STARTUP OF THE MONTH
Buenos Aires, Argentina
Our Startup of the Month for January is Palermitano Solutions. The company was founded in Buenos Aires in 2014 by two Argentines, Jerónimo Gallo, and Joaquín Benegas. Luis Schilling joined shortly after as a co-founder. Palermitano Solutions currently has 32 employees and delivers services in the US, Argentina, Mexico, Peru, Colombia, and Chile.
Palermitano is an Audio Visual Integration firm. The company designs and installs high-end audio-visual solutions for corporations and higher education institutions. The company develops video conferencing rooms, training rooms, auditoriums, and video walls. Palermitano creates user-friendly functional rooms blended with a high-end, attractive interior look. They emphasize in combining the latest trends in acoustic technology with aesthetics.
According to CEO Luis Schilling, Palermitano was “Born as a necessity”. Prior to the company’s foundation, the co-founders identified and experienced a lack of good quality in the tech giants’ conference and meeting room design and integration. However, the “Palermitouch” has accurately improved both the final product and the experience of its customers.
The company quickly gained momentum. Palermitano landed a large search engine company as its first customer in Argentina. As a result of their effective solution, the same client offered them a project in Chile, which turned out to be a competition against a local integrator for the tech giant’s future contracts in the country. Both the local integrator and Palermitano had similar projects. Palermitano’s pro-efficiency and punctuality won the contest and sealed the customer’s preferred company for services in both Argentina and Chile. “We completed it (our project) on time, while the local integrator delivered it 2 months after us. It was at that moment when they made the decision: “We want Palermitano and nobody else in both countries”. Luis said. During a meeting with the customer’s HQs team, Palermitano was presented with the opportunity of extending their support to the customer’s office in the Bay Area. This has been a game-changer for them since it opened the company’s doors to other Tech giants and Universities across the region. Palermitano quickly established itself in the market and started building a reputation.
According to Luis, Palermitano has become an important young face in the industry. Their hiring strategies have succeeded in bringing young talent while their competitors struggle in this matter, making this one of their biggest intangible advantages. “Although our competitors play the more experienced card, the industry is changing, and big ships are harder to pivot,” Luis said.
They have also built a strong supply chain across the Continent, being able to source both equipment and labor to multiple locations. They have managed to become a one-stop-shop for their Global customers for engineering, system design, sourcing equipment, and healthy project experience. Also, their Engineering Team based in Argentina allows them to be more cost-effective than their competitors in this matter. Palermitano has a wide range of order sizes and offers a wide catalog, which is always prone to expand. This proves to be critical for large customers, as their needs in different spaces can vary considerably. Plus, it saves time. A lot of time. The Argentine company takes care of all the stakeholders in the process. The buyer has no need to worry about the export process, regulations, suppliers, etc… This project model has even made some of their competitors start partnering up with them for work overseas as well as in the Bay Area.
Palermitano sees a bright future thanks to its forecasts and previous experience. The company closed in 2019 with a 70% revenue growth in comparison to 2018. Additionally, some markets in Latin America have proved the excessive demand for their solution and for a trustworthy Regional Partner. Take their experience in Mexico, for example. The Argentine enterprise grew dramatically in the country in a time-lapse of a couple of years. So far Palermitano has delivered projects in more than 45 cities across the continent, generated over $14M of ROI for their customers, and delivered over 3,000 video conferencing rooms.
Palermitano is currently in negotiations with other tech giants that are seeking support in the LATAM region. While their competitors are stepping out from some locations, Palermitano keeps on expanding its reach. They have an interesting heat map for the next 5 years and an aggressive 10X plan in hand.