Thompson Street Capital Partners Review: St. Louis Private Equity Investment Focus, Portfolio & Deal Criteria

Comprehensive review of Thompson Street Capital Partners: investment thesis, portfolio companies, typical deal sizes, sector focus, and how to prepare for investment from St. Louis-based private equity firm.

Key Takeaways

  • •Headquarters: St. Louis, Missouri
  • •Founded: 2000
  • •AUM: $2B+ in assets under management
  • •Sectors: Software, Technology Services, Engineering
  • •Investment range: $10M-$75M in equity with enterprise values $25M-$150M

Firm Overview

Thompson Street Capital Partners is a St. Louis-based private equity firm focused on software and technology-enabled services. Founded in 2000, the firm has established itself as a significant player in the middle market, with over $2B in assets under management.

The firm's investment thesis centers on partnering with strong management teams to build market-leading companies in software and technology services. Thompson Street focuses on companies with recurring revenue models, strong competitive positions, and clear pathways to growth.

Investment Strategy & Thesis

Thompson Street pursues a focused investment strategy targeting companies with enterprise values typically ranging from $25M-$150M. The firm's equity checks generally range from $10M-$75M, positioning them as active investors in the lower to middle market.

Key elements of their approach include software and technology focus, recurring revenue emphasis, operational value creation, collaborative partnership model, and long-term orientation building businesses for sustainable growth.

What Thompson Street Looks For

Thompson Street Capital Partners has developed specific criteria for evaluating potential investments. Understanding these criteria is essential for business owners preparing to approach the firm.

  • Technology focus — Software and technology-enabled services companies
  • Recurring revenue — Subscription, contract, or recurring revenue models
  • Growth potential — Clear pathways to continued growth and market expansion
  • Defensible position — Competitive advantages and market positioning
  • Strong management — Experienced operators with deep industry expertise

Pro Tip

Thompson Street has deep expertise in software and technology. They look for companies where they can leverage their operational expertise to accelerate growth. Demonstrate clear SaaS metrics and product-market fit.

How to Connect With Thompson Street

Approaching Thompson Street Capital Partners requires demonstrating software excellence and growth potential:

  • Showcase SaaS Metrics — Present ARR growth, net revenue retention, and gross margins.
  • Demonstrate Product-Market Fit — Show strong customer adoption and retention.
  • Present Clear Growth Roadmap — Develop a clear plan for continued growth and market expansion.
  • Leverage Industry Networks — Many deals come through technology advisors and investment bankers.

How Eagle Rock Helps

We help software and technology companies prepare for PE investment by building detailed financial models, SaaS metric dashboards, and investor-ready presentations. Our fractional CFO services ensure your company is ready for due diligence.

Pro Tip

Prepare detailed financial projections and operational metrics before initial meetings.

Frequently Asked Questions

What industries does Thompson Street focus on?

Thompson Street primarily invests in Software and Technology Services. The firm seeks companies with strong recurring revenue models and clear growth trajectories.

What size companies does Thompson Street acquire?

Thompson Street typically invests $10M-$75M in equity, targeting companies with enterprise values in the $25M-$150M range.

What is Thompson Street's typical investment size?

The firm's equity investments generally range from $10M-$75M, positioning them as active investors in the lower middle market.

How long does Thompson Street's due diligence process take?

Due diligence timelines vary by deal complexity, but Thompson Street typically conducts thorough financial, technical, and market due diligence over several weeks to months.

What should I prepare before engaging with Thompson Street?

Prepare detailed SaaS metrics, market analysis, management team bios, growth plans, and a clear vision for how the partnership would create value.

How does Thompson Street work with portfolio companies?

Thompson Street takes a partnership approach, working closely with management teams on strategic initiatives, acquisitions, and operational improvements.

Ready to Connect With Thompson Street?

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This article is part of our Private equity firms | Eagle Rock CFO guide.