Created by multinational serial entrepreneurs, Magma Partners is a new fund based in Santiago that invests in high-potential startups and small businesses
Today at 7:00pm, an event will be held to mark the launch of a new Chilean-US investment fund, Magma Partners. Formed by three partners– two Chileans and one from the United States– the fund is positioned as the most promising and most transparent in Chile’s national investment landscape. Magma Partners will use the best practices of the US’s most successful funds to help solve pain-points for local entrepreneurs such as exceedingly high equity rates, lack of investment transparency, and ambiguous communication.
Transparency is paramount for Magma Partners– those who direct the fund have previously raised LatAm-based capital for their companies and have seen first-hand how the the local process can drag on for months.
With five million dollars to spend, the team behind the fund will utilize their experiences in raising capital to ensure solid practices and policies in their investments. As mentioned, transparency is central to their approach. Sáenz explained in an interview with PulsoSocial that the Magma Partners website clearly displays all of their investment criteria and required documentation so that applicants know what to expect. “Moreover, we offer term sheets that are fair for entrepreneurs and investors,” he explained. “We aren’t trying to take control of companies but instead to help them to be successful. Our fund is 100% private capital from the three founding partners.”
Over 75 entrepreneurs, investors, business people, family and friends attended our launch event in Santiago, Chile. See a picture below from the event.