The University of Miami’s USTAAR program is helping Latin American founders access the US market, with a unique approach that combines non-dilutive funding, equity investment, and hands-on mentorship. This is particularly significant in a region where investment rates have been low, with Latin America’s investment rate averaging barely 20% of GDP between 1997 and 2022.
According to the report, Miami has become a key bridge between the US and Latin America, with the city’s startup ecosystem valued at over $670 billion. The USTAAR program, led by the Office of the Vice Provost for Research and Scholarship, works in two stages, providing founders with up to $10,000 in non-dilutive funding to validate their idea and build a minimum viable product.
Later, if the project has demonstrated traction, founders can access up to $100,000 in equity investment to scale. The program has already achieved 14 equity investments since its inception and has distributed $100,000 checks to five startups in its recent pitch competition. The program’s director, Suhrud Rajguru, notes that the program offers hands-on mentorship, community partnerships, networking opportunities, and seed capital.
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The program was born in 2024 with a $5 million donation from Ángel Álvarez, a university alumnus and founder of ABB Optical. Álvarez’s vision is to be a catalyst that allows students to see how they can change the world. The program is open to all university students and trainees, seeking to drive socioeconomic development in South Florida and beyond.
Reynaldo Pineda, a Honduran lawyer and doctoral student in Juridical Science at the University of Miami School of Law, founded ULaw, an app that connects people with licensed attorneys, and is now part of the USTAAR portfolio. He notes that building connections from scratch, reinventing oneself in an unfamiliar ecosystem, and understanding local rules of the game are essential for immigrant founders.
Miami offers a valuable bridge for Latin American founders to scale their ideas to the largest market on the planet. With its unique approach and access to US business networks, USTAAR is playing an important role in accelerating the growth of venture capital and the startup ecosystem in Latin America.
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For entrepreneurs in Bogota, Sao Paulo, or Tegucigalpa, Miami offers a first stop before trying to scale for real in the US. The city’s universities and accelerators provide a platform for founders to validate their ideas, build a minimum viable product, and access US business networks.
The USTAAR program’s success can be seen in the number of startups it has supported, with recent winners including Aura Insights, Suisqua, SkinSmart, Textile, and AIdMD.
These startups, along with others, are helping to drive socioeconomic development in South Florida and beyond, and demonstrate the potential for Latin American founders to scale their ideas to the US market.
