PE vs. Franchisees
Didn't PE despise franchisees? I recollect 10yrs ago that nobody wanted to touch franchisees (no autonomy, top-line royalty
Thesis
32 posts
Geography is no longer an edge or hidden opportunity
A former attorney, Mike Healy founded Gardner Standard in 2010. His initial focus was on overlooked geographies, such as western
19,000 PE firms; you need to stand out
There are 19,000 private equity firms in America, all trying to buy businesses. I cannot overstate the value &
Non-obvious attributes of the independent sponsor space
After 15 years of experience as an investor in the independent sponsor ecosystem, Nick Russell points to several non-obvious attributes
Private Equity Podcast: The importance of differentiation
Alex RAWlings invited me on the Raw Selection show (YouTube, Spotify, etc.), which aired earlier this week. I appear border-line
Example of undifferentiated narrative
If this pitch (screenshot) resembles your narrative, then consider yourself an undifferentiated generalist. It’s time for you to craft
1yr runway is too little
Most new searchers/sponsors give themselves 2 years of runway to close a deal. Remember that it usually takes 6+
VC + LBO = IS deal
Zack Miller and his high school friend Johnny Lieberman combined their distinct backgrounds to launch Worklyn Partners, a dual platform
Independent Sponsor Bingo
Independent sponsors often pitch themselves as “different." But their talking points are often the same. If you're
Faustian bargain in PE
Faustian Bargain in PE: when a fund sacrifices flexibility to pursue their favorite deals in exchange for committed capital. La
Get in the arena
"You miss a 100% of the shots you don't take" is a quote by legend Wayne
Show the pipeline
Saying you’re going to do add-on acquisitions is table stakes. Doing deals is what dealmakers do. Instead, show me
IS Model + Cyclical Industries = Good Match
Counter-intuitively, the independent sponsor model is particularly suited to cyclical industries, such as construction. My initial thinking was that an
2 Close Friends Destined For Independent Sponsorship
Two close friends who I predict will become independent sponsors by the end of the year: “I’ve sourced four
IS Model Is Growing Explosively
The independent sponsor business model is growing explosively because it has both compelling economics and low barriers of entry. Specifically;
PE Fund vs. Independent Sponsor Model
Successful independent sponsors are eventually faced with the decision of institutionalizing their success by establishing a private equity fund -
Try Harder To Differentiate
Being "hands-on", "operationally focused," and "founder-friendly" is table stakes. To differentiate, try harder.
Ep2: Special Situations
The second episode of 'Meeting of the Minds': Azhar Quader and Queens Court Capital built a track record
Lang Partners Outing
I recently attended an offsite with ~25 other independent sponsors, hosted by Lang Partners Family Office. It was amazing for
Exponential Growth in Independent Sponsors
The independent sponsor space is growing exponentially. # of sponsors (📈) x $ size of deals (📈) #: Barriers of entry are low -->
Where To Learn More About Search
“Where can I learn more about search?” • Read books. “Think Big, Buy Small” is my favorite. • Listen to podcasts. “Acquiring
Seeking Complexity
"We seek complexity. Otherwise it's too competitive." - Example of differentiated strategy with an independent sponsor
5 Keys for Independent Sponsors
5 things I love to see in independent sponsors as an investor at Minds Capital: 1. Niche experience (expertise, knowledge,
Thesis-driven vs. Generalist
Thesis-driven search: (1) Develop a vision (2) Find an acquisition target that fits the vision Generalist search: (1) Find an
