Private Equity
Investing


We implement a unique, strategic approach in how we target, source & operate our private equity investments.

Our unique access to private, off-market deals in the lower middle-market gives our limited partners greater exposure to untapped private equity investment opportunities.

Transaction Types

Management Buyouts
Corporate Recapitalizations
Acquisition Capital
Majority Equity Positions

Target Criteria

Clear Value Proposition
Historical Profitability
Stable Revenue
Seasoned Management
Defensible Market Position


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What is Private Equity ?


Private equity investments typically implement an active management approach toward private business operations and financing, focusing on internal improvements and financing organic and inorganic growth through further acquisitions.


Most private equity investments involve extended time horizons, focusing on long-term investing results over short-term profits. However, with an active ownership focus combined with financial leverage, private equity investing can produce higher returns than typically experienced in public equity markets.

 
 

Why Us


As an essential element of a balanced investor portfolio, sophisticated private equity investors are seeking differentiation in how their private investments are allocated. Limited partner private equity investors are also interested in unique structures and exposure that match their specific investment goals, including cash flow profiles, overall fund costs and risk/return objectives. We take a holistic approach toward private equity portoflio allocation, structured to offer solutions that appropriately align with client objectives and deliver on fund performance.

 

Our Unique Approach


Investor Reporting Portal

With a proprietary reporting portal, investors will receive monthly and quarterly updates as to the status of their investment.

No Blind Pool Investing

Unlike most private equity funds, we avoid blind-pool opportunities. That is, every deal is individually financed and is not held in a blind pool. This approach forces greater investment discipline.

Investor Fees

We align investor fees in a unique way, which differentiates us from most other private equity groups, allowing for a bigger win-win among general and limited partners.

Sophistication

By partnering with like-minded, sophisticated investors, we believe we can forge lasting partnerships that last well beyond the deals we consummate.

Target Criteria & Process

  • Target ResearchResearch & Discovery

    Research global trends as well as individual company targets, aligning the ideal target profile for both our on and off-market target development.
  • Proprietary SourcingSourcing

    Deep research across our target markets, with exposure to directly-sourced deals through our broker platforms at MergersandAcquisitions.net and InvestmentBank.com.
  • Target OutreachEngage Targets

    Confidentially connect with and engage targets with an eye toward preparing for management discussions and an eventual transaction among various potential sellers.
  • Double Signed LOILetter of Intent

    Present target with offer letter via Letter of Intent (LOI), negotiating high-level deal points to be included in closing.
  • Legal & FinancialDue Diligence

    Work with council and accounting to perform enhanced due diligence on target acquisition(s).
  • 2021Definitive AgreementClosing

    Negotiate through the definitive agreement toward a mutually-agreeable closing among buyer and seller. Structure capital stack in preparation for close.
  • 2021Target IntegrationManagement Transition

    Work with selling management and sponsor executive management to execute on pre-approved transition plan.

Limited Partner Investors


We partner wth institutional and individual investors looking for unique, untapped exposure to middle-market private equity.

Sophisticated
Institutional Investors

Sophisticated institutional investors with equity and debt capital for initial platform acquisition and follow-on investments in profitable, strategic companies.

Accredited
Individual Investors

Sophisticated, individual, third-party accredited investors looking for exposure in profitable middle-market private equity opportunities.


The Market Opportunity

Small business private equity is an unprecedented and untapped opportunity.

  • There are some 30M+ small to medium sized businesses in the United States
  • Roughly 160K fo these businesses produce $10M to $100M in annual revenue
  • But less than 1% of private equity assets under management (AUM) targets these companies

Small businesses in the United States represent an $8T (with a "T") untapped institutional investment opportunity.




160K

TARGET PRIVATE EQUITY OPPORTUNITIES

$8T

UNTAPPED INSTITUTIONAL INVESTMENT

Our Unique Approach

We combine proprietary deal origination, data-driven target sourcing & operational expertise for generating positive outcomes.

  • Existing proprietary dealflow from years of online marketing expertise in M&A
  • Big-data deal sourcing that removes investing biases for finding off-market deals
  • Post investment support in finance, sales, marketing & operations

Our proprietary, data-focused technology combined with targeted marketing gives us the upward hand in targeting sellers in the lower middle-market.


A Partner Ecosystem for Success

We seek partnerships with like-minded professional partners

Where Human Capital
Meets Financial Capital

We combine the expertise of industry-specific tacit knowledge with the growth capital structure that meets the needs of business buyers and sellers.

SEE MORE

Our Target
Industries

We focus on internet, software and consumer services companies.

