What We Do
Who We Partner With
We invest in rapidly growing companies that have proven business models and are looking for partners to help accelerate growth, fund acquisitions or generate shareholder liquidity.
Stripes partners with technology enabled and branded consumer businesses.
Within the technology enabled space, we like B2B / B2C internet and SaaS companies. Specifically, sectors we focus on include IT business services, digital media, e-commerce, consumer internet, enterprise software and IT services. Within branded consumer, we are most excited by companies that have distinctive products with strong consumer value propositions.
We like rapidly growing businesses.
Generally, the companies we partner with have each demonstrated more than 20% growth per year, have proven business models, and have trailing twelve month revenues above $15M and EBITDA above $3M.
Our partners typically have not had prior institutional investors.
We have deep respect for bootstrapped businesses in which the management teams are significant equity shareholders as we find we share their discipline around expense structures and when and how to invest behind growth.
The businesses we partner with have 24-month financial forecasts that can be met without the introduction of unproven new products or services.
Our investment philosophy does not suppose that a couple of successes pay for the prevalence of failures — our model generally assumes all of our companies can and will succeed!
Our partners do not necessarily need our capital to continue doing “more of the same.”
Instead, our capital is generally used to accelerate expansion, fund acquisitions, bolster the balance sheet or cash out existing shareholders. With technology businesses, we also excel at upgrading technology and supplementing sales & marketing efforts. Similarly, with branded consumer products businesses, we can also invest heavily in expanding and improving distribution and brand.
How We Help
We use our expertise, network and capital to help our companies achieve, not redefine, their short and long term goals. We're supportive, not intrusive.
In situations where there are holes in the teams of our partner companies, we work with them to assemble the right group of people to build their business. To do so, we leverage not only our full time in house executive recruiter, but also our network of industry contacts to lead hiring efforts for key executive and non-executive positions.
Partner with Management to Execute and Enhance Strategy
Leveraging the expertise of our Operating Advisors and investment professionals, we work with our management teams to continually refine views on market positioning, growth strategy and competitive landscape. Our active dialogue with management and our roles as key advisors and board members allow us to partner with our teams, helping them to achieve their strategic and operational goals.
Source and Provide Capital for Add-on Acquisitions
Through our relationships with industry and intermediary contacts, we source and evaluate M&A and business development opportunities to help our portfolio companies create value and accelerate growth.
Implement a Concise Playbook
We believe that the thoughtful application of capital and resources can drive exceptional improvement in operating results and yield a disproportionate expansion of enterprise value. Our post-investment playbook helps guide both our and our partners' strategies for increasing near-and-long-term enterprise value. Our playbook will include investments in recruiting, technology infrastructure, sales & marketing, distribution expansion and brand.
Positioning for Exit Planning
We not only play a significant role in growing and improving the profitability of our companies, but we help our companies maximize the strategic value of the business. Through active dialogue with our extensive network of industry executives and intermediaries, we are always aware of liquidity options and have repeated experience with the public markets.