We are thrilled to announce our recent investment in Supra, marking a significant addition to HTwenty’s portfolio. Supra’s innovative approach to cross-border payments on traditional FX rails positions it as a key player in the quest to redefine international payments for SMB’s. Our decision to invest in Supra is underpinned by its distinct value proposition compared to both traditional and digital competitors, the expansive market they aim to capture, and the potential for future enhancements that could solidify its position as a leading, sticky solution. Additionally, we believe the founding team led by Emilio Pardo gives Supra an unfair advantage due to his deep experience in cross-border payments in both fiat (Mastercard) and crypto (Bitso).
Supra sets out to revolutionize cross-border payments in Latin America for SMB’s, where the current landscape is plagued by excessive bureaucracy, disproportionate fees, tedious processes, and a lack of transparency. Through a user-friendly online platform offering competitive FX rates and fees, Supra promises reliable global delivery coupled with outstanding service and complete transparency. Moreover, the company has implemented a comprehensive set of systems for KYC purposes that comply with the standards of traditional banks, mitigating risk during onboarding and transactions, ensuring compliance, and delivering the best payment solutions for SMBs in Colombia.
The cross-border payments industry initially targets imports in Colombia, representing a substantial transactional opportunity estimated at approximately US$70 billion in annual TPV. Supra’s initial focus on players engaged in importing activities in Colombia will eventually expand to include exporting activities, adding another US$70 billion in annual TPV. Examining the broader Latin American market reveals a growing need for cross-border payment solutions, driven by the globalization of commerce and the increasing accessibility of international transactions.
While currently specializing in cross-border payments, Supra envisions evolving into a comprehensive treasury management platform for international commerce. This evolution includes the introduction of FX hedge instruments that are unobtainable for SMB’s today, a suite of tailored SaaS solutions addressing collections/payments (A/R & A/P), automation of manual processes such as required paperwork, and a logistics module, among other features. At HTwenty, we believe that SaaS adoption is more seamless and natural when offered by the same provider delivering the cross-border payment solution. Providing the SaaS layer after establishing trust through transactions enhances customer retention.
Our decision to invest in Supra is supported by several crucial factors, including the founders’ extensive expertise in the sector, a well-defined go-to-market strategy with a robust product roadmap, and the invaluable network the company has cultivated within the global transactional ecosystem. Emilio Pardo, Supra’s CEO & Founder, brings over seven years of experience in the cross-border payments industry, having played key roles in Mastercard and Bitso, where he built and expanded their international payments vertical.
In conclusion, at HTwenty, we hold unwavering confidence in Supra’s potential to revolutionize the cross-border payments and international commerce industries. With its clear value proposition, a tactical pool of investors including the biggest cross border payment financial institution in the world, a comprehensive strategic roadmap, and commitment to addressing a highly fragmented and underserved sector with technology, we eagerly anticipate witnessing Supra’s continued growth and success.
