How Turn2C attracted B3 to the notorious consortium market

How Turn2C attracted B3 to the notorious consortium market

Startup uses artificial intelligence to make sales more assertive and reduce cancellations

B3 has just joined as an investor in Turn2C, a consortium startup created just a year ago. In the seed round of R$ 8.5 million, Honey Island by 4UM also entered, leading, and Urca Angels, already traditional names in this market. But why the Brazilian stock exchange?

In the financial market, consortium is the ugly duckling and is far from being considered an investment – ​​but it is undeniably a form of planning, with a wide potential audience.

Turn2C’s business model is not to push product to gain volume, but to make the sales of administrators more efficient in their sales, for them and for customers. “It’s a BRL 220 billion market with a 50% cancellation rate. In a sales model by amount or installment, the customer is often unable to access credit at the time he expected and when he receives it, he is unable to buy the good he wanted”, says Bruno Pinheiro, CEO and one of the three founders of the startup, to Pipeline. .

Pinheiro, who was a partner at C6 Bank and Concash, teamed up with Thiago Ramos, ex-Mapfre Consórcios, and lawyer Tatiana Anderson to create a startup that uses artificial intelligence, mathematical and statistical models to define the most appropriate consortium operation, considering what the customer wants to buy, when and how much they can afford.

What the system does is indicate an exact product, and not several options, for the 1,400 current partners to close the sale – they are mainly commercial representatives of consortium administrators, the so-called pastinhas, but Turn2C wants to convince autonomous agents to adhere.

“The self-employed agents did not see the consortium as a financial product, but when they have a technology at hand that allows 95% assertiveness and a 3% cancellation rate, it effectively becomes a credit business. His client, instead of withdrawing the investment to buy a house or a car, can leverage that money”, argues the entrepreneur.

If there will be more people in the financial market interested in this, B3 also wants to be. In fact, the exchange was already in conversations with some consortium administrators directly when it came across Turn2C. The exchange announced in May a fund of BRL 600 million to invest in startups, but the negotiation with fintech came before that.

“We are looking for the grant for an information partnership. B3 is a huge data company and the more information we have in the model, the more assertive it becomes. The group started to get interested and we were opening the round”, says Pinheiro.

B3 says that the investment is strategic within its proposal to strengthen innovation and seek growth on other fronts. “The investment in Turn2C is another step in this direction and expands our operations in the financing infrastructure segment,” said Marcos Vanderlei, vice president of the infrastructure unit for financing at B3, in a statement. “In addition, it reinforces B3’s presence in the innovation ecosystem, strengthening the purpose of meeting and anticipating market demands with new solutions that bring the expertise and robustness of the Brazilian stock exchange.”

Source: Value Pipeline

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