The Power of Partnerships
ARBOL
Early support propels growth for fintech startup
Buffalo-based entrepreneurs David Gonzalez and Favio Osorio joined UB’s Cultivator program with an idea. A few months later, with help from dedicated mentors and a $100,00 pre-seed investment, they launched their startup company, Arbol—a financial wellness platform that helps colleges and universities reduce student dropout. Since completing Cultivator, Arbol has raised additional investments and is piloting its platform with several universities.
How Arbol collaborates with UB
Accelerates R&D
Occupies Office Space
Obtains Funding
Operates Tax Free
Engages in Startup Programs
Receives Mentorship
CHALLENGE & OPPORTUNITY
High dropout rates among first-generation college students
More than half of the undergraduate students pursuing higher education in the United States are the first in their families to attend college. In addition to the pressures of school, many first-generation students often come from low-income backgrounds and endure hardships such as family care or childcare costs. Largely due to these financial challenges, the dropout rate among first-generation college students is a staggering 74%. In turn, the high dropout rate causes higher education institutions to lose billions of dollars per academic year. As first-generation students themselves, the co-founders of Arbol recognized the inequalities in higher education and set a goal to increase the number of graduating students with less debt across the U.S.
SOLUTION & OUTCOME
Financial wellness platform helps universities retain students
Arbol helps colleges and universities identify, support and retain their most financially vulnerable students. The platform develops customized financial plans based on students’ actual financial data. It provides guidance, tools and recommendations to help students ensure their essential needs are met and gain monetary stability. As more students use Arbol, insights are unlocked for higher education institutions to reduce common financial barriers. For one university customer, Arbol’s platform helped identify transportation costs as a common challenge for its students. Thus, the university allocated lift credits to eradicate the issue. Arbol’s proactive approach improves student experiences and engagement, while providing long-term savings for higher education institutions.
UB SUPPORT
Startup funding and guidance to prove out business idea
When Arbol’s co-founders entered Cultivator, UB’s early-stage startup program, the duo had identified a problem—dropout rates of first-generation students—for which they sought a viable business solution. With weekly mentorship from experienced entrepreneurs and an initial $100,000 investment from UB, the Arbol team honed in on its primary customers and began piloting their initial prototypes. During the pilot, they gained valuable insights that led to a scalable pivot, refocusing their customer base on universities. The pilot also led to paying customers and insights for further product buildout and testing. Following the completion of Cultivator, Arbol’s growing team moved into UB’s startup incubator in downtown Buffalo and received an additional $250,000 investment from UB as part of an $850,000 pre-seed funding round.
RELATED NEWS
When businesses and universities join forces, great impacts result
Resources for discovery and growth
Get up to $100,000 in pre-seed startup capital and help from experienced entrepreneurs through the UB Cultivator.
Build your business and connect with a diverse network of entrepreneurs in our two business incubators—the Incubator @ CBLS downtown and the Incubator @ Baird near North Campus.
Tap into our full suite of entrepreneurial support services to launch or grow your business—funding, coaching, investor connections and more.