In this month's Investor's View episode, Yanni sits down with Andrew Costa, partner at RX3 Growth Partners, a consumer growth equity firm co-founded by Green Bay Packers quarterback Aaron Rodgers.
To kick off, Andrew gives us an overview of RX3's operational strategy, which revolves around their highly consumer-focused approach – a sector we don't usually dig into on the Sports Loft Podcast. However, what's fascinating about RX3's model is their use of influencer investors, including athletes and media personalities, who bring value beyond capital – such as strategic insights and marketing capabilities.
Later in the discussion, Andrew sheds light on RX3's meticulous decision-making process and their focus within the consumer wellness and fitness sector. He elaborates on the skills and traits RX3 looks for in founders and shares insights into their growth areas and expectations for high-growth sectors in the coming years.
With a successfully deployed first fund of $50 million across 19 portfolio companies, RX3 is now looking for opportunities to invest in from its second fund, an impressive $150 million vehicle.
Timestamps:
06:00 – Moving from one-off investments to building a fun?
09:00 – Onboarding athletes as LPs
14:00 – Deciphering fad trends versus long-term shifts
21:00 – Managing sponsor clashes
26:00 – Estimating growth returns on investments
31:00 – Backing big brands versus high growth startups
38:00 – Where RX3 add value beyond dollars
44:00 – Regretting missed opportunities
