He Silicon Valley Bank collapse affected about 14 Argentine entrepreneurs and local SMEsalthough many have already managed to withdraw their funds.
He Friday a crisis of the financial system was unleashed after the collapse of the Silicon Valley Bank (SVB) heavily oriented towards financing startups, after it revealed a hole in its balance sheet.
As indicated by Forbes, clients made a run to withdraw their deposits, SVB shares collapsed and many banks were infected given the suspicions it aroused about the health of the banking system. He The United States government announced that it would not bail out the bank but would support the deposits.
At the local level, in addition to the falls in the financial plane that showedcould have had a strong impact on the entrepreneurial ecosystem given the penetration and interconnection that these Argentine businessmen have with the scenario that occurs in San Francisco.
“Here they live hung up on the news, information flows very quickly. In my opinion that fed back the bullfight. And there is also the effect of the shorting with which the bets towards the loss of their actions influenced to increase the perception of the problem and the house of cards collapsed faster than imagined. It is a 40-year-old bank, it is not a newcomer”, affirmed a specialized source in the sector in dialogue with Forbes.
Julia Bearzi, executive director of Endeavor Argentina, anticipated this week that many entrepreneurs came to withdraw their funds and place them in more solid institutions. “We help all the entrepreneurs in the Endeavor network, which number about 12. Some said they were able to withdraw the money on Thursday and others said they who had less than US$250,000, they were able to get it. We are helping them to open accounts in other banks so they can meet their commitments,” Bearzi explained.
for his part the ecosystem of Biotech companies that is managed from GRIDX added a couple more cases, although according to the organization they were also solving, bringing the total number of companies impacted so far to 14.
In a note published in La Nación, martin perryCEO of Nulinga, an online language learning platform, reported that found out the bank was in trouble Thursday afternoon. “At 4:00 p.m. I received a message saying that the bank had liquidity problems and after a while I received the same message from two funds that invested in Nulinga, which are Niu Ventures and MrPink. There we pay attention to the subject and we were finally convinced when the CEO of the bank said that, if there was no run, they were solid. So we decided to take out the money, even though we knew we were insured, because we had less than $250,000 ″, she recounted.
Another of the affected local startups was choice that, as La Nación learned, he managed to recover his funds after having difficulties to recover them on Thursday and Friday.
Workanaa marketplace for freelancers, published on its Likedin account that the company had 25% of its funds in SVB and that they were able to recover them, as was the case with Moovaa logistics company.
The accelerator and local fund NXTP assured that of the 200 investments they have in the region, half had opened their accounts at the bank Californian. “We were exposed and so were many of the founders of the companies. We notified everyone and very quickly we set out to take care of everyone’s capital. Because we are Argentines we have experience in doing all this quickly. Many wired funds quickly last Thursday and the weekend was intense. Many of our companies, 20%, were left with capital ‘in’, luckily the US government came out later to bank all the deposits“.
In a note to NVC (National Value Comission), Logistics Square reported on Monday that it has placed US$3,200,000 in a guarantee of First Republic Bank, another institution that is closely watched and may star in the next bankruptcy.
Source: Ambito