Technology & Internet

ASSET-LIGHT WEB, CONTENT & SaaS COMPANIES

Consumer Services

SCALABLE CONSUMER SERVICES BUSINESSES

Healthcare & MedTech

MEDICAL TECHNOLOGIES & HEALTHCARE FOCUSED COMPANIES

Join Our Investor Network

As experienced M&A professionals, we ensure a streamlined process from initial transaction interest through eventual deal closing. Through our technology sourcing tools and our proprietary dealflow of un-shopped and unlisted business opportunities, we provide a unique exposure for our limited partner investors.

Frequently Asked Questions


Learn about our unique approach


Why should I consider investing in Private Equity?
Each method of financing carries with it its own version of risk/return trade-off. And depending on the type and timing of an equity investment, investors will require different portions of the company pie. Private equity, venture or angel investments in startups tend to exact greater equity at the outset. Equity investments in later-stage companies represents a smaller risk for the investors and thus a smaller portion of the equity in the business. Private equity at any stage has particular advantages. One of the greatest advantages of obtaining private equity funding is the assistance obtained from equity investors. Equity investors are often experienced and knowledgeable managers who can aid consulting input and assistance to both fledgling and prosperous businesses alike. Unlike debt financing, equity owners are share in the gains and not just the pains of the business cycles. This helps align goals of management and investors to ensure growth occurs. Furthermore, private equity financing takes away the risk of a bank securing your home or other assets as collateral in a loan. This can help alleviate some of the risk of capital procurement from the owner founder. Building outsized returns for individual and institutional investors is what private equity is all about. Some might argue many private equity investments of recent vintage have failed to provide returns commensurate with investor mandates, but there are always outliers and exceptions. Typically private equity investments which perform well have a very tight, developed strategy. They find niches where value is being left on the table and find a way to further maximize theirs and their clients’ goals.
What types of deals do you invest in?
We invest across the middle market. While we are focused on businesses in consumer/business services and those that have a heavy digital component (e.g. software, SaaS & online), our ideal target profile is based heavily on opportunism and our unique ability to source off-market transactions.
What are your expected returns?
Returns vary from fund to fund and from deal to deal. The returns will be heavily dependent on the performance of individual companies and the funds invested in them.
What are your fees to limited partners?
Our fees align with industry-standard fees for most traditional private equity fund general partners.
What is your minimum investment amount?
While we prefer investments of $250K+, individual accredited investors can place a capital minimum of $50K.
How do you structure your private equity deals?
Like any other approach to financing, the structure of private equity investment deals can be as broad and diverse as the businesses themselves. Numerous and varied methods exist for funding, growing and buying existing businesses and their assets with private funds. Our partners work strategically with owners in equity financings for a strategic growth, merger and acquisition opportunities, co-investment deals in sponsor-led transactions, add-on investments with debt-augmentation, limited liability partnerships and private placement deals. When determining the type of financing needed, our partners take a holistic approach–assessing industry trends with individual company historical performance.
Tell me about your team's experience?
Our team includes investors and expert operators with invaluable sector experience in the niches in which we and our partners choose to invest. As with most private financiers, our support and help go much deeper than simple capital infusion. Both internal access to tacit knowledge, we dive deep in portfolio companies, providing added lift in terms of business support. In addition, we often sit on the board of the companies we represent, offering priceless insight into potential help with recruitment, operations, finance, operations and brand-building. Our overall goal is scaled, profitable and smart growth, keeping in mind we operate with a low risk-tolerance.
What do your existing Limited Partners look like?
With access to a superb network of market influencers, consumer advocates, research institutions and business process experts, our reach expands far beyond our in-house expertise. In addition to maintaining our current network of private equity partnerships, we also continuously seek to expand our scope and scale of partners in various sectors. Current partners consist of current and former entrepreneurs, visionaries, investors and inventors seeking to make in impact on the way consumers and businesses interact within their everyday lives.
What type of entrepreneurs and businesses do you invest in?
Seasoned entrepreneurs with a proven track record of implementation are at the heart of successful companies. We look for businessmen and women who are passionate, have integrity at the core and who can deliver results while changing the world in their own small way. If you have a product or service you are passionate about and feel could benefit from early to late-stage funding, you have come to the right place. If you have what it takes and would like to gauge the fit of our network of experienced and lively entrepreneurs, then reach out. We may be able to build something great together. We recognize great companies are spawned from the creative minds of entrepreneurs. We also recognize that not necessarily every Johnny-come-lately necessary has what it takes to implement an idea and truly have the gumption to persist and succeed. Ideas are important for success in nearly every stage of business development, and frankly, they may change. But where the rubber meets the road, it’s the people that make a venture successful. Invest.net recognizes your passion and would love to help you succeed.