Cargamos raises $11M, the largest logistics-tech seed round in Latin America
Cargamos adapts unused spaces in parking garages and shopping malls as mini distribution centers to create a hyper proximity delivery network that enables quick commerce and brings it closer to the consumer.
MEXICO CITY, Mexico, September, 2021 – Cargamos, the last-mile logistics technology platform, today announced it has raised USD $7 million in follow-on funding to expand its delivery services in Latin America. This investment brings its total seed round to USD $11 million, the largest for a logistics startup across Latin America.
Cargamos adapts unused spaces in parking garages and shopping malls as mini distribution centers to create a hyper proximity delivery network that enables products to be delivered to consumers degrees faster. Open to all vendors, Cargamos’ hyper proximity delivery network helps its retail clients transition from traditional e-commerce to “quick commerce,” which allows for goods to be delivered to consumers in under an hour. The company will use its seed funding to launch its first large-scale facility specialized in fulfillment, grow its technology team, and increase its coverage to 75 cities in Mexico.
“We are excited to secure this funding and continue our mission of creating a more decentralized and fully orchestrated supply chain,” said CEO and Founder Ivan Ariza. “We are driven to end the monopoly of the logistics industry giants while providing new opportunities to local talent and better service for customers in need of precise, fast and affordable deliveries.”
By leveraging advanced technology and shortening the distance between end-customer and distribution center, Cargamos works to combat inherent supply chain issues in LATAM like road congestion and transport emissions.
The sustainable and scalable solution provides any retailer with delivery in up to 20 minutes (faster than any other company in the market) and lowers last-mile delivery prices by up to three times. The result is intended to unlock the potential of e-commerce in LATAM, a region that is confirmed to be the fastest-growing e-commerce market in the world. The company is actively expanding in the hemisphere with plans to enter the Colombian market and the United States in the mid to long-term.
Mexico’s top three largest retailers, as well the top 50 companies with an e-commerce channel, rely on Cargamos’ micro-distribution centers in urban areas to meet their last-mile delivery needs.
The startup also counts the support of chief entrepreneurs with investors including Kavak CEO and Founder Carlos Garcia Otati, Jüsto CEO and Founder Ricardo Weder, and Mercê do Bairro founder and COO Guilherme Bonifacio. This is in addition to investment from well-known venture capitals like Nazca, FEMSA, and Kayyak Ventures.
Cargamos is an open logistics platform that facilitates e-commerce in Latin America. The Mexican company repurposes unused spaces in empty parking garages and shopping malls as mini distribution centers, providing a hyper proximity delivery network that’s fast and accessible. Cargamos was founded in Mexico City in 2019