We partner wth industry leading executives in the markets we invest, aligning investor and sponsor incentives for aligned growth.
By partnering with experienced, patient and thoughtful executives we ensure portfolio companies continue to perform according to the fund investment thesis and goals.
Our ideal independent sponsors are seasoned operators with proven track records of executing and succeeding on market growth initiatives.
We are looking for investment target partners with the following criteria
SALES REVENUE
EBITDA
TARGET EQUITY
Management Buyouts
Corporate Recapitalizations
Acquisition Capital
Majority Equity Positions
Clear Value Proposition
Historical Profitability
Stable Revenue
Seasoned Management
Defensible Market Position
Digital Businesses
Software & SaaS
Consumer Services
Healthcare
Business Services
We seek to partner with the best independent sponsor operators on the market
Sourcing off-market private equity opportunities is part of our core competency and we seek to align with operating sponsors for our portfolio companies whose skills align with our strategic approach and vision. We work to source quality businesses that are both unique and desirable. We take the same approach with our sponsor executives, sourcing operators with the skills and vision to grow the value of our private equity portfolio.
We are always interested in connecting with experienced operators with the prowess to actively manage our portfolio companies.
Please take a look at our fund thesis here to learn more about the types of deals we are interested in reviewing. While we are industry-agnostic, we do have specific sectors that are of greater interest to us.
The timing of closures on any deal is dependent on many factors, including market timing, due diligence, etc.
The ideal independent sponsors will have multiple years of experience as operating executives at industry-similar firms, giving them the experience they need to operate and execute on organic and inorganic (M&A) growth initiatives.
We highly encourage our executives to commit equity into the deals the manage. This "skin in the game" not only aligns incentives, but allows the executive to have more upside upon exit.
$30,000
$30,000
$120,000
$9,101
$758
$30,000
$4,800
$34,800
INCOME ANALYSIS | YEAR 1 | YEAR 2 | YEAR 3 | YEAR 4 | YEAR 5 | YEAR 10 | YEAR 20 | YEAR 30 |
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Gross Scheduled Income | ||||||||
Less Vacancy Allowance | ||||||||
Gross Operating Income | ||||||||
Property Taxes | ||||||||
Insurance | ||||||||
Utilities | ||||||||
Homeowners Association | ||||||||
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Property Management | ||||||||
Total Operating Expenses | ||||||||
Net Operating Income | ||||||||
Capitalization (Cap) Rate (%) | ||||||||
Less Mortgage Expense | ||||||||
CASH FLOW | ||||||||
Cash on Cash Return | 4.8% | 6.1% | 7.5% | 8.9% | 10.4% | 18.7% | 41.4% | 75.3% |
EQUITY ANALYSIS | YEAR 1 | YEAR 2 | YEAR 3 | YEAR 4 | YEAR 5 | YEAR 10 | YEAR 20 | YEAR 30 |
Property Value | $150,000 | $156,000 | $162,240 | $168,730 | $175,479 | $213,497 | $316,027 | $467,798 |
Plus Appreciation | $6,000 | $6,240 | $6,490 | $6,750 | $7,020 | $8,540 | $12,642 | $18,712 |
Less Mortgage Balance | $118,659 | $117,228 | $115,701 | $114,071 | $112,333 | $101,731 | $66,798 | $0 |
TOTAL EQUITY | $37,341 | $45,012 | $53,029 | $61,409 | $70,166 | $120,306 | $261,871 | $486,510 |
Total Equity (%) | 24% | 28% | 31% | 35% | 38% | 54% | 80% | 100% |
FINANCIAL PERFORMANCE | YEAR 1 | YEAR 2 | YEAR 3 | YEAR 4 | YEAR 5 | YEAR 10 | YEAR 20 | YEAR 30 |
---|---|---|---|---|---|---|---|---|
Cumulative Net Cash Flow | $1,686 | $3,823 | $6,432 | $9,531 | $13,143 | $19,651 | $34,042 | $60,237 |
Cumulative Appreciation | $6,000 | $12,240 | $18,730 | $25,480 | $32,500 | $41,040 | $53,682 | $72,394 |
Total Net Profit if Sold | - | $1,309 | $9,548 | $18,158 | $27,158 | $78,674 | $224,020 | $454,393 |
Annualized Return (IRR) | - | 10.9% | 15.7% | 17.6% | 18.4% | 18.6% | 17.5% | 16.9% |