FACTO

FACTO SpA operates as a key player in the Chilean financial technology sector, providing a comprehensive administration and electronic invoicing platform tailored for Small and Medium-sized Enterprises (SMEs). Founded in 2014 by Mickle Foretic, the company's origins trace back to an internal tool developed to solve the founders' own business management challenges. Recognizing a broader market need, and with support from a CORFO Capital Semilla grant, they pivoted to offer the system publicly. A significant milestone was the decision to make the core platform free, aiming to empower SMEs to comply with electronic invoicing laws and improve their administrative capabilities without cost being a barrier. On May 27, 2024, FACTO was acquired by Koywe.

The company's business model is distinguished in the Chilean market by its freemium approach. The core offering, which is free of charge, includes unlimited electronic invoicing (such as invoices, credit/debit notes, and receipts), client and supplier management, inventory control, cash management, and reporting. This free tier is robust, providing all necessary features to comply with Chilean tax law (law 20.727) and manage basic business operations. Revenue is generated through optional, paid add-on services and premium features. These include integrations with major e-commerce platforms like WooCommerce and Jumpseller, online payment processing links embedded in invoices, and advanced functionalities like bulk invoicing, recurring billing, and specialized tax documents such as export invoices. The firm also offers a point-of-sale (POS) interface as a complementary tool to enhance business management.

FACTO's platform is designed to be an all-in-one solution for SMEs, centralizing critical business functions. Key features encompass the entire sales cycle, from generating quotes to issuing various electronic tax documents (DTEs) and managing collections with automated reminders. The inventory module tracks stock in real-time, syncing with sales and purchases to maintain accuracy across multiple warehouse locations. Client and supplier databases are integrated, providing a clear view of transaction histories and outstanding balances. The system is web-based, allowing users to access their business information from anywhere, 24/7. By offering a free, unlimited, and comprehensive entry-level product, FACTO attracts a large user base, with the majority (98%) operating entirely on the free platform, while monetizing a smaller segment that requires more advanced, specialized services.

Keywords: electronic invoicing, SME management software, financial technology, Chilean startups, freemium business model, business administration, inventory control, accounts receivable, e-commerce integration, point of sale system, tax compliance software, digital invoicing, cash flow management, CORFO, Koywe, Mickle Foretic, online payment processing, purchase order management, recurring billing, client management, supplier management, business reporting, DTE Chile, factura electrónica