Omnichannel store builder Enstack raises $3M from Wix Backer and other high-profile investors to digitize Southeast Asia SMEs

Singapore and Manila

– Enstack, Southeast Asia’s first SME superapp, has announced the completion of a $3M Series A funding round led by Mangrove Capital Partners, indicating investors’ growing interest in capitalizing on the demand for digitization among small businesses.

Founded by former Shopee Philippines country lead Macy Castillo and Skype co-founder Geoffrey Prentice, Enstack provides small and medium enterprises (SME) with an endto-end app to manage their businesses, including multiple storefronts, inventory, and integrated payment and shipping solutions. A female-led startup that knows how to empower the predominantly-female local SME landscape, Enstack came out of beta last October, saw 5x growth in the

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FROM A1 petrochemicals, energy, and information and communications technology (ICT) products,” Panga added.

To date, PEZA registered 109 Taiwanese companies with combined investments amounting to PHP33.17 billion, which created 38,749 direct jobs.

Among the top Taiwanese investors in PEZA include Sunon Properties Philippines Corp., Tong Hsing Electronics Phils. Inc., Kinpo Electronics (Philippines), Inc., Acbel Polytech Philippines, Inc., Bojie Development Corporation, Phil Bright Corporation, Shang Mei Philippines Corporation, Taihanland (Philippines) Inc., Bioteque Medical Phil. Inc. and Everbrilliant Manufacturing Company Inc. (PNA)

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Diokno reiterated the Marcos administration’s bid “to maintaining sound macroeconomic fundamentals and achieving its fiscal targets by continuing the course of sound fiscal management.”

“The country’s recent structural reforms will also enable the country to withstand the pandemic shocks and map a route to recovery,” he said.

For one, the government has taken a whole-of-government approach in tackling the elevated inflation rate by not relying solely on the rate hike decisions of the Bangko Sentral ng Pilipinas (BSP) but has adopted measures to address supply issues on several food items and help alleviate the fourth quarter of 2022, and is expected to grow by another 10x by year-end. Bannered by leading merchants in food, fashion, and beauty, the app’s growth highlights the appetite of SMEs to digitize business operations.

Enstack’s key investors help support the company’s strategic initiatives. This investment marks Mangrove Capital’s first in Southeast Asia after a rich history of backing global tech leaders including communications giant Skype and website builder Wix. Other participants include Southeast Asia payments unicorn Xendit, who is excited to be an active partner in addressing the urgent need for digital payments in small businesses and William Kim of Shinsegae International whose expertise in health and beauty helps the superapp marry industry insights with the

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scents and colors, allowing them to cater to various preferences.

A total of 40 participants from the community participated in the training in hopes that they can reduce their household expenses and they can generate additional income while staying at home.

Marietta Abella, 54 years old and a mother of four, said that she was amazed by how easy it is to make the detergent powder.

“Kini na programa kay dakong tabang gyud ni sa akoa kay daghan ko kauban sa balay so makadugang pud ni na mabawasan akoang gasto. Paningkamutan pud nako na maneogosyo namo ni kay dugang pud siya income sa amoa na makatabang sa pag eskwela sa akong anak. (This program is a huge help to me because it will help me in reducing the household costs. I will work hard that we can pursue this as a business which will give us additional income to help in my children’s education,” she added.

Pulido said that the techno training is part of DOST 11’s commitment to empower the local community through innovative programs like the detergent powder-making training which will create sustainable livelihood opportunities for the people. (PR/ DOST 11) impact of higher rate of price increases on the lives of many Filipinos.

“With the Philippine Development Plan (PDP) 20232028, the government will steer the country towards a path that promotes inclusive growth, provides equal opportunities to Filipinos, and enables them to participate in an innovative and globally competitive economy,” the DOF said. (PNA) team’s hyperlocal SME knowledge.

“Enstack’s mission is to empower underserved SMEs with integrated tools that grant flexibility, in a business landscape that is shaping-up to be a combination of both online and offline commerce. The all-inone superapp makes it simple for businesses to digitize regardless of what business they own and where they are in their entrepreneurial journey,” said Castillo.

“Southeast Asia is seeing the rise of its own ‘Commerce 3.0’ where merchants are demanding more tailored solutions to their growing businesses online and offline. Armed with expertise and experience from the last decade in Southeast Asia e-commerce, our team created Enstack as a response to barriers to SME digitization. We have seen

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the bulk of the average total retail payments made by Filipinos in a month. Standardizing QR codes enhances customer and merchant experiences, leading to greater usage of digital payments,” added BSP Deputy Governor Mamerto Tangonan.

