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Altitude Newsletter
Retail’s 2024 Apocalypse, 700% Growth for Cirrus, ServiceTitan's IPO, and Leadership Secrets to Win 2025
Read on the website / Read time: 6 minutes
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New year, new newsletter. As the namesake demands, we’re elevating your bi-monthly Altitude reading from Cirrus Capital Partners. In taking your feedback, going forward, these will be more founder-focused (I’m aiming for a 70:30 split on insights:news).
Here’s a bird's eye view of what's on the docket:
> Team Synergy Beats Individual Talent
> Cirrus’ Year-End Results
> What's Happening
> New Resources
> Fresh Fundings & Term Sheets
The mission of this newsletter: Every other week, we “gain Altitude” with the founders, operators, dealmakers, allocators, marketers, and technologists shaping tomorrow.
Team Synergy Beats Individual Talent
Are you over-weighting individual talent?
For years, I believed the gospel of hiring: “Find the best people, and everything else will follow.” But experience taught me the hard truth—great people can’t fix broken systems. Average teams with brilliant collaboration will outperform a room full of superstars every time.
A few years ago, I hired someone who was, on paper, perfect. They had every credential and skill I could dream of, yet our projects stalled, and team dynamics crumbled. Why? Because talent wasn’t the problem. Integration was.
Mark Zuckerberg has a litmus test for avoiding bad hires: “Only hire someone if you’d be happy working FOR them in an alternate universe.” It’s a gut-check question that cuts through fluff and focuses on what matters: respect and collaboration. My friend Chris Tottman summed it up well:
At its core, team success isn’t about managing people—it’s about managing the spaces between them. Think of your team like gears in a machine. Even the best gear won’t run smoothly if it doesn’t fit with the rest.
Studies back this up. MIT found that teams with average individual talent but strong collaboration consistently outperform all-star counterparts. Friction kills momentum.
Take a look at your organization. Are you spending more time hunting for unicorn hires than investing in the team you already have?
Most companies obsess over recruitment, but retention and cohesion are what drive results.
One of the best lessons I’ve learned: your best employee isn’t the flashiest; it’s the one who makes everyone else better.
Replacing a toxic “10x engineer” with a collaborative, unassuming developer once doubled our output in six months.
So, 2025 isn’t about better résumés but building better teams.
Stop searching for the next genius hire and start asking, “How do I make the people I already have unstoppable?”
The companies that win this year won’t have the best individuals, but the most aligned teams.
You don’t manage people - you manage the spaces b/w them. Strong teams w/ average talent > all-star teams w/ weak collaboration. 🐦 CLICK TO TWEET
Cirrus' Year-End Results
700% Growth: Cirrus Capital's Record-Breaking Year 💰
Cirrus Capital Partners achieved an impressive 700% year-over-year growth in successful placements for 2024, showcasing unparalleled momentum in our capital markets and distribution function. This milestone highlights our commitment to delivering tailored credit solutions and fostering growth for our clients.
📌 Tip of the week: When pitching investors, focus less on selling your vision and more on how your business survives if things go wrong. Investors love upside, but they trust downside planning. A clear contingency plan signals maturity and de-risks the decision for them.
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What's Happening
December Retail Challenges Cap a Tough Year for U.S. Stores
The U.S. retail sector ended 2024 with a wave of closures—The Container Store, Party City, and Big Lots among them—adding to over 2,000 shuttered locations this year. Inflation, supply chain struggles, and shifting consumer behavior pushed companies to the brink.
But it’s not just macroeconomics—it’s misalignment. Retailers who thrived focused on adaptability: hyper-localized inventory, aggressive e-commerce pivots, and relentless cost efficiencies. Chains stuck in pre-pandemic models got steamrolled.
MORE ON THE RETAIL APOCALYPSE »
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Leadership Lessons: The Resilience Trap
Everyone loves to talk about resilience. “Hold the line, push through, stay strong.” Sounds noble, right? But resilience alone doesn’t win. Resilient companies survive; adaptable ones thrive.
A 2023 Harvard study showed businesses with adaptive cultures grew revenue 60 percent faster than their peers. Why? Because they didn’t just endure tough conditions—they moved.
The problem is most leaders mistake standing still for strength. I’ve seen founders cling to old strategies, thinking perseverance will turn the tide. It doesn’t. The market rewards action, not stubbornness.
This year, don’t just ask, “How do we weather the storm?” Ask, “What do we need to change to turn this storm into an opportunity?” Resilience without adaptability is just fancy stagnation. Smart leaders know when to hold firm and when to evolve. Your competitors are banking on you not figuring that out.
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ServiceTitan's IPO: A Beacon for Cloud Companies?
After a three-year drought in cloud IPOs, ServiceTitan's recent S-1 filing could signal a turning point for the tech industry. With $685 million in trailing twelve-month revenue, ServiceTitan exemplifies the scale investors seek in today's market. Its performance may set a precedent, encouraging other late-stage unicorns to consider public offerings. However, the success of this IPO will depend on market reception and the company's ability to meet public market expectations. A positive outcome could open the floodgates for more cloud companies to go public, revitalizing the IPO landscape.
