#171 - Santiago Gomez, Simetrik: the journey to a $55M Series B
Mar 5, 2024
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Two founders transformed a failing e-commerce business into a successful financial platform. They faced funding challenges due to lack of 'founder-product fit'. By focusing on their passion, they built a platform for managing financial transactions and data. The company evolved, securing significant funding rounds. They discuss the importance of culture, technical growth, and fundraising challenges.
Pivoting from an e-commerce business due to lack of investor fit led to Symmetric's creation, emphasizing financial solutions.
Symmetric's growth showcased the importance of evolving product development and values-driven culture for market scalability.
Deep dives
Pivoting from E-commerce to Financial Transactions Platform
Santiago Gomez and Alejandro Casas pivoted from an e-commerce business after struggling to find funding, as investors saw no founder product fit. As suggested by a mentor, they ended the startup and developed Symmetric, focusing on financial transactions. They signed a contract with RAPI to address company problems, leading to Symmetric's birth. The evolution of Symmetric expanded globally, securing significant funding rounds.
Embracing the Struggle as Part of Company Culture
Symmetric's culture emphasizes 'enjoying the struggle,' encouraging resilience during challenging times. Team values were meticulously crafted to resonate with the founders' work ethos. Hiring leaders like the head of sales and head of people early on showcased the importance of creating a values-driven culture from the start.
Evolution of Product and Continuous Improvement
Symmetric's growth involved iterative product development, transitioning to a no-code approach for user empowerment. The team focused on perpetual evolution, consistently improving and adapting the product to meet market needs. Strategic shifts like the introduction of the accounting translator enhanced the platform's value proposition.
Fundraising Challenges and Growth Capital Strategy
Transitioning from seed funding to growth capital posed challenges as due diligence scrutiny intensified. Successful fundraising required showcasing a solid business model and highlighting market potential on a global scale. Symmetric's journey exemplified the shift from focusing on top-line growth to deeper financial metrics and market scalability, paving the way for substantial growth rounds.
Back in 2018, Santiago Gomez and Alejandro Casas were just two young and hopeful founders, fresh into YC. However, with a team of 25 working on an e-commerce business, they struggled to find funding.
"There's no founder-product fit", the investors would say. After a while, it clicked that their passion was elsewhere.
They were challenged by a mentor to kill the startup and start building something, just the two of them, that really lit a fire under their feet. Oh yeah, and they should also be generating revenue in 6 months.
Santiago reached out to his network and signed a 3-month contract with Rappi to map out problems within the company that they could solve through software. After an intense quarter, they came up with a platform to conciliate all the financial transactions ran through the super app, and an easy and reliable way for any company to manage their financial data.
Simetrik was born, with Rappi's founders investing 2 million dollars in its pre-seed round. The product naturally evolved and now has customers in over 35 countries. Santiago and Alejandro also got a lot more funding – including a $20M Series A in 2022 and a $55M Series B announced just a few days ago.
In this chat, we talk about:
How Simetrik's culture contributed to its success
The tricky balance between technical excellence and rapid growth
And the challenges in fundraising that they didn't see coming
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