What We Look For: Evaluating Infrastructure Software

Our Focus Area

GASJ invests in infrastructure and developer tools. Specifically: companies that build the foundational layers other software runs on. Databases, orchestration, security, observability, CI/CD, cloud infrastructure.

This focus isn't arbitrary. Infrastructure has characteristics we find attractive:

High switching costs: Once a database or CI system is embedded in workflows, switching is painful and risky. This creates durability.

Technical moats: Infrastructure requires deep expertise. It's harder to replicate than a SaaS app with a nice UI.

Leverage: A single infrastructure company can serve thousands of applications. The ratio of customers to code is favorable.

What We Look For

1. Genuine Technical Differentiation

We want to understand: why is this hard? What took years of R&D that a well-funded competitor couldn't replicate in 18 months?

Red flags: "We're like X but better UI." "We integrated Y and Z." Green flags: Novel algorithms, patents that matter, unique data assets, architectures that required fundamental research.

2. Developer Adoption Signal

For developer tools, bottoms-up adoption is essential. We look for:

GitHub stars and contributor activity (with nuance—stars can be gamed)

Hacker News/Reddit sentiment over time

Usage in visible open source projects

Organic community formation (Slack, Discord activity)

If developers don't voluntarily advocate for the product, enterprise sales will be a grind.

3. Path to Enterprise

Community adoption is necessary but not sufficient. We also evaluate:

Does the product solve a problem enterprises will pay for?

Can it pass security and compliance reviews?

Is there a sales motion that doesn't require converting every developer?

Some developer tools are great but have no enterprise path. Those aren't for us.

4. Team Durability

We plan to own companies for 10+ years. Teams need to be stable enough for that horizon. We look for:

Founders with realistic expectations and ownership mentality

Second-layer leadership that could run the company

Culture that retains talent through cycles

Alignment on long-term value creation vs. quick exits

5. Unit Economics That Work

At our stage (typically Series B and beyond, or profitable bootstrapped), we expect:

Net revenue retention >120% (ideally >140% for infrastructure)

Gross margins >70%

Sales efficiency >0.8 (or capital efficient growth)

Path to profitability without heroic assumptions

What We Pass On

Crowded categories without differentiation: Another API gateway. Another logging tool. These can be good businesses but rarely durable.

Pure services businesses: Professional services have their place but don't compound the way products do.

Consumer-adjacent tools: We stay in B2B. Consumer dynamics are different and outside our expertise.

Crypto/Web3 infrastructure: Not a values judgment—outside our circle of competence.

Reaching Out

If you're building infrastructure software and our approach resonates, we'd like to hear from you. We're particularly interested in:

Profitable or near-profitable companies seeking permanent capital

Founders tired of the venture treadmill

Teams who want a long-term partner, not a short-term owner

Reach out at partners@gasjholdings.com. We read everything.