In a significant boost to Brazil's corporate pension landscape, Stay, a pioneering startup recognized as the "corporate pension plan of the 21st century," has successfully raised R$15 million in a seed funding round. This investment was spearheaded by MAYA Capital and Better Tomorrow Ventures, with contributions from prominent investors such as 17Sigma, Grão, Ralicap, and Sequoia's scout fund. Strategic backers also include Aaron Schumm, the founder of Vestwell, and Roger Lee, the founder of Human Interest—both of whom have established unicorns in the corporate pension sector within the United States.

Funding Purpose and Future Goals

The capital infusion is earmarked for expanding Stay's team and enhancing its product offerings across Brazil. Currently, the startup serves an impressive roster of clients, including reputable names like Cescon Barrieu, Leve Saúde, Mölnlycke, Mara, and Agendor. As part of its ambitious growth strategy for 2024, Stay aims to double its workforce and achieve a tenfold increase in its client base by year-end.

Tsai Chi-Yu, co-founder and CEO of Stay, emphasizes the pressing need for innovative pension solutions in Brazil. “Less than 10% of Brazilians have private pension plans, yet 100% dream of financial stability and have plans for their future,” he stated. He further underscored that corporate pension plans are becoming a crucial competitive advantage in the job market. By offering attractive compensation packages, clients can significantly reduce employee turnover while enhancing job satisfaction.

Modernizing Brazil's Pension Market

Established in 2023 by a team of seasoned technology executives—Tsai Chi-Yu, Caio Elias, Nicolas Frajhof, and Pedro Iglesias—Stay aims to revolutionize Brazil’s pension sector by adapting the successful American corporate pension model. The startup’s innovative approach fosters the modernization of both the pension market and corporate benefits, providing a flexible, efficient alternative to traditional pension schemes, which are often characterized by high costs and cumbersome processes.

Stay’s platform is completely digital and customizable, making it easier for companies to adopt and manage pension plans. This modernized experience not only simplifies the administrative burden for HR and financial departments but also enhances employee engagement. In partnership with Zurich, a global insurance powerhouse, Stay guarantees security and reliability in managing these benefits.

A Solution for Companies and Employees

Stay's platform is designed to cater to a wide range of businesses, from small enterprises to large corporations. It offers an innovative and affordable solution that helps companies establish long-term incentives, reduce operational costs, and ultimately attract and retain talent. For employees, the platform is a means to achieve financial peace, enabling them to organize their finances and work towards their future goals.

Mônica Saggioro, co-founder of MAYA Capital, highlighted the vast market potential for Stay’s offerings. “The team identified a significant market opportunity, as more than 90% of Brazilians over the age of 25 do not adequately plan for their financial futures. Most companies are also at a disadvantage when it comes to competitive compensation packages due to a lack of innovative solutions,” she noted. Saggioro expressed optimism about Stay's potential to address these challenges and positively impact millions of Brazilians' savings for the future.

Expanding Horizons

With plans to democratize access to corporate pension benefits in Brazil, Stay is positioning itself for expansion throughout Latin America in the coming years. The startup aims to continue its mission of making corporate pension plans accessible, thereby aiding companies in attracting and retaining talent while fostering a secure financial future for their employees.

The recent funding round marks a critical milestone for Stay as it seeks to redefine the landscape of corporate pensions in Brazil and beyond. As the startup continues to innovate and grow, it is set to play a vital role in transforming the financial wellbeing of Brazilian workers, empowering them to achieve their dreams and ambitions.

Stay’s successful seed funding round led by influential investors signals a promising future for corporate pensions in Brazil. By leveraging technology to create modern, efficient pension solutions, Stay is not only addressing the current gap in the market but also paving the way for a more financially stable future for millions of Brazilians. With its eyes set on expansion, Stay is poised to become a leader in the corporate pension sector, transforming the way companies approach employee benefits and financial planning.