Josh Tanzer is the founder and Managing Partner of Principia Growth, a technology growth equity investment firm based in Los Angeles and New York City. Principia is a mid-to-late-stage growth investors, and monitor a broad spectrum of emerging technologies and invest in entrepreneurs who are building enduring companies. With a core focus on highly scalable software/enterprise companies across B2B applications and cloud infrastructure. Within B2B Application Software, they focus on areas such as Horizontal Business tools, FinTech and Blockchain. Within Cloud Infrastructure, they focus on areas such as Cybersecurity, MLOps, DevOps and Data Analytics.
Principia has developed a deep network of enterprise partners, executives, and potential customers for their portfolio companies across a variety of industries such as CRM software, Database Infrastructure, BI Tools, Cybersecurity, AI / ML technologies, Media / Gaming and Digital Advertising. In addition to providing equity growth capital, they leverage their global network and knowledge to help emerging companies scale faster.
Prior to forming Principia Growth, Josh had 25+ years experience of Silicon Valley/Tech financings during tenures of being the global leader of the private growth financing teams at Credit Suisse, Lazard, Houlihan Lokey and Jefferies. Josh has raised over $3.5 billion in growth equity capital for over 80 technology companies and is an advisory board member at SilverTree Equity and Fernbrook Investment Funds. Some of Josh’s most notable investments in companies prior to their IPOs included Salesforce, Commvault, Exodus Communications, CommerceOne, Openwave, Vonage, and Datek.
Outside of finance, Josh has been actively supporting art institutions and art education for several decades. Josh was Chairman of the Board of PS Arts, the largest arts education organization in California for public schools serving over 25,000 children each school day in underserved communities. Josh was also invited to serve on the National Committee of the Whitney Museum in New York City and the Director’s Council at the Hirshhorn Museum in Washington D.C. Josh previously served on the Board of the Accountancy School at the University of Denver and was a volunteer in the United States Peach Corps serving in the Dominican Republic. Josh graduated from the University of Denver with a BA in Accounting.
Why I Wanted to Join The Collective
The Collective is a community of like-minded individuals who have expertise across different sectors who share a passion for marketing, personal growth, professional development, and making a positive impact to the internet! By joining the Collective, I believe I will have access to a network of ambitious and driven individuals where I can share my investing ideas and experiences.
I have spent the last 20+ years investing in companies specifically in the growth equity segment. The growth equity industry is poised for promising growth in the future due to increasing demand for capital among companies seeking expansion. Advancements in technology, especially generative AI, and globalization are creating opportunities for rapid growth and disruption in digital media, driving the need for funding from growth equity investors. Additionally, technology innovations in the marketing segment such as artificial intelligence are reshaping the industry, allowing marketers and companies to create content and target users in many new ways.
Overall, the growth equity industry should be looking at the new paradigm of opportunities being created across all forms of content and I would like to support my colleagues and the ecosystem to support this next wave of economic growth.
The future of the industry from your perspective and experience in the industry, finance, and building companies
The future of the online marketing industry is expected to evolve and grow with changing technology and consumer behavior. Key trends to watch include personalized marketing through data analytics and AI, the importance of high-quality video content, optimization for voice search, the use of AR and VR for immersive experiences, and the continued rise of influencer marketing. Overall, companies that adapt to these trends and invest in technology and innovation will be well-positioned for success in the digital landscape.
Knowing What You Know Now, What Are 3-5 Things You Would Tell Your Younger Self
- Start investing in growth equity early: Recognize the power of long-term investing and the potential for high returns in growth equity. Don’t wait until later in life to begin investing in growth stocks, as the earlier you start, the more time your investments have to grow and compound.
- Diversify your portfolio: While investing in growth equity can be very lucrative, it also comes with risks. Diversify your investment portfolio across different sectors, industries, and types of assets to reduce risk and protect your capital. Don’t put all your eggs in one basket.
- Market size determines the ultimate scale of the winners in each sector, but people are the key ingredient to realize that success. It is as important to get the people right as it is the technology and market right.
- Stay informed and do your research: Educate yourself about the companies you are investing in, their business models, financial health, growth potential, and industry trends. Stay informed about market conditions, economic factors, and geopolitical events that could impact your investments. Make informed decisions based on thorough research and analysis. Don’t just follow the pack.
- Be patient and disciplined: Growth investing requires a long-term perspective and patience. Don’t get swayed by short-term market fluctuations or hype. Stick to your investment strategy, stay disciplined in your approach, and resist the temptation to make impulsive decisions based on emotions or speculation.
