Silicon Valley Tools & Technology arrives in the Lower Middle Market

Joining me for this episode is Vinay Bachireddy, Managing Partner at Weave Growth Partners. Weave is pioneering a technology-led approach to operational transformation of lower middle-market businesses.

Weave is a private investment firm based in Silicon Valley. As experienced investors, entrepreneurs and operators, they partner with management teams to create long-term value and bring technology expertise to their portfolio companies. They bring a technology-enabled playbook of analytics and automation commonly used in high-growth Silicon Valley startups to potential portfolio companies.

Join us for a discussion on how Weave approaches companies, their sensitivity to maintaining company culture, and the steps they take to acquire investment portfolio companies and implement new tech. From discussing tech as early as the pre-offer stage to working through digitization, analytics, and finally automation, Weave’s style and approach may be heralding the “new generation” that will help change the perception of private equity investors.

This podcast is brought to you by Axial, (www.axial.net), a trusted online platform for business owners & their M&A advisors to use to safely and intelligently explore and execute capital raises, acquisitions, and exits with strategic buyers or professional financial sponsors. I am your host, Peter Lehrman, Founder and CEO of Axial. In every episode, we will explore the vast world of small business M&A. We will interview both the proven and emerging owners, operators, investors, and advisors whose strategies and methods have been put to the test.

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Discussion points:

What Weave Growth Partners is all about
How many businesses are you working with right now?
Weave’s approach to technology is different for each prospect
What departments do you look at changing first?
How does Weave institute Silicon Valley-level tech?
Tech is discussed from day one (pre-offer) and scaled within 6-12 months
The progression of each company’s digital journey is in three steps:

Digitization
Analytics
Automation

What tasks are being technified in your RCM business? Using tech to analyze and prevent workers comp claims, and customer exits Are companies with higher-tech levels a poor target for Weave? Where do you start the conversations around tech? Weave is very sensitive to not taking over critical functions, not adding headcount, not forcing culture change overnight Is this the way the ‘new generation’ of private equity is changing? More sensitivity? Covid has totally changed business owner’s reaction to new tech- they embrace it The partners at Weave are most excited about AI and Blockchain tech for the future

Resources:

Vinay Bachireddy LinkedIn

Weave Growth Partners

Peter Lehrman LinkedIn

Axial Website