Workhorse Capital – Growth Equity Blog

Don’t Die Trying… Be a Workhorse.

For those of you who have followed my personal blog, you know I don’t think the mythical Unicorn is a very good role-model for entrepreneurs. It isn’t that I’m anti-Unicorn. Quite the contrary, I’m a huge fan of building companies that are worth billions of dollars. My objection, rather, is to the tech-media inspired horn-envy that came along with the Unicorn phenomenon and the subsequent risk-taking craze that ensued. Left in the wake are Unicorn wannabes that died trying and some one-time Unicorns that ultimately fell from grace.

An alternative role-model to the Unicorn is the sturdy Workhorse. Think of the workhorse as a unicorn that has evolved. The unicorn is of mythical value. The horn was useless and the magic isn’t real. Workhorses are are evolved in that they are producers of fundamental value. They shed the horn, solve real problems and create fundamental value.

We believe so strongly in the Workhorse as a role model for entrepreneurs that when my new partner, Dave McLean, and I named our firm, we chose Workhorse Capital.

The Big 3: Demand Generation

In our last post, we touched on some of the operational scaling challenges associated with nearly every growth-stage tech-enabled services (TES) businesses. Today we turn our attention to the last and arguably the most ubiquitous growth imperative, demand generation. So what exactly do we mean by demand generation? Let’s start with what it’s not. If […]

Datavail

Datavail Announces Acquisition of AdvancedEPM Consulting

On March 6th, 2017 Oracle Consultancy Deepens Expertise in Enterprise Performance Management BROOMFIELD, Colorado, and CLEVELAND, Ohio – March 6, 2017 – Datavail, a leading provider of managed services for database management, analytics, and application life cycle management, today announced the acquisition of AdvancedEPM Consulting, an Oracle Platinum Partner focused on Oracle Enterprise Performance Management […]

The Big 3: Operational Scaling in Your SaaS or Tech-Enabled Service Business

In a prior post on the the Big 3 challenges common to nearly every growth-stage tech-enabled services (TES) businesses, we explored the importance of building and developing your team. In this post, we’ll focus on a second growth imperative, operational scaling. Bending the growth curve to double, triple or quadruple revenues presents a new set of […]

Stage Expertise is as Important at Sector Expertise

The Workhorse Capital team believes that successful investors differentiate themselves by contributing to the value creation process at each portfolio company. In order to do so, we keep close to our roots – focusing our investments in technology-enabled service businesses which leverage recurring revenue business models. We believe in sector expertise. Likewise, we believe in stage […]

The Big 3: Team Building Best Practices

Bending the growth curve presents a new set of challenges for your expanding business. We recently touched on The Big 3 imperatives common to almost every growth-stage tech-enabled services (TES) business: Team: Building and developing your team from top to bottom Operational Scaling: Growing the operation and refactoring systems and processes to accommodate scale Demand Generation: Opening up […]

The Big 3: Company-Scaling Imperatives in SaaS and TES

If you’re the owner-operator of a SaaS or tech-enabled services (TES) business that’s growing at over 20% and approaching profitability…..savor the ride because you’re flying in rarefied air. It’s not every day an entrepreneur “bootstraps” their way from the risk and uncertainty of the “fuzzy front-end” to demonstrating a strong value prop and product-market fit on […]

Datavail

Workhorse Capital Invests in Datavail

Workhorse Capital is pleased to announce the completion of its first investment; a $7.2 million investment in Datavail Corporation. Datavail is the largest independent provider of remote database administration managed services in North America. Workhorse’s investment in Datavail is part of a $47.0 million growth recapitalization led by new investor, Catalyst Investors. New investor, Lumerity Capital […]

Introducing Workhorse Capital

Today, we launch Workhorse Capital. We start modestly, with humility, but with big aspirations. We subscribe to Jim Collins’ Hedgehog Concept, based on Isaiah Berlin’s parable of the Hedgehog and the Fox. The story of the Hedgehog and the Fox comes from a quote fragment attributed to the Greek poet Archilochus: The fox knows many things, but the hedgehog knows one big […]

A Pedestal for Bootstrappers

There are many ways to capitalize a tech-enabled service business in its formative stages. Angel capital and venture capital are frequently sought after, but sometimes difficult to come by sources of capital. Angel capital and venture capital are appropriate for many early-stage businesses, particularly in winner-takes all markets where an early product, user base or other competitive […]