Investment Criteria:
Our acquisition partners are actively acquiring privately owned businesses which meet the criteria listed below. These groups focus on a variety of industries spanning commercial and residential services, manufacturing, distribution, managed services, software, healthcare and more. Transaction structures generally involve purchasing 51-100% of the equity in the business with an option for owners to stay on moving forward or transition out immediately. The below criteria should be viewed as a guideline for “platform” acquisitions, whereas criteria for “add-on” acquisitions for specific industries may differ.
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Revenue between $1 and $250 million
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EBITDA margins of at least 10%
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Business is not in decline
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Minimal customer concentration
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Niche offering with a defensible market position
Industry Specific Criteria:
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$2+ million in annual revenue
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Profit margins of at least 10%
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Minimal new construction
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Residential or Commercial Services
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Residential: $3+ million in annual revenue
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Commercial: $7+ million in sales
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Roofing makes up the majority of sales
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Minimal new construction
Landscaping
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$3+ million in annual revenue
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Landscaping maintenance, Tree, and lawncare
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Residential or Commercial
Managed IT Services
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$2+ million in ARR
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$500+ thousand in Net Income
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Strong retention and recurring revenue
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Minimal Customer Concentration
Niche Manufacturing
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$10+ million in Revenue or $1+ million in EBITDA
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Profit margins of 10% +
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Limited customer concentration
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Strong market position
Veterinary
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$5+ million in Revenue
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General, ER and Pet Resorts
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2+ Doctors per location
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Producing owners need to stay on for a minimum of 2 years
Managed IT Services
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$2+ million in ARR
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$500+ thousand in Net Income
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Strong retention and recurring revenue
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Minimal Customer Concentration
Niche Manufacturing
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$10+ million in Revenue or $1+ million in EBITDA
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Profit margins of 10% +
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Limited customer concentration
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Strong market position
Veterinary
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$5+ million in annual revenue
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General, ER and Pet Resorts
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2+ Doctors per location
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Producing owners need to stay on for a minimum of 2 years
Restoration
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$5+ million in annual revenue
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Focus on water restoration
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Majority residential
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Majority of revenue is from mitigation
Access Solutions
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$5+ million in Revenue or $1+ million in EBITDA
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Commercial doors and gates, access control, video surveillance
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Profit margins of 10% +
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Limited customer concentration
Mechanical Services
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$5+ million in annual revenue
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Commercial/Industrial HVAC-R, Plumbing, Controls and Maintenance
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Less than 30% new construction