Diversifying the 21st Century Everyday Economy
Our ethos is that exceptional talent and revolutionary ideas know no borders.
We believe that some of the most transformative technology disruptions are born from diverse minds and untapped regions. We're dedicated to sourcing, championing, and investing in these voices across the United States.
Our conviction is that exceptional talent and revolutionary ideas know no borders. They are not confined to popular innovation hubs or predictable geographies. In fact, some of the most transformative technology disruptions are born from diverse minds and untapped regions. We're dedicated to sourcing, championing, and investing in these voices across the United States.
Our Focused Investment Strategy
Geographic Diversification
We are committed to actively seeking out promising startups in underrepresented regions across the United States. This approach isn’t just a moral imperative but also a strategically sound economic decision. Our goal is to capitalize on the high returns offered by areas with less competition and untapped potential, essentially aiming for valuation arbitrage.
Early-Stage Synergy
By partnering at the seed stage, we can provide not just capital but also invaluable mentorship, connections, and strategic guidance to our portfolio companies. This early alignment helps ensure the successful scaling of promising ventures.
Thematic Approach
While our primary filters are founder background and geographic location, we remain sector agnostic. However, our deep industry networks and expertise in certain high-growth tech sectors allow us to provide unparalleled support to our investee companies.
CAPITAL EFFICIENCY
90% of startup companies fail. 10% succeed. 100% of companies that fail run out of cash. We invest in capital efficient companies with high gross margins from day one of our investment.
At High Street Equity Partners, we envision a tech ecosystem where opportunities are widespread and not just concentrated. By marrying the principles of diversity, inclusion, and economic pragmatism, we're charting a course to uncover the future tech giants from every corner of the nation.
Future of Work
How Americans view work is changing. We believe that the next 20 years in the workplace will look dramatically different than the last 20 years. This factors in pre-covid as well as post-covid megatrends and shifts in the workplace.
The Great Resignation, reverse migration to cities, remote work culture in white collar workplaces, high demand of upskilling and reskilling in blue collar workplaces -– all lead to what we believe is a renaissance period for the American workplace.
We believe that the nature of work is rapidly evolving due to advances in technology, shifting demographics, and changing cultural norms. The future of work will be characterized by flexible work arrangements, remote work, and increased automation. This presents an opportunity for investors to capitalize on the growth of companies that are at the forefront of these changes
Market Opportunity
The global workforce is expected to undergo a significant transformation in the coming years. According to a report by McKinsey, up to 375 million workers worldwide may need to switch occupations or acquire new skills by 2030 due to automation and technological advancements. The market opportunity for companies that can facilitate this transition is vast, with estimates suggesting that the global market for remote work and collaboration tools could reach $400 billion by 2025.
Investment Themes
Remote Work
The pandemic has accelerated the adoption of remote work, and this trend is expected to continue even after the pandemic subsides. Companies that provide remote work solutions such as cloud-based productivity software are likely to benefit from this trend. Additionally, companies that support Employee Wellness & Experiences will grow increasingly important. The future of work will be characterized by increased flexibility and remote work which will make it even more important to invest in employee wellness solutions and experiences for employees across geographies.
Upskilling and Reskilling
As the workforce evolves, there will be a growing need for upskilling and reskilling. Companies that provide training and education solutions, such as online learning platforms and professional development programs, are likely to benefit from this trend. This includes Talent Intelligence & Human Capital Management.
Automation
Automation is already transforming the workforce, and this trend is expected to continue in the coming years. Companies that provide automation solutions, such as robotic process automation (RPA), machine learning, and artificial intelligence (AI), are likely to benefit from the increasing demand for these technologies.
Examples
- We see data that millions of people don't desire to go back to the same job or industry from pre-pandemic– especially in blue collar workplaces. There's a desire to be re-skilled and up-skilled to be positioned for the economy of tomorrow.
- HR departments have started to become more outsourced opting for partners and vendors to take over different functional areas of HR such as Workday, Gusto, Monday.
- Arkansas Innovation Fund (AIF) and Center of Excellence (COE)
Advisors
Brandon Andrews
Danielle Caldwell
Clean Tech
We believe over the next 10 years America will see mass adoption of a more sustainable economy by government, businesses, and consumers.
American government $100B investment in Clean Tech infrastructure (via Infrastructure Investment and Jobs Act a.k.a. INVEST in America Act) has put this industry into what we see as “3rd gear” and we’re starting to see that actualized in the market.
- It’s our goal to leverage Tristan’s time on Capital Hill re: policy experience and relationships.
- In particular, we’re interested in amplifying Clean Tech ventures that are inclusive in their approach (supporting and bringing along communities of color).
Market Opportunity
The global workforce is expected to undergo a significant transformation in the coming years. According to a report by McKinsey, up to 375 million workers worldwide may need to switch occupations or acquire new skills by 2030 due to automation and technological advancements. The market opportunity for companies that can facilitate this transition is vast, with estimates suggesting that the global market for remote work and collaboration tools could reach $400 billion by 2025.
