◼ An independent sponsor transaction can sometimes be appropriate as it combines the rigor of traditional private equity with deal-by-deal investments and economics and can be structured with stronger alignment with and transparency to limited partners than traditional private equity provides.
◼ An independent sponsor transaction can be the right solution for companies that are below the size threshold of the traditional private equity market.
◼ EBITDA of $500k and greater
◼ Historical & projected growth or a clear catalyst for turnaround
◼ Solid industry fundamentals
◼ Diversified customer base
◼ Provides exposure to deals that capital sources may not otherwise see
◼ Provides exposure to relationships stemming from an industry or geographical expertise that exposes a financial partner to previously unrecognized investment opportunities
◼ Provides exposure to companies that are not even officially for sale and being formally marketed
◼ Post acquisition, transition services, management services and governance