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Mediocre Leaders Are Costing You More Than You Think
A Gallup study found that 82 percent of managers are considered ineffective.
The problem is simple. Most people are promoted for being good at their jobs, not because they can actually lead.
Confidence gets rewarded, not competence.
The result? Teams that drag, projects that stall, and companies stuck spinning their wheels.
Leadership is a skill—not a title. If you’re not actively developing your managers, you’re just adding layers of inefficiency to your business. Invest in building leaders who know how to inspire, delegate, and execute.
MOTIVATE EMPLOYEES WITH POSITIVE PSYCHOLOGY »
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New Resources
These are resources that may be worth checking out. (Not an endorsement, just a “hey, you might like this”).
Podcast: "Uncanny Valley" by WIRED
Launched in November, this show explores the power and influence of Silicon Valley.
Hosted by journalists Michael Calore, Zoë Schiffer, and Lauren Goode, it covers significant tech trends and their societal impacts, providing valuable perspectives for entrepreneurs and tech enthusiasts. 🎙Listen here
Netflix: "Biggest Heist Ever"
This isn’t your typical heist story. Released in December 2024, Biggest Heist Ever dives into the unbelievable tale of Ilya "Dutch" Lichtenstein and Heather "Razzlekhan" Morgan, the husband-and-wife duo behind the 2016 Bitfinex hack. Together, they laundered over $11 billion in Bitcoin, and somehow, between hacking wallets and writing rap lyrics, thought they could get away with it. 🎬 Watch here
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Fresh Fundings 🥧
Recent Equity Rounds
💰 Databricks Raises $10 Billion in Series J Funding
Databricks, a leader in data and AI solutions, secured $10 billion in a Series J funding round, elevating its valuation to $62 billion. The investment, led by Thrive Capital, aims to accelerate the company's innovation in unified data analytics and AI applications.
💰 Archer Aviation Secures $430 Million for Hybrid Aircraft Development
Archer Aviation obtained $430 million through an equity offering, with key investors including United Airlines, Stellantis, and Wellington Management. The funds are designated for developing a hybrid aircraft in collaboration with defense tech company Anduril Industries, targeting potential Pentagon-approved programs.
💰 Perplexity AI Triples Valuation to $9 Billion with $500 Million Funding
AI-driven search engine Perplexity raised $500 million in a recent funding round, tripling its valuation to $9 billion. Led by Institutional Venture Partners, the round included participation from Nvidia, New Enterprise Associates, and T. Rowe Price. The capital will support talent acquisition and the development of a new search advertising system.
Notable Credit Transactions (December)
💳 $25M Facility - S&W Seed Company secured a $25M revolving credit agreement with Mountain Ridge, replacing its CIBC Bank USA facility.
💳 $2.5M Factoring Deal - Hedaya Capital provided $2.5M to a high-end golf apparel brand in New Jersey to support growth.
💳 TPG Twin Brook Activity - Multiple leveraged buyouts and acquisitions announced across various industries.
👨💻 $1.25M Term Loan – Engineering software solutions provider in Texas
👕 $5M ABL Revolver – Apparel and promotions company in Iowa
🏥 $800K Term Loan –Commercial property for a midwest-based pharmacy network
🚪 $2M ABL Revolver – Innovative building materials supplier in Delaware
Recent M&A
♟️ ConocoPhillips Acquires Marathon Oil for $22.5 Billion
ConocoPhillips’ acquisition of Marathon Oil strengthens its position in the Permian Basin, solidifying its dominance in U.S. oil production.
♟️ Quikrete Acquires Summit Materials for $11.5 Billion
Quikrete’s purchase of Summit Materials expands its footprint in the building materials market, capitalizing on construction sector growth.
♟️ BlackRock Acquires HPS Investment Partners for $12 Billion
BlackRock’s acquisition adds $148 billion in private assets, enhancing its reach in the booming private credit market.
New Businesses for Sale
🛒 Trading SaaS Platform – $18.7K Monthly Profit
4-year-old SaaS business, advanced trading tools and predictive analytics for crypto markets, 150 active subscribers, 3% churn, generating $18,700 in monthly profit at a 55% margin. Growth potential includes AI integration, expanding into equities and forex, and scaling educational resources. Asking price $540,000 (2.4x profit multiple). See on Flippa.
🛒 Logistimatics Consumer Tracking Software – $5M Asking Price
Profitable smart tracking subscription software company based in Greensboro, NC. $3.9M in total revenue and $2.4M ARR. 26% margins, features streamlined operations with outsourced support and product delivery. Expansion opportunities include SEO, SEM, and retail distribution, with Amazon sales already netting $100K profit YTD without marketing. See on BizBuySell.
And we'll cheers once again to a great 2024 for Cirrus' clients and partners!
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We’re working hard to make Altitude the #1 newsletter for founders, operators, dealmakers, capital allocators, marketers, and technologists shaping tomorrow. We can only do that if we spread the word.
My only ask if you found this valuable: ⏩ forward it to someone at your company who might also find it useful. |
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