogotá, the Country’s capital city (and my beloved native city), has been placed eighth for the success of foreign direct investment projects across the Americas (2012–2016), and in my personal experience, has been seen by investors as a reliable jurisdiction for foreign investors. It’s also the biggest city of the Country and it hosts the biggest number of VC firms, accelerators and most of the governmental bodies that are in charge of the entrepreneurial matters. Second: Medellín, Colombia’s second biggest city, has been selected in the past as the most innovative city in the world (in the year 2012), and still remains today on the top spots of that list. Medellín has a unique environment for innovation and that is reflected in many aspects, such as the city’s infrastructure. Third: Before the change of government in 2018, there was already a legislative precedent in terms of promoting the creative industry, which was done by means of a law enacted in 2017. Last but not least, the development of the entrepreneurial activity was actually one of the main proposals of the political campaign of the current government. The government calls this the “Orange economy” (“la economía naranja”, and don’t ask me the reason for that name nor what it actually means, because truth being said, I still don’t understand it, and trust me, I’m not the only one…) and apparently many stakeholders (e.g. the government, the Congress and the guilds) are working really hard to develop this topic.
All the before mentioned examples explain the interest that investors have in Colombia and thus the number of angel investors and venture capital firms that are participating more and more in Colombia, as well as the number of entrepreneurial initiatives that you can see on the streets and, in general, reflected in the opinion of the people with who I spoke with. Nevertheless, I think there is still a big road to go through.
I do not think that the startup scene is nearly as developed as it is here, and there are still certain obstacles that an entrepreneur has to overcome in order to have a successful startup (my first guesses would be taxes, regulation and bureaucracy), but in my opinion it’s an undeniable fact that more and more entrepreneurs are trying to create their own companies, and that there is a willingness to work on making this industry grow more. The current government has stated that at the end of the government (in the year 2022) the “Orange economy” should represent more than 6% of the Gross National Product of the Country. For said purpose, the input of a foreign perspective, as well as foreign ideas and initiatives will most definitely help the country developing this segment of the economy that is clearly projected to represent a big part of our economy in the upcoming years. Initiatives are already ongoing, by the way. For example, according to the Colombia Fintech Association, Colombia is the third country in the region with the highest number of fintech startups, only after Mexico and Brazil.
So, entrepreneurship in Colombia?
Overall, I believe that the German startup scene gives the entrepreneurs many tools for developing their business ideas, and programs such as the APX Tailormade program as an extremely valuable asset for all the people that want to innovate and create their own companies. Although I’m not aware of such a program in Colombia, there are certainly similar projects and it won’t be long until such specific programs appear and help in the development of the startup scene in a vibrant country that offers a stable economy and is more than willing to open its arms to new creative ideas and people from all over the world. As one of the previous marketing slogans for the county used to say: “Colombia, the only risk is that you want to stay!”