The BSP said the guidelines were issued through a memorandum that provides for the transition of non-QR Ph codes for electronic payments services to the QR Ph standard before July 1, 2023.

Thereafter, “non-QR Ph codes or proprietary QR codes shall be disabled and shall no longer be available to the public,” it said.

The BSP said PSPs are also reminded to provide appropriate product training and guidance on the features of QR Ph to their employees, including store cashiers and managers.

The central bank said the memorandum implements BSP Circular No. 1055 on the “Adoption of the National Quick Response Code Standard,” issued in October 2019.

Circular No. 1055 requires BSFIs that serve as PSPs to adopt the national QR code standard in their payment services.

This is aimed at transforming the fragmented QR-driven payment services into interoperable payment solutions, eliminating the need for merchants and customers to maintain several accounts and display numerous QR codes.

The Philippine Payments Management, Inc., which is the payment system management body accredited by the BSP, developed QR Ph in accordance with the provisions of Circular No. 1055, the central bank said small businesses embrace and transition to digital and look forward to building on this momentum to help more SMEs in the Philippines and the rest of Southeast Asia be future-ready,” she adds.

“The right combination of timing, innovation, and an experienced team sparks confidence in this venture. Our investment in Enstack’s game-changing product reminds us of when we’ve made winning bets on early commerce disruptors that have successfully helped SMEs create and expand their digital footprints,” shares Mark Tluszcz, CEO of Mangrove Capital and Chairman of Wix. “We firmly believe in Enstack’s capacity to set the standard of how tech for SMEs should be done - marrying technical knowhow with a thorough understanding of the market’s local nuances. This shared

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sionate speech about finally being able to do things in person again.

The Apex Arrival kicked into high gear when Quartararo and Morbidelli’s convoy made its way to the racetrack. After exchanging pleasantries, the pair, along with Mascardo, Mauricio, Paz, and even Mr. President, hopped on their bikes for a quick exhibition ride, to the delight of the roaring crowd. The oohs and aahs from spectators—as well as a few laughs when Franky extended his track time—were an indication that the long trip to Clark was well worth it.

Another highlight of the event was Yamaha presenting a brand-new YZF R15M to McKinley Kyle Paz (his “dream bike”) for bringing the coun- milestone excites us to further help empower underserved SMEs in the region,” he adds. try pride in the past couple of years. Two lucky attendees also won an all-expenses-paid trip for the 2023 Malaysia Grand Prix at the Sepang International Circuit this coming November.

According to the International Institute for Management Development’s World Digital Competitiveness Ranking 2022, Southeast Asian economies have varying levels of capacity and readiness to shift to digitization. The Philippines still lags behind neighbors, Singapore, Malaysia, Thailand and Indonesia in its ability and readiness to embrace digitization as a “key driver for economic transformation in business, government and wider society.” Enstack offers a superapp that fulfills the diverse needs of entrepreneurs across the region, making it easy for business owners to digitize, no matter what kind of business they own or where they are in their entrepreneurial journey.

In the end, Quartararo addressed their fans: “The message I want to give, especially to young riders, is to enjoy, because it’s something that a lot of people want to do. Believe in yourself. (Work hard for) your goals. Dreams come true.”

Morbidelli added, “Keep believing, keep pushing. This is a country where motorsport is going up and up, so I already met some young, promising riders, and hopefully we will see a Filipino rider one day in MotoGP.”

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the brand to the Philippines that has experience in the food business and knowledge in real estate to put up the stores in strategic locations.

“We need someone who can prove to us they can open at least eight stores,” Portmann said, adding the partnership would be a 10-year agreement.

He said the eight stores should be opened within the first five years of the deal.

Aside from opening shops, the company also targets to put up the supply chain locally.

“Supply chain for us is very important. So, we will work towards having a regional and even a local supply chain in Asia,” Portmann added.

Founded in Duck, North Carolina in 2006, the American donut shop chain has more than 100 stores in the US and has opened in the Middle East, Egypt, and Puerto Rico.

Unlike other donut brands, Duck Donuts does not have donuts on their racks as their products are freshly made and customers can also customize the flavors and toppings.

Portmann further said it would also offer local flavors, including toppings that are unique to the Philippines.

Duck Donuts targets to open its first store in the country by the fourth quarter of this year or early next year once it finds its local partner. (PNA)