We invest significant time and resources researching attractive industry segments. As a result, we can quickly assess whether we are interested in investigating a business further. This often takes place within 72 hours. If we are interested, we are able to leverage our research and move quickly to complete a transaction.
Serent Capital usually commits $10 million to $50 million in equity in an investment. We also have the ability to finance larger transactions for the right opportunity.
In general, the companies in which we invest have the following characteristics:
We are comfortable with a wide range of revenue size, ranging from $5 million to $100 million
We focus on growing businesses, and look for growth potential of over 10% per year
We look for profitable businesses, typically with up to $15 million EBITDA, and returns on invested capital over 20%
We make investments of the following types:
We provide liquidity for entrepreneurs looking to sell a majority or minority stake in their businesses, while allowing them either to retain operational control or to bring in a new management team.
Through a highly collaborative process, we are able to develop thoughtful and successful exit strategies for business owners. Our versatile approach allows us to partner with existing management teams or to engage new management if needed.
We bring our business building experience and financial capital to bear to make significant investments that accelerate growth. This is typically done in conjunction with a recapitalization.
In our investments, we look for a meaningful ownership stake and always look for a role for Serent to work actively with management in building the business.