Serving as managing director of Iron Edge VC, Frank Cardia has a longstanding financial leadership background. Among the pre-IPO companies that Frank Cardia and the Iron Edge team offer investment access to is Topgolf, which will be well positioned for a surge in recreational demand on golf courses once the COVID-19 pandemic has subsided.
Topgolf courses offer a unique, technology enabled take on minigolf that centers on scoring points through hitting golf balls with embedded micro-chips at large, dartboard-like targets spread across an outfield. Points are earned through a combination of distance and placing the ball as close as possible to the bullseye. In addition, guests have access to a full range of food and drink at courses.
With a strong commitment to safety, Topgolf has grown from $165 million in revenue from 10 courses in 2014 to $1.2 billion generated by 57 courses in 2019. Locations range across the country, from New Jersey to Texas. With the gradual reopening of the golf-themed outfit described as “a process of fits and starts,” this should not impact the long term growth potential of a business model that has proven extremely popular.
Topgolf shareholders have a potential for significant gains, particularly as investments are not yet available to the public through conventional equity purchases. What the current market suggests is a buying opportunity that will no longer exist once the recovery process is in “full swing.”