Our Approach

The M&A market for the small business (< $2M EBIDTA) segment is largely unaddressed by private equity funds given the hands-on operating effort required pre and post deal.
This results in an inefficient market for small businesses and lower purchase prices. Multiples on LTM EBITDA range from 3x to 5x.
Small Business Administration-backed bank loans are typically the primary funding source for these deals
Objective: acquire a small, enduringly profitable, low risk business that generates a consistent return for investors and predictable cash flows.