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TaxACT/Drake Software
TaxACT/Drake Software is a family office managing capital from tax preparation software platforms TaxACT and Drake Software.
TaxACT/Drake Software
The entity emerged from the success of two tax preparation software brands. TaxACT, founded in 1998, competes with TurboTax and H&R Block in the consumer e-file market. Drake Software, acquired around 2006, serves professional tax preparers with a practice management suite. The firms operate under a family office structure that governs both operating companies and the investment of accumulated profits. The entity invests through a conservative asset allocation that prioritizes capital preservation over aggressive growth. Its portfolio typically includes fixed-income securities, equities, and private investments, though exact allocations are not disclosed. The operating companies continue to generate cash flow from subscription renewals and add-on services like audit support and bank products. Geographic exposure is primarily North American. No team size, additional offices, or philanthropic vehicles are publicly associated with the firm. Recent operational events — such as product launches or acquisitions — are not documented in mainstream financial media. The entity has not registered with the SEC as a reporting adviser. A structural differentiator is the integration of active operating businesses with a private investment pool. The family office reinvests retained earnings from the software companies into diversified financial assets, while maintaining lean overhead. Succession and governance details remain private.
General information
Firm type
other
Year founded
—
AUM
Undisclosed
Location
Region
North America
Country
United States
City
—
Corporate office
United States
Sector focus
Frequently asked questions
Who runs investment decisions at TaxACT/Drake Software?
The firm has not publicly disclosed the identity of its investment committee or principals. Public records do not name a CEO, CIO, or managing director for the entity. Investment decisions are presumed to rest with the owners of the underlying software companies.
How does TaxACT/Drake Software source proprietary deal flow?
The firm does not publicly describe deal sourcing. Given the lack of marketing or fund-raising activities, it likely operates on a referral basis from relationships built through the tax software businesses. No known direct investments have been reported.
Is TaxACT/Drake Software structured as a single family office or does it operate more like a holding company?
The firm functions as a single-family office with consolidated control over two operating businesses and a separate investment pool. Its structure resembles a family office with direct ownership of operating companies rather than a pure investment fund. No multi-family office or external advisory services are offered.
Does TaxACT/Drake Software participate in fund commitments or only direct deals?
The entity's investment activity is not publicly documented. It may use both fund commitments — such as allocations to external asset managers — and direct investments, but no specific examples exist in public records. The lack of SEC registration suggests limited third-party capital management.
What investment stages does TaxACT/Drake Software typically target?
No investment stage preferences are on record. The firm may focus on liquid public markets and hold-to-maturity fixed income given the conservative profile common among family offices with recurring operating income. There is no evidence of venture or growth-stage participation.
Which sectors does TaxACT/Drake Software explicitly avoid?
No explicit sector avoidance has been publicly stated. As a family office tied to tax compliance software, the entity may avoid regulatory conflicts of interest with its operating businesses, such as direct competition in the tax software space. This inference is not confirmed.
Where does the underlying wealth come from?
The wealth originates from the ownership and operation of TaxACT and Drake Software. TaxACT generates revenue from consumer e-filing and related services, while Drake Software provides professional tax preparation tools. Both have produced sustained cash flows since their respective acquisitions by the family.
Profile maintained by Altss using OSINT (open-source intelligence), regulatory filings, licensed data partners, and verified direct submissions. Read the methodology. Last updated: . Continuous refresh with full update cycles at least every 30 days.
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