Arrowroot Capital Management Overview
Arrowroot Capital Management provides bespoke growth capital solutions exclusively to emerging software companies.
The firm targets initial equity investments in the range of $5 million to $25 million, and has a broad variety of transaction types including:
- Primary growth equity investments
- Growth-oriented management buyouts
- Corporate carve-outs
- Liquidity for founders, management, and/or previous investors
- Add-on acquisitions
Arrowroot Capital Management was founded by Kareem El Sawy and Mathew Safaii in 2014 and sits in Marina Del Rey, California with additional offices in Miami, Florida.
Arrowroot Capital Management AUM
According to most recent regulatory filings, Arrowroot Capital Management has $662.7 million in assets under management as of May 3, 2022.
Arrowroot Capital Management Interview Process & Questions
Firms often make changes in their interview process with each candidate. But you can expect a few mechanics to stay the same such as:
- Interview process typically consists of 4 to 6 rounds
- Initial rounds are under the supervision of junior investment professionals or the HR team, while the later rounds are conducted by more senior staff
- It could take several weeks before the firm select the right candidate (unless it’s “on-cycle” or “on-campus” recruiting)
The interviews at Arrowroot Capital Management will be a combination of fit questions, behavioral questions, and technical / investing questions.
For more interview preparation help, check out my Growth Equity Interview Guide.
Why Arrowroot Capital Management
Interviewers almost always ask “why this firm” to candidates. This question reveals the candidates’ motivation for applying at the firm as well as their familiarity with the firm’s investment focus, strategy, and track record.
If you’ve met employees at the firm, this is a great time to mention them, how they’ve made a really positive impression on you, and what insights you got from them about the firm.
To help you come up with a more relevant and impressive answer, try learning more about the firm. One way you can do that is to listen to interviews with its founders, investors, and employees.
For example, here’s a great interview with Arrowroot Capital Head of Talent Abby Wilson:
- Interview with Matthew Safaii, the Founder and Managing Partner of Arrowroot Capital Management
- Arrowroot Capital’s Kareem El Sawy On Navigating Structured Equity
Arrowroot Capital Management Case Study
Interviewees almost always have to perform a case study during interviews. Firms use case studies to evaluate each candidate’s technical knowledge and communication skills which are vital skills in the finance world.
Most case studies at firms like Arrowroot Capital Management involve investment recommendation and financial modeling. However, for junior roles, cold calling case studies are often required as well.
Check out my Growth Equity Interview Guide if you need more help regarding case studies.
Arrowroot Capital Management Salary & Compensation
Arrowroot Capital Management offers competitive salaries to their professionals. According to Glassdoor, Associates and Analysts at their firm receive an estimated total pay of $95,450 and $118,525 per year, respectively. These numbers represent the median salary and can still change based on the individual’s level of experience and qualifications.
Arrowroot Capital Management Careers, Jobs, & Internships
View open roles at Arrowroot Capital Management inside our job board where we also feature all open roles for similar firms.
Arrowroot Capital Management Portfolio & Investments
Since 2014, Arrowroot Capital Management has already made 33 investments and operates four funds as per Crunchbase. Some of their notable deals include Zift Solutions, Clickatell, and FiscalNote – which are all in the tech and software space.
Notable Transaction: Ayla Networks
Ayla Networks allows consumer brand manufacturers and Internet service providers to achieve better business outcomes through IoT solutions.
Ayla’s software platform includes cloud, device, application, analytics & machine learning capabilities to support the development and launch of differentiated connected products and services.
In December 2021, Ayla Network raised $20 million growth equity financing which was led by Arrowroot Capital with participation from existing investors such as Voyager Capital, Trinity Power Limited, and SJF Ventures.
Ayla has allocated the fund for improvement of their strategic positioning in key IoT markets through geographic expansion, incremental sales and marketing, and product innovation.
This investment represents Arrowroot Capital’s 10th transaction in the Internet Software and Services sector, and their 20th transaction in the US.
Arrowroot Capital Management can provide exciting career opportunities in finance. If you’re looking to land a role at their firm (or any firm like it), I highly encourage you to check out my Growth Equity Interview Guide.
Inside this self-paced online course, you’ll find step-by-step lessons which will discuss topics like case study, valuation, market thesis, and many more. You’ll also get access to mental models, frameworks, and expert tips which are quite handy during interviews.
Check out the course and join countless professionals who’ve successfully made the jump into finance. Start learning today!