Brazilian fintech startup Capim has raised $26.7 million in Series A funding to expand its innovative "buy now, pay later" (BNPL) platform for dental services, the company exclusively told TechCrunch. The Sao Paulo-based startup, founded in July 2021 by Marcelo Lutz and Roberto Biselli, aims to provide Brazilians with more accessible and affordable dental care through its digital platform.

Capim's BNPL solution allows patients to book appointments digitally at connected clinics and pay for dental services in up to 36 installments, offering greater flexibility compared to traditional credit card payment options. According to Biselli, the company's interest rates are 50% lower than those charged by traditional banks, making dental care more affordable for Brazilians.

The startup's operating system also helps dentists digitize and manage their clinics, increasing revenue through its financial products. With the latest capital infusion, Capim plans to expand its financial offerings with a point-of-sale (POS) terminal that will offer clinics significantly lower merchant discount rates (MDR) while integrating with its SaaS financial management module. The terminal will allow clinics to accept credit cards, debit cards, and PIX (Brazil's real-time payment system).

In addition to expanding its financial offerings, Capim will use the funding to develop new AI-powered tools designed to make clinical operations more efficient. The startup also plans to accelerate its go-to-market strategy to expand its network of clinics and patients. To date, Capim has helped over 60,000 Brazilians gain access to dental procedures and currently serves 6,000 dental clinics, with plans to reach over 10,000 by year's end.

Capim's Series A round was raised in two tranches, co-led by Valor Capital and QED Investors, with participation from existing investors ONEVC, Canary, and NXTP, as well as new investors Endeavor, Saison, and Actyus. The startup declined to disclose its valuation but has raised a total of $29 million, including a $2.5 million seed round when it first launched in July 2021.

Lutz and Biselli, who met while pursuing their MBAs at INSEAD, won the INSEAD Venture Competition in December 2020 and officially launched Capim upon completing their degrees. The startup has tripled its revenue in 2024, adding more than 4,000 clinics to its client base, and currently has 130 employees.

Valor Capital's Carlos Costa praised Capim for addressing clear challenges faced by professionals in managing their clinics and financing treatments. QED Investors' Mike Packer noted that his firm has been following Capim since its early days and was convinced of its early product-market fit and strong unit economics.

Capim's innovative approach to making dental care more accessible and affordable in Brazil has significant implications for the country's healthcare industry. As the startup continues to expand its services and reach, it is likely to have a positive impact on the overall health and well-being of Brazilians.