The new fund, backed by private investors from both the U.S. and Chile, aims to fuel the next wave of high-growth startups from the Biobío program. However, some VCs have raised concerns due to recent shifts in U.S. economic and regulatory policies.
“Nevertheless, the trend in Latin America and Biobío points to growing investment in startups, which gives us optimism,” said Felipe Medina, head of Selection & Growth at Endeavor Startup Biobío. “There is strong interest in open innovation models and investment in technology solutions with scalable potential.”
The Startup Biobío program, which has supported 99 startups since 2023, has secured approximately $220,000 in funding from Corfo through 2026. After that, the program aims to shift to private funding to continue supporting Chilean founders independently.
The $5 million trial fund will target high-potential ventures in sectors like technology, renewable energy, and the circular economy — areas that align with Chile’s growing emphasis on sustainability and innovation.
“The primary motivation behind launching this fund is to close the investment gap in innovation,” Medina explained. “Startups often face challenges accessing capital, especially in regions outside of major financial hubs.”
Startup Biobío is eyeing Miami, a central hub for Latin American entrepreneurs, as the primary destination. The city’s startup ecosystem and networks have made it an ideal destination for Chilean entrepreneurs aiming to scale their solutions.
“Miami is a strategic hub for Latin America and provides easy access to markets in countries like Panama, Colombia, and Mexico,” Medina said.
Though Chile is geographically distant, Miami’s proximity to other Latin American countries makes it a strategic hub for Chilean founders. However, President Trump’s anti-immigration stance has raised concerns for startups aiming to scale internationally.
“We do not currently have founders in the H1B program, but some are considering this pathway to expand their startups in the U.S.,” Medina said. “Changes to the H1B program could increase competition for these visas, making talent mobility more challenging.”
Startup Biobío is considering alternatives such as entrepreneur visa programs. While the “Buy American, Hire American” narrative aims to prioritize hiring U.S. talent and products, the program’s founders believe that innovation and entrepreneurship are global.
“Our focus is on creating value-added solutions with differentiated technology, allowing us to compete in any market, including the U.S.,” Medina said.
Startup Biobío is exploring strategic partnerships with companies and accelerators in the U.S. to facilitate the entry of Chilean startups into the U.S. market.