Thesis

Reimagining Private Investment for Ethical Value Growth

Ouroboros’ thesis focuses on creating a model that reduces fundraising pressure, allows founders to concentrate on their businesses, and optimizes growth at every stage of a company’s lifecycle.

This approach delivers superior risk-adjusted returns while fostering sustainable, meaningful development.

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The Problem with Traditional Models

The current private equity landscape is constrained by rigid frameworks:

  • Venture Capital: Venture-backed companies often face existential pressure to scale quickly or fail. Founders are distracted by the need for serial fundraising rather than focusing on strategy, product, and growth. Despite the occasional big win, most portfolios are filled with unscaled or underperforming investments.

  • Buyouts: While buyouts bring operational expertise, their reliance on leverage and cost-cutting stifles innovation and risks overburdening companies with debt. Founders frequently lose board control, and long-term growth is often sacrificed for near-term profitability.

Bootstrapped companies, while often outperforming venture-backed peers, face challenges in scaling because traditional investors are not incentivized to provide the systematic guidance needed for sustainable growth. Today, the market is saturated with venture firms, buyout shops, and a limited number of growth-focused investors serving the lower market.

Our Solution

Dequity Funding

Designed specifically to solve the shortcomings of venture and buyout strategies:

  • Adaptive Capital: We provide companies with a mix of debt and equity that evolves with their growth, offering flexibility and stability at every stage of development.

  • Focus on Growth: Our approach ensures that founders can concentrate on scaling their businesses without the distraction of excessive fundraising or rigid investor demands.

  • Lower Market Potential: Companies with less than $25 million in revenue present a significant opportunity, with estimated returns of 40% to 45% IRR when supported by strategic capital and guidance.

  • Strategic Support: We partner with businesses that have validated their product or service through early experimentation, providing the capital needed to scale without burdening them with debt or unnecessary dilution.

Why Our Thesis Works

The key to our success lies in balancing the needs of both limited partners and target entities. By offering a full-service capital solution that adapts to the unique challenges of each business, we create opportunities for growth while mitigating risks.

With Serpentel, our proprietary AI tool, we enhance this approach by identifying high-potential opportunities, analyzing risks, and providing data-driven insights that allow us to make smarter, more precise investment decisions.