Fulcrum Equity Partners closes oversubscribed Growth Fund IV at USD275m
Fulcrum Equity Partners, a growth equity firm investing in healthcare services, HCIT, B2B SaaS, and tech-enabled services, has closed its fourth and largest fund to date, Fulcrum Growth Fund IV (“Fund IV”), which was oversubscribed with USD275 million in committed capital.
Fulcrum’s existing investor base validated the firm’s thesis and approach with nearly 100 per cent participation from institutional investors in prior funds and many investors increasing their allocations over previous commitments. New institutional investors and family offices also joined the firm’s longtime stable of C-level executives – a key element of Fulcrum’s strategic value-add since its founding in 2006.
“As a team of seasoned entrepreneurs ourselves, we started the firm’s first fund by gaining the financial and operational support of like-minded executives who continue to invest and serve as a rich resource in diligence, market knowledge, connections, and board composition for our portfolio companies,” says Fulcrum Founding Partner Tom Greer. This experience and the firm’s resulting approach helped land Fulcrum on Inc Magazine’s List of the Top 50 Founder Friendly Firms in 2020.
The Fulcrum team works alongside management to build the companies into scalable, professionally-run organisations, assisting in attracting talent, executing strategic initiatives, and implementing operational discipline. In 2020, two Fulcrum portfolio companies made the Inc 500 and eight in total were listed on the Inc 5000. With the ability to invest USD4 to USD25 million, Fulcrum can provide significant funding to drive growth initiatives, acquisitions, and shareholder liquidity. The firm has a history of leading multiple rounds of investments in its portfolio companies, including those in Fattmerchant, SaasOptics, Stratasan, and many others.
Fulcrum typically invests east of the Rockies, partnering with strong founders building great companies in traditionally underserved markets. Fulcrum has three Fund IV investments to date—Kobiton, Proxsys Rx, and Kevel.
“The innovation emerging across the country promises an exciting path for Fund IV. Our team is looking for strong businesses with leadership teams who are ready for the next phase of growth with partners who can offer much more than capital,” says Founding Partner Jeff Muir.