Through our network of business owner clients, we have developed an investment partnership to invest directly into companies in two specific circumstances.
Co-investment with Private Equity Clients: IndustryPro is a reputable firm and is often invited to participate in a number of deals we perform. This is especially true when we conduct targeted searches for private equity clients. Instead of accepting a fee for the service, we agree to accept our fee in equity in the acquired company or companies. In this way, we demonstrate our confidence in the strength of the deal and in the investor. We will exit this investment upon the next liquidity event, assuming the business plan has developed and there is no reason otherwise to remain equity stakeholders.
Acquisition Financing: IndustryPro is often retained to secure acquisitions for lower-middle and middle-market firms. We only accept these assignments when we believe the company can significantly improve itself by acquiring and integrating other firms. (This service is explained further under “Targeted Acquisition Search“.) In some cases, this service is performed under the assumption the company is positioning itself to be acquired in the future. If that is the case, IndustryPro can provide equity financing to help perform acquisitions. We also can accept our fees in equity, so as to maximize the available cash on hand to make acquisitions. As with our co-investment model, by accepting our fee in equity and helping finance acquisitions, we are demonstrating our belief in the project and the management team’s strategy.
“We like the quality of both IndustryPro personnel and their sellers. After closing one successful deal presented by IndustryPro we hope to do more.”
-Fraser Bullock, MD Sorenson Capital and founding Partner of Bain Capital
IndustryPro has closed several hundred million dollars in transactions since our founding in 1991. See our successful transactions, totaling over $2 Billion in transaction value.