Approach

Your goals are our goals, and we get there by adding long-term value to each of our portfolio companies. But the value we add to our relationships with our partners is the true measure of our success: it’s the product of our results, and the alignment of our interests.

OUR INVESTMENT APPROACH

We make control equity investments in enterprise software, digital infrastructure, and tech-enabled services companies with enterprise values between $20 and $150 million. The investable universe that is IT is large, and growing every day: we research and map the many subsectors of our industry, and then focus our energies on sectors with exceptional opportunities, where our particular style will have maximum impact. We take the time to visit and get to know as many companies as possible in a target subsector, and that first-hand experience allows us to see emerging patterns, develop conviction and source compelling, on-strategy opportunities through up and down markets.

Our proven set of disciplines and processes, refined over more than 25 years of successful investing, provide a framework for both identifying a potential investment, and defining a path to success. We start by backing motivated and aligned management teams, then we put our team, our expertise and network to work. Our approach is a constant, but every company has unique requirements. We craft a strategy specific to each company that we partner with, one that drives long-term value by making a meaningful impact. A business that stands out against its peer group, in operations, product offerings, and customer experience, is our goal.

WHAT MAKES US DIFFERENT

Commitment

Commitment is a lived ethic.  We’ve been invested in our target sectors, and we’ve stayed invested, over the course of peak and trough markets.  That commitment has paid us back with a comprehensive understanding of our target sectors, and our ability to invest with confidence and conviction.

Focus

The IT universe evolves and innovates at an incredible pace, making it a very big place to invest. So how do we know where to look? Focus. We look to long-term secular shifts to pick our sectors, and then apply a rigorous selection framework to identify the most promising companies within our target sectors.

Leaders

We see long-term value realized when companies become leaders in their peer-groups. In a competitive world, what is the surest path to success? A great team. We partner with stand-out management teams to provide not just capital, but the additional eyes, ears, hands, and minds needed to reach the next level.

WHAT WE INVEST IN

enterprise-software

Enterprise Software

Virtually every type of enterprise in the U.S. allocates a significant amount of its capex to IT, and a lot of that spending goes to software. Making decisions about how and where to allocate that budget isn’t easy. Does it make more sense to plug in a new niche product, or is it more effective to replace the whole platform? Should the software be run in-house, or via a cloud-based provider? There isn’t a single solution that fits all companies’ idiosyncratic circumstances. In response, a trend has developed towards increased segmentation and customization, which in turn has created a vast number of smaller providers, specialized by end-market or application. Strattam focuses on established markets, targeting software companies with proven products that are meeting critical customer needs.

digital-infrastructure

Digital Infrastructure

Economic incentives have dramatically increased data center usage. More recently, adoption by a wide array of users with industry-specific incentives has supported the business models of specialized providers serving industry-specific needs. The complexity of the demands of certain verticals has transformed digital infrastructure from a commodity product. We seek out opportunities with service providers in experience-intensive verticals and providers with distinctive market leadership.

tech-enabled-services

Tech-enabled Services

The migration to cloud-based services and digital infrastructure isn’t a clearly defined path. Its complexity drives demand for new services along the way, and getting there requires the assistance of providers that can advise, design, implement, and monitor cloud-based solutions. We target tech-enabled services, hosted voice and data providers, and security services that are well-positioned to capitalize on the complexities of a rapidly changing and fragmented sector.