Cifrato

What do they actually do

Cifrato builds an AI accounting copilot for retail businesses in Latin America. It connects to government e‑invoicing portals and to ERPs/POS systems to automatically import invoices, classify them with the correct accounts, cost centers, and tax/withholding rules, create journal entries, and post those entries into the customer’s system. It also matches bank transactions to invoices for reconciliation and can support payment execution flows, with humans reviewing suggested actions before finalizing changes cifrato.ai YC profile.

Typical setup: a customer links Cifrato to their country tax portal (e.g., DIAN, SII, SAT, SUNAT), connects their ERP/POS (e.g., Siigo, Helisa, World Office, Intuipos, Taxxa), and optionally connects bank accounts. Cifrato’s software then pulls e‑invoices from the tax portal, parametrizes and posts the accounting entries into the ERP/POS, and flags inconsistencies for review. The company highlights 20+ integrations and 500,000+ invoices processed as signals of current coverage and use cifrato.ai LinkedIn.

Who are their target customer(s)

• Mid‑market retail finance teams using ERPs/POS: They spend hours importing e‑invoices from government portals and reconciling payments, which leads to rework and tax/withholding mistakes that delay monthly close. cifrato.ai YC profile
• Accounting firms and outsourced accountants serving multiple retail clients: They repeat the same data entry and coding across different ERPs/POS and country portals, raising cost per client and stretching staff capacity. Crunchbase cifrato.ai
• In‑store bookkeepers and finance staff at retail locations: They manually digitize invoices and match bank transactions, delaying reporting and increasing the risk of missed or incorrect entries. cifrato.ai
• ERP/POS integrators and reseller partners for retailers: They face heavy effort mapping local tax rules and maintaining connectors across countries, slowing deployments and increasing error risk. cifrato.ai LinkedIn
• Tax compliance teams and CFOs at LATAM retailers: They need reliable, consolidated books for statutory filings and timely insights but lack automated pipelines that ensure compliance and on‑demand analysis. YC profile cifrato.ai

How would they acquire their first 10, 50, and 100 customers

• First 10: Founder‑led, paid pilots with hands‑on onboarding for 10 mid‑market retailers or accounting firms in one to two countries; map ERP/POS and tax‑portal connectors, deliver live invoice‑to‑ERP posting and reconciliation, and capture before/after metrics. cifrato.ai YC profile
• First 50: Recruit local accounting firms and ERP/POS integrators into a revenue‑share reseller program; provide deployment templates for common ERPs and run joint demos/webinars using early pilot case studies, with a small onboarding fee to cover templated mappings. Leverage public integration and invoice‑processing claims to reduce partner friction. cifrato.ai
• First 100: Productize the most common country/ERP mappings into packages listed in ERP/POS marketplaces; add 1–2 regional BD hires to scale reseller recruitment and use public case studies to drive repeatable sales. Tie expansions to tax‑reporting support and planned CFO insights for upsell. YC profile cifrato.ai

What is the rough total addressable market

Top-down context:

Latin America has about 12.9M SMEs, with a strong regional shift to mandatory e‑invoicing in major markets (Brazil, Mexico, Chile, Colombia, Peru), creating favorable conditions for tax‑portal→ERP automation. The global accounting software market is already measured in the tens of billions of dollars, and LATAM SaaS spend is growing quickly SELA IDB/CIAT OpenText e‑invoicing guide Grand View Research EBANX.

Bottom-up calculation:

Small+medium firms are ~7.9% of 12.9M SMEs ≈ 1.02M companies SELA. Assuming 15–30% are mid‑market retail operators or accounting firms focused on retail yields ~153k–306k potential customers. If priced at ~$2k/year, that equates to ~$306M–$612M/year in scenario TAM (illustrative only).

Assumptions:

• Share of small+medium firms that are retail or accounting for retail is ~15–30% (region‑wide sector splits are not centrally published).
• Example ARPC of ~$2k/year is for illustration only; actual pricing will move dollar TAM linearly.
• Initial coverage focuses on countries with mature e‑invoicing and available ERP/POS integrations, constraining early SAM/SOM.

Who are some of their notable competitors

• Simetrik: LATAM‑founded reconciliation and ledger‑automation platform that matches payments, fees, and refunds to invoices and keeps GLs/subledgers in sync—overlaps on bank reconciliation and pushing reconciled data into accounting systems.
• Pagero / Gosocket: Global e‑invoicing network and compliance layer connecting businesses to tax authorities across LATAM; competes on reliable e‑invoice ingestion and compliance versus building/maintaining direct tax‑portal connectors.
• Vic.ai: AI‑first AP/invoice automation that auto‑extracts and codes invoices and integrates with ERPs; overlaps on AI coding, journal creation, and ERP posting for high‑volume finance teams.
• Botkeeper: Automated bookkeeping service combining ML with managed accounting staff for firms and mid‑market clients; an alternative for firms seeking outsourced pre‑booked ledgers rather than a connector layer.
• Siigo (and similar local ERPs/POS): Regional accounting/ERP vendors with native e‑invoicing, POS, and compliance features; can substitute for or integrate with Cifrato by handling invoice ingestion and tax reporting inside the ERP.