How We Invest

Sagemount backs market-leading companies across a range of high-growth sectors.

Industry & company focus

We focus on industries with strong secular tailwinds and companies with recurring or re-occurring revenue streams.

The Sagemount difference

We work in concert with entrepreneurs to increase the velocity of value creation.
  • Customized solution

    We tailor our approach to your company’s unique opportunities. We don’t believe in a one-size-fits-all playbook.

  • A focus on growth

    We focus on driving accelerated growth, not disruptive downsizing.

  • Speed to market

    We look to exploit Growth Factors right out of the gate.

  • A partnership approach

    We work in tandem with your management team. We work highly collaboratively, ensuring we have alignment on strategic initiatives, not pushing playbooks that don’t fit your business.

Investment criteria

We approach investing with flexibility, agnostic to a company’s capital structure. We are equally comfortable in the role of the majority or minority partner and investing in equity or debt securities.

Investment situations

  • Capital for growth: Add sales & marketing resources, fuel customer acquisition, expand partnership channels, or accelerate R&D

  • Capital for M&A: Sponsor game-changing acquisitions or industry consolidation

  • Buyouts: Traditional change-of-control buyouts, divestitures, and take-privates

  • Recapitalizations: Provide full or partial liquidity for financial, strategic, or management shareholders

Typical investment metrics

  • Investment size: $15-100 million for credit transactions; $40-400 million for equity transactions
  • Structures: Common or preferred equity; senior or subordinated debt
  • Role: Control or non-control; typically lead investor

Typical company metrics

  • Revenue size: $15+ million
  • Company growth: >10%, achievable organically or inorganically
  • Revenue model: Recurring or re-occurring (subscription, transactional, etc.)
  • Profitability: Corporate or unit-level profitability