The Anti-Exit Strategy: Premji Invest’s Approach to Evergreen Capital (& the Future of CFO Tech)
Run the Numbers
Intro
This chapter delves into the changing dynamics of software distribution shaped by multimodal technology and its reach to consumers. It further explores the concept of evergreen capital, its implications on investment strategies, and how CFOs can navigate diverse exit strategies in a fluctuating market.
Premji Invest is an investment firm that backs some of the biggest names in the CFO and enterprise tech stack, including Anaplan, Zuora, Coupa, and Looker. In this episode, CJ is joined by Sandesh Patnam, the firm’s Managing Partner, to discuss their approach to investing and the future of CFO tech. Sandesh talks about the evergreen nature of Premji’s investment model and explains how this permanent pool of capital enables the company to focus on deep partnerships and durable growth, rather than chasing fund cycles or portfolio diversification. He breaks down why he views total addressable market (TAM) as a floor rather than a ceiling, how investing across both public and private markets creates a strategic advantage, and how startups should approach capital construction and optionality in today’s market. The conversation also touches on the evolution of the CFO toolkit, how AI is shifting the finance role, what persistent finance problems are still waiting for innovation, how org design is changing inside finance teams, and why he believes AI is a bigger shift than both the dot-com and mobile eras.
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LINKS:
Sandesh Patnam on LinkedIn: https://www.linkedin.com/in/sandeshpatnam
Premji Invest:
https://in.premjiinvest.com
CJ on X (@cjgustafson222): https://x.com/cjgustafson222
Mostly metrics:
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TIMESTAMPS:
(00:00) Preview and Intro
(02:08) Sponsor – RightRev | Navan | Rillet
(06:59) Evergreen Capital and Premji’s Approach to Investing
(09:25) Portfolio Construction
(12:58) TAM Versus SAM Versus Product
(15:28) Sponsor – Pulley | Brex | Aleph
(19:51) Seats Versus Outcome-Based Pricing
(23:30) Defining Durability
(26:31) Public Versus Private Investing
(28:44) Why One Team Manages Both Public and Private Investing
(30:47) Capital Construction for CFOs With Evergreen Investors
(32:13) How and When Evergreen Funds Seek Liquidity
(35:32) Building Optionality in Capital Strategy Amid Market Changes
(38:01) Secondary Markets in the Private World
(41:39) The Evolution of the CFO Tech Stack
(43:41) AI and Systems of Action
(45:43) How CFOs Are Starting To Interact With AI Tech
(49:09) A Finance Problem That’s Open for Innovation
(50:25) The Evolution of the CFO’s Role Beyond Finance
(51:33) The AI Era vs. Prior Tech Eras
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SPONSORS:
RightRev automates the revenue recognition process from end to end, gives you real-time insights, and ensures ASC 606 / IFRS 15 compliance—all while closing books faster. For RevRec that auditors actually trust, visit
https://www.rightrev.com
and schedule a demo.
Navan is the all-in-one travel and expense solution that can give you access to exclusive, proprietary Nasdaq-validated data that reveals what's happening with corporate travel investments. See the Navan Business Travel Index at https://navan.com/bti.
Rillet is the AI-native ERP modern finance teams are switching to because it’s faster, simpler, and 100% built for how teams operate today. See how fast your team can move. Book a demo at https://www.rillet.com/metrics.
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Aleph automates 90% of manual, error-prone busywork, so you can focus on the strategic work you were hired to do. Minimize busywork and maximize impact with the power of a web app, the flexibility of spreadsheets, and the magic of AI. Get a personalised demo at https://www.getaleph.com/run
#EvergreenCapital #PremjiInvest #CFOTechStack #InvestmentStrategy #PortfolioDurability
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