Five Elms raises over $300 mln for fourth fund

Five Elms Capital has closed its fourth fund at over $300 million. The limited partners of Five Elms IV include university endowments, foundations, pensions, family offices and financial institutions. GCA Advisors was placement agent for the fund while Proskauer provided legal counsel. Five Elms invests in software businesses.


KANSAS CITY, Mo., April 25, 2019 /PRNewswire/ — Five Elms Capital, a leading investor in founder-owned software businesses, today announced a first and final close of Five Elms IV with more than $300 million in limited partner commitments.

The investor base includes an expanded group of global limited partners, including leading university endowments, foundations, pensions, family offices, and financial institutions. Five Elms closed its previous fund in 2016 with $154 million of committed capital.

With its new fund, Five Elms will continue the firm’s 12+ year strategy of investing in vertically focused software companies with industry-leading value propositions. Five Elms has 25 team members operating from a single office in Kansas City. Rather than dropping an operations team into portfolio companies, Five Elms helps founders hire great new senior leaders, scale an already fantastic culture, and accelerate organic growth.

“Five Elms has a firm culture that attracts exceptional entrepreneurs, limited partners, and investment team members,” said Fred Coulson, Founder and Managing Partner. “We are excited to continue investing in great software companies who delight customers and provide tremendous career opportunity for team members. In a time where so many software investors are pursuing M&A strategies to harvest synergies, we are a beacon for entrepreneurs determined to succeed through team expansion and independent organic growth.”

To date, Five Elms has completed 39 investments and has had 14 liquidity events across previous funds. In the last 18 months, the firm has completed 8 new investments, 7 follow-on investments, and 5 exits.

GCA Advisors served as Placement Agent for the fund and Proskauer provided legal counsel.

About Five Elms
Five Elms Capital is a leading growth investor in founder-owned software businesses that users love. Five Elms provides capital and resources to help companies accelerate growth and further cement their role as industry leaders. For more information, visit