YoFio

YoFio finances small merchants in Mexico, in particular neighbourhood grocery stores that need working capital to expand inventory and sell more. The company came to G2 at an early stage, when it was granting its first loans. The joint work led to a pivot towards the product that defines the company today and, later, to a USD 10 M seed round combining equity and debt, with Oikocredit as lead investor.

Context

Early on, YoFio provided credit for purchases at corner stores. It sought a strategy to accelerate growth and market penetration, and a financing strategy to sustain it.

Challenge

The initial product did not match the needs or the repayment capacity of the target market, and the company needed a financing structure combining equity and debt to fund a growing loan book.

What G2 did

G2 ran a market and competitor analysis with customer surveys, and a diagnosis of commercial performance: origination capacity, credit screening and portfolio management. The finding led the company to pivot towards a loan for store owners. G2 then advised the seed round that combined equity and debt.

Outcome

USD 10 M seed round in equity and debt with Oikocredit as lead investor.

This transaction is published with client authorization. The information is limited to what was agreed with the parties and does not constitute investment advice or an offer of securities.