By Ryan Croft | North Capital Forum | 2023 | Photo by Brian von dur Berg
In the dynamic landscape of North American technology and entrepreneurship, it's hard not to notice that Mexico is rapidly emerging as a promising ground for opportunity. Over the past three years, it has proven to be an increasingly attractive destination, drawing in a growing number of entrepreneurs, investors, and startup founders looking to seize the abundant opportunities it offers.
While we know that the U.S. stands as one of the world's most dynamic markets, boasting over 75 thousand startups and accounting for more than half of all unicorns (startups valued at over 1 billion USD), Canada also shines brightly on the tech horizon. Canada presents an array of government-driven opportunities, accompanied by notable startups such as Shopify and Hootsuite. The government extends grants, offers startup visas, implements favorable tax policies, and provides access to loans, all of which contribute to positioning the country for substantial growth in the tech sector.
But this is not the result of coincidence; instead, Mexico emerges from a unique combination of factors that position it as a significant player within the Latin American entrepreneurial ecosystem and make it a highly relevant destination for tech startups.
One of the key factors driving technological growth in Mexico is its proximity to the United States. With a border extending over 3,000 kilometers, the country has become a strategic point for foreign startups looking to enter the North American market. This geographical closeness facilitates smooth and efficient trade exchanges, and the shared time zone with the United States promotes remote work. As a result, the talent and creativity of Mexicans have demonstrated their ability to face challenges and adapt to change, generating innovative solutions for both local and global problems. This trend has enabled startups and entrepreneurs to tap into a pool of highly skilled talent, resulting in greater efficiency in project organization and management.
Beyond its strategic location relative to the U.S., Mexico also serves as a gateway to Latin America, the Atlantic, and the Asia-Pacific region, reducing logistical costs and expediting response times. This advantage makes the country appealing for global business expansion due to its profitability.
Mexico's technological ecosystem plays a crucial role in its success as a dream destination for entrepreneurship. Cities like Mexico City, Guadalajara, Monterrey, and Querétaro have emerged as true drivers of startup growth and development, creating opportunities for expansion and scalability that transcend borders and transform entire sectors. Equipped with modern infrastructure and a network of institutions dedicated to entrepreneurship, these cities attract talent and creativity from all corners of the country and the world. Moreover, they have become a haven for "digital nomads" as their entrepreneurial community continues to thrive, offering shared workspaces that foster a collaborative environment for innovation and idea exchange.
Mexico's cultural diversity and vast domestic market provide a unique platform for testing and refining products and services, allowing startups to grow and adapt swiftly. With over 129 million inhabitants, 58 million of which are part of the economically active population, Mexico's internal market has become highly attractive.
Thus, I have found Mexico to be a land of opportunity, where human talent flourishes, natural resources abound, and the economy showcases remarkable diversification. While other markets face obstacles and challenges, Mexico steadily advances on its path, becoming fertile ground for the growth and realization of groundbreaking ideas. Its immense potential offers opportunities within reach of those daring enough to seize them. That's precisely why I decided to launch my startup here.
As I observe the technological and entrepreneurial landscape in the U.S., Canada, and Mexico, it is undeniable that each of these countries possesses distinctive strengths for tech startup growth. However, it is Mexico that has captured my particular interest due to its proximity to the United States, strategic location, vibrant entrepreneurial ecosystem, and cultural diversity, all of which make it a unique place to sow seeds and reap success in the realm of innovation and technology ventures. I will always remain attentive to what this country has to offer and the impact its startups will continue to have on the global stage.
