Read on to learn about:
• The size and composition of the small business market in Brazil
• The fintech ecosystem and regulatory environment
• The top financial platforms in the region
The market at a glance
Size & make up of the market
SMBs account for a large proportion of total employment and value added to the economy in Brazil but less than the OECD average. The proportion of SMBs in the retail and wholesale trade sector is very high: 53% of all registered SMBs vs. 26% on average across OECD countries.
Companies with annual gross revenues below BRL 4.8 million are nearly half of total number of exporting companies (41%) but account for a trivial share of total export volume.
Most popular financial software
Conta Azul and Dominio lead the accounting software market, Microsoft Dynamics 365 is most popular among larger SMBs. Mandatory e-invoicing has been in place in Brazil since 2005, encouraging the use of financial software.
The fintech ecosystem
The Brazilian Central Bank (BCB) has taken a methodical “pro-innovation” regulatory agenda for the last 10 years which has been successful in stimulating the fintech ecosystem and increasing Brazilians' access to financial services. Brazil is leading the Latin American region in progressing Open Banking.