Investment Themes
Mobility Tech
The mobility tech sector refers to the range of technologies that support and enable the movement of people and goods. It encompasses a broad array of technological innovations designed to improve, optimize, and transform transportation. The mobility tech sector is en by the overarching goals of improving efficiency, reducing environmental impact, increasing safety, and providing greater accessibility and convenience to users. Key components and areas within the mobility tech sector include Infrastructure Tech, micro-mobility, and mobility-as-a-service.
SecurTech
Including infrastructure vulnerabilities and supply chain security. We aspire for broadband connection to every American with reliable high-speed internet and believe they’ll be infrastructure vulnerabilities and implications of that.
Infrastructure Investment and Jobs Act
Advisors
Luke Squire
Deondra Randle
Health Tech
Conviction that healthcare is arguably the most disrupt-able industry in the world. It raised prices faster than inflation for 40 years. 80% of Americans are unhappy with healthcare. “I don’t know if another industry that has raised prices consistently over last 40 years and 80% of customer base don’t like it.”
HealthTech enterprise SaaS companies are strategically positioned at the confluence of rapid technological evolution and an increasing global demand for efficient, scalable, and personalized healthcare solutions. As healthcare systems worldwide grapple with rising costs, an aging population, and the imperative for digital transformation, these companies offer scalable platforms that enable seamless data integration, advanced analytics, and telehealth capabilities. Their recurring revenue models, characterized by high margins and sticky customer relationships, combined with a vast addressable market, present a compelling investment opportunity. As regulatory landscapes become more accommodating and as the COVID-19 pandemic underscores the importance of digital health infrastructure, HealthTech SaaS players are primed for accelerated growth and long-term value creation.
Market Opportunity
The healthcare industry is a significant and growing market, with increasing demand for innovative solutions to address the challenges of an aging population, rising healthcare costs, and the increasing prevalence of chronic diseases. In 2019, national health expenses totaled $4.0 trillion at 17.7 of US GDP. According to the CMS, healthcare spending in the United States is projected to grow at an average rate of 5.4% per year between 2019 and 2028, reaching $6.2 trillion by 2028.
The healthcare industry is undergoing rapid technological advancements, with the adoption of telemedicine, wearable devices, and other digital health technologies. These technologies have the potential to improve patient outcomes, increase efficiency, and reduce costs. Health industry is ripe for innovation and disruption. Providers and customers alike acknowledge that it's not working and are looking for technological innovation for better care delivery. There is a growing emphasis on preventive measures and wellness in the healthcare industry, with a focus on keeping patients healthy and out of hospitals. Health tech solutions that support these goals are likely to be in high demand. Health tech has the potential to make a significant social impact by improving access to healthcare, reducing healthcare disparities, and improving patient outcomes.
Investment Themes
Care Economy/Longevity
The Care Economy is a $648B market that focuses on our aging U.S. Population and baby boomer care delivery. By Dec 31, 2030 all baby boomers will be over retirement age of 65, representing 1 in 5 Americans. As my parents' generation start to retire and focus shift more to their aging health— what technology will help caregivers and play a pivotal role in care delivery. We view this as an intersection between the aging workforce and health technology. In this scenario, technology will become a significant factor in enhancing the quality of life for older adults and supporting caregivers.There are several areas where technology is being utilized, such as Caregiver Support Tools that offer resources and stress management for caregivers, Care Coordination Platforms that enable effective communication among healthcare providers and families, Aging in Place Technologies like smart home devices and remote monitoring for independent living, Financial Wellness and Resilience Solutions that aid in managing finances and healthcare costs, Preventive Health Technologies that include wearables and cognitive games for physical and mental health, and Social Engagement Platforms that help combat loneliness and maintain community connections. These innovative solutions are crucial for ensuring the well-being of older adults and their caregivers, at the intersection of the aging workforce and health technology.
Value-based care
Value-based care, a healthcare model focused on patient outcomes, significantly benefits from technology. In particular the “picks and shovels” adjacent to the industry. Identifying high-risk patients in underserved communities and connecting them to resources. Tools like data analytics and big data play a vital role in identifying high-risk patients, especially in underserved areas, by analyzing health determinants such as social and environmental factors. Electronic Health Records (EHRs) centralize patient history, aiding in informed decision-making and care coordination. Technologies like telehealth and remote monitoring extend care to remote areas, ensuring continuous health monitoring. Predictive modeling using AI predicts patient risks, enabling early interventions. Patient engagement tools foster self-care, while interoperability solutions ensure seamless data exchange between healthcare systems. Together, these technologies form the backbone of effective value-based care, connecting high-risk patients with essential resources and improving overall health outcomes.
FemTech
Health tech that focuses specifically on approaches and solutions to women’s health needs, is the fastest growing subsector and is projected to be valued at $50 billion by 2025. Investing in femtech presents a prime opportunity for due to its untapped market potential in addressing historically underfunded women's health issues. The industry is rapidly growing, fueled by increasing awareness and technological
Advisors
Joel Kanter
Fernando Porter
Sachin Nagrani
Adrian Jordan
