IVCA Feature: New Member Profile of Red Arts Capital

September 28, 2022

The new member participants in the Illinois Venture Capital Association (IVCA) keeps expanding, giving the current membership new opportunities for networking, in addition to offering support and partnerships. This advantage keeps evolving the association and its advocation of Venture Capital, Private Equity and satellite industries. The latest new member is Red Arts Capital, a leading investment firm focused on North American-based supply chain and industrial businesses.

The following is a Q&A profile with Red Arts Capital which explores the firm’s background and their expectations for interacting with the IVCA.

New Member: Red Arts Capital (RAC)
Representative: Chad Strader, Co-Founder & Managing Partner

IVCA: What is a brief history and background on Red Arts Capital?

Red Arts Capital: Red Arts Capital is a leading private equity investment firm founded in Chicago in 2015 that is focused on investing in supply chain and industrial businesses.

IVCA: Why did the firm decide to join the Illinois Venture Capital Association?

Red Arts Capital: RAC has a deep belief in collaboration and teamwork, and is eager to be an active member of the Chicago community.

IVCA: As a society, we’ve all gotten a lesson on the supply chain. Since it was a perfect storm of factors that disrupted the chain, what factor or factors are most necessary in getting the mechanism moving again properly and how are investors helping that process?

Red Arts Capital: What we have all seen in recent years is that supply chains are increasingly global, complex, and fragile. There are a number of factors necessary to getting things moving more smoothly again, including reducing port disruptions, and improving labor shortages. We believe by investing in businesses and letting them grow we can help alleviate these topics.

IVCA: What types of technologies have been game changers for supply chain industries and how conducive are those industries to pick up that modernity given that the supply chain is as old as historic trade? 

Red Arts Capital: Automation is an increasingly important technology in supply chain. We believe that over time businesses will see the value that automation can bring to their operations and be more willing to adopt it.

IVCA: You have six sectors of focus – 3rd Party Logistics, Specialty Transport, Rail, Automotive, Aviation and Business Services – even as all are vital in the chain which of the areas is showing most innovation or activity, and why do you think that’s occurring?

Red Arts Capital: We are seeing a lot of innovation in 3rd part logistics given the need for improved visibility into delivery times and delays around the world.

IVCA: What is the balance of the industries within your sectors who approach you to invest versus your firm going out and finding them, and which end of the spectrum are usually more in need of your funding and other experiences?

Red Arts Capital: We believe a healthy approach to investing is investing in our brand presence, which means that the more we reach out and find opportunities the more likely others will be inclined to reach out to us as well.
IVCA: What does Red Arts Capital hope to achieve in their interaction with the VC/PE community within the IVCA?

Red Arts Capital: As said earlier, we believe that teamwork and collaboration are important in the investment community and look forward to being helpful with our peers in the IVCA  community. We look forward to the next IVCA event.

For the website of Red Arts Capital, click here.