September 2021
Vol 7 | Issue 561

Q&A with Bud Michael of TrueSpace

Managing Partner

Principal Series:

TrueSpace Fund is a private debt fund that provides medium term operating capital in the form of four to five year term loans exclusively for TrueSpace member businesses. TrueSpace members are second-stage emerging growth companies with a minimum of $1M annual revenues. The Fund has an aggregated investment target of $15M, structured as five $3M micro-funds. Investors in the Fund will receive monthly pro-rata distributions of principle and fixed interest of 8% APR.

Join us for a private Family Office Insights Webinar presented by Bud Michael, Managing Partner of TrueSpace Fund. Bud will provide an overview of the TrueSpace Fund and a brief overview of the in-depth research conducted by Charles and Jamee Fred, co-founders of TrueSpace. TrueSpace Fund is a debt fund exclusively investing in TrueSpace member businesses. We use the research findings of Charles and Jamee Fred to assess and predict the capability of businesses to reach the middle markets.

Sept 22, 2021 at  2:15pm-3:15pm EST
RSVP & Confirmation Required

Family Office Insights is a voluntary, “opt-in” collaborative peer-to-peer community of single family offices, qualified investors and institutional investors. Join the community here

Who is TrueSpace?

At its core, TrueSpace is a research firm anchored by a multi-year study of sustainable growth in businesses with $2 to $10 million in revenue. The methods, tools and capital instruments of TrueSpace all tie back to the research which identified the Five Operating Conditions™ necessary for small businesses to reach the middle market. An ethnographic research method was used to immerse the TrueSpace team into the daily working environments of businesses. The study, through a partnership with Gallup, now extends to over 2500 business across the U.S. For the first time, we have the science and the data to better understand the processes, cultures, challenges, motivations, and themes that emerge in businesses that reach the middle markets.

Why TrueSpace Fund?

TrueSpace Fund exists to provide four to five year operating capital for TrueSpace members. TrueSpace members are second-stage businesses: post startup with at least $1M annual revenue and demonstrated capability to grow to $10M+. Our direct experience in leading this stage business, and our work with over 50 members, has proven the difficulty for this stage business to get access to the capital needed to build their business.

Businesses at this stage of development typically cannot meet bank lending requirements for the amount of capital needed, and they don't need the amount of capital traditional venture investors want to deploy. TrueSpace Fund was created to provide $250K - $750K operating capital for member businesses that have demonstrated the capability to reach the middle market.

What's in it for TrueSpace Fund investors?

TrueSpace Fund delivers fixed term return of principle and a fixed interest of 8% annually with a very low risk of investment loss. Investors receive monthly payments of their pro-rate share of loan principle and interest. Loans to TrueSpace members are secured by the assets of the business in either senior position or senior subordinated position. Only TrueSpace member companies are eligible for TrueSpace Fund loans, which allows TrueSpace Fund managers to be directly involved with the use of funds and to regularly track the progress of portfolio companies. This unique relationship significantly reduces the risk of lending and of loan default.

Bud Michael of TrueSpace

Bud Michael, Managing Partner of TrueSpace Fund, has 43 years experience in high technology for industry leading hardware, software and services companies. He has held executive level sales, marketing and general management positions with large, industry-leading product companies including Intel, Tandem Computer, Sequent Computers and KANA Software. Bud has been CEO at five privately funded technology and data services companies where he led the scaling of these businesses, selling three of these companies to strategic buyers. In addition to serving on the Boards of these five companies, Bud has been an independent Board representative for two privately held technology companies.

Bud is currently on staff with TrueSpace, a management consulting firm that works with the CEOs of emerging mid-market businesses to help them scale. With TrueSpace, Bud serves as a CEO Mentor and is Managing Partner for the TrueSpace Fund, a $15M debt Fund that provides operating capital for qualified TrueSpace member companies. Bud is also an advisor to Innosphere Ventures, a 501c3 nonprofit incubator formed to accelerate the development and success of high-impact scientific and technology startup companies in Colorado. Bud is author of “Favorite One-Liners for Business,” a business leadership book published in 2010.
Contact Bud Michael: