The Startup Ecosystem of Medellin

Medellín offers a range of attractive factors for relocation and investment. One of the key reasons to consider Medellín is its abundant talent pool. The city has established itself as Latin America’s 3rd largest and fastest-growing tech talent hub, boasting more than 100,000 highly skilled engineers. This concentration of talent provides a strong foundation for businesses seeking skilled professionals.

In terms of education, Medellín demonstrates its commitment to learning. Each year, the city sees around 5,500 students enrolling in their first year of systems engineering courses. Additionally, Medellín has been recognized by UNESCO as a learning city, highlighting its dedication to promoting knowledge and education. The University of Antioquia, ranked 3rd in Colombia, further contributes to the city’s academic excellence.

Medellín seeks to consolidate itself as a global epicenter of Science, Technology, Innovation, and Entrepreneurship (STi+E) by accelerating its economic and social development. From 2024 to 2028, a Venture Capital program for the District is available to accelerate the development of high-impact businesses. As part of its designation as a Special Science, Technology, and Innovation District, Medellín offers financial incentives and infrastructure support for companies developing cutting-edge solutions.

Medellín’s infrastructure is another advantage. The city boasts the longest mass transport network among its peers, ensuring efficient and convenient transportation for residents and businesses alike. This well-developed infrastructure adds to the overall appeal of Medellín as a relocation and investment destination.

Private investment in Medellín boasts networks such as Red de Ángeles Inversionistas. This angel investor network, based in Medellín, has already invested in over 70 startups, providing valuable support and funding. The network also offers critical funding and mentorship to early-stage companies. Additionally, prominent venture capital firms like INVX, AI Fund, Veronorte, Grupo Sura, and FCP Innovación SP actively contribute to the city’s investment landscape, investing in high-potential startups across various industries.

In terms of public sector incentives, Colombia offers a digital nomad visa for remote workers employed outside the country, providing flexibility for location-independent professionals. Since 2022, Medellín has introduced tax incentives for new technology-based companies, Foreign Direct Investment, companies in free trade zones, and companies in economic and creative districts. There are also tax benefits for the gastronomy and science, technology, and innovation sectors, along with a reduction in late payment interest.

Medellín is designated as a Special Science, Technology, and Innovation District, granting the city special merits and opportunities. Additionally, the Medellín Innovation District serves as a hub for local and global organizations seeking to be at the forefront of technology and innovation. Moreover, the Soft Landing COxDE Triangular Cooperation Initiative promotes economic recovery in the post-pandemic stage by fostering collaboration between entrepreneurial and innovation ecosystems in Colombia, Mexico, and Germany. Lastly, Medellín is home to the World Economic Forum’s Center for the Fourth Industrial Revolution, which aims to leverage science and technology for inclusive and sustainable regional development.

All these factors position Medellín as an attractive destination for businesses and individuals looking to thrive in a dynamic and innovative environment.