Arlan Hamilton, founder of Backstage Capital, announced Friday that her role at the firm she founded in 2015 will evolve.
“After 12 years of being deeply involved in daily operations, I have decided to transition to a president and advisory role.” he wrote in a statement posted online. Previously she was managing partner of the firm. “This move will allow me to focus on what I do best: amplifying Backstage’s mission, hosting office hours with founders and investors, chairing the advisory board, and bringing new opportunities to the table through my platform.”
He also wrote that the company will enter into a strategic partnership with 360 Venture Collective, which will “acquire a significant stake in the Backstage management entity” and join the co-management of operators, providing capital and helping the company scale.
“Together, we will launch a $200 million fund in 2025,” Hamilton said.
We’ve reached out to Hamilton and Backstage Capital for comment.
Backstage Capital has weathered some stormy winds in recent years. The firm has invested in more than 200 companies, according to Pitchbook, including fintech Guava and information platform Career Karma. It has around $20 million in assets under management, with 56 exits. But in 2022 we reported that even then there seemed to be a slowdown in the company. It announced at the time that it would back only its existing portfolio companies and would substantially reduce its team from 12 to three people.
Hamilton also noted on her podcast at the time that she was frustrated with limited partners, saying the firm was in a “purgatory position” because some investors believed it already had enough support, although that was not the case. The landscape for companies like Backstage and for founders like those it backs has become more complicated since 2022. Funding and support for diverse founders and operators has stagnated somewhat, especially for Black founders.
Hamilton wrote in his online statement that the company’s partnership with 360 Ventures would ensure the company remains sustainable “while multiplying our ability to support underappreciated founders and create a lasting legacy,” he said.
“I am confident that this next chapter will take us to incredible heights and I am honored to continue to be a part of the journey in this new capacity.”