If you’re a business owner or a manager at a business that generates $2 million or more in earnings or seller discretionary cash flow, you will likely have many firms competing to invest in or purchase your business. We often compete against firms who have larger pools of dedicated capital. This can hurt our chances of beating them out. But sometimes we do.
We’ve spent a lot of time trying to understand why we win. Below are some of the reasons:
We’re not trying to win every negotiation – we try to find fair compromises. Barring any major changes to the business, we will close on the terms agreed to in the LOI.
We understand that you’ve spent years, and maybe your entire career, building your business. We understand it’s your life’s work and likely a source of great pride. We get it. And we behave accordingly.
We're only looking to invest in a select number of companies and we work hard on the ones we do make, taking on various special projects and supporting management teams.
We invest our own money into all of our companies.
We listen and learn to see how we can best help management teams win. When we use debt capital, we use it prudently and in consultation with management teams.
If you’re currently working in a business that generates approximately $2 million in earnings and you’re interested in buying the business from the current ownership group, we welcome the opportunity to partner with entrepreneurs like you. We don’t do hostile takeovers, so the owners must be willing to sell. But if you know how to run and grow the business, but don’t know how to buy it, please reach out.
