More capacity
We hand superintelligence the repeatable client work, such as campaign builds and weekly reports. The team serves more accounts without a new hire for each one.
Superintelligence
Superintelligence lets a business grow faster than it can hire.
Most of the businesses we invest in sell their people's time. To take on more clients they have to hire, and hiring sets the pace of growth. We build superintelligence into the work itself, so growth no longer waits on the next hire. Fund I pays for both the acquisition and that build.
More profit to reinvest
Work that costs less to deliver leaves more profit. We put that profit into sales and product, and it pays for the next stretch of growth.
Shared learning
A method that works in one business goes to the rest. Each company we invest in starts with what the others have learned.
Time
A business that grows 20% a year is 2.5 times its size after five years and 6.2 times after ten. Most of that growth comes in the second half, so we hold our investments and stay for it.
Investment thesis
We invest in agencies, apps and stores, because each one helps the other two grow.
An agency already has the trust of the merchants it serves. An app turns that trust into recurring revenue, and a store we own is where we test what we build before we roll it out to merchants. We also look at other firms that provide services to online stores, such as customer support teams and Shopify development shops.
01
Agencies
Target revenue
$3–15M
annual fee revenue
Why we invest
Acquirers price an agency as if revenue can only grow when headcount does, so even good ones are acquired at modest multiples of profit. Agencies that can show AI inside their delivery already command higher prices. We invest before that work is done and do it ourselves.
What we look for
- Most revenue on retainer, from clients who stay for years
- No single client above 15% of revenue
Work we hand to superintelligence
- Campaign builds and budget changes
- Creative testing and client reports
02
Apps
Target revenue
$1–5M
annual recurring revenue
Why we invest
An app that has stopped growing is acquired near the bottom of its price range, however loyal its merchants are. Plenty of good ones are run by one or two founders who ran out of hours. We invest in those and restart growth: superintelligence speeds up the product work, and our agencies introduce the app to the merchants they serve.
What we look for
- Merchants who keep paying year after year
- No single customer above 10% of revenue
Work we hand to superintelligence
- Support tickets and onboarding
- Feature development and testing
03
Online stores
Target revenue
$5–30M
annual revenue
Why we invest
Acquisition prices for online stores are far below the 2021 peak, when aggregators were bidding against each other. Many run on thin margins, and that is where we help: a store that keeps 8 cents of every dollar earns 50% more if we save it 4. Our agencies and apps do that work, and the store is where we test new ideas first.
What we look for
- Customers who reorder without a discount
- Gross margin above 50%
Work we hand to superintelligence
- Customer support and demand forecasts
- Ad creative and email
A note from us
To the owner thinking about an acquisition
You built a business that merchants rely on, and you know what that took.
We want to invest in businesses like yours and keep them going. Fund I is long-term capital, so we hold what we invest in.
We will change how the work gets done. Superintelligence takes on the repeatable parts, and your team spends its time on clients. We think that makes the business bigger and a better place to work.
The Posty Ventures team