Sound Investors
Proven Partners
More interested in proven management, brand leadership, and financial track record than projections, McCarthy Capital applies its proven investment process to select the best partners from the start.
People
- Management teams who are exceptional and passionate about their business.
- Management teams who demonstrate an ability to be great partners.
- Management teams with significant personal investments.
Company Characteristics
- Companies with significant growth opportunities – either through participation in growing markets, market share expansion, industry consolidation or innovative business strategies.
- Companies with diversified customer bases and product/service offerings.
- Companies with revenues of more than $10 million per year.
- Companies with operating profits of more than $3 million annually.
- Companies which can consistently earn unleveraged pretax operating returns on tangible equity of 15 percent or greater.
Products/Services
- Products and/or services that are branded or proprietary.
- Products and/or services that generate consistent operating margins.
- Products and/or services that have leading market positions.
Markets
- Markets that are growing substantially faster than inflation.
- Markets that are highly fragmented with an opportunity for consolidation.
Investment Preferences
- Equity investments of $10 million or more.
- Majority or minority positions where management has material capital at risk.
- Tax efficient, flow-through entities.
Co-investors
- Experienced investors that share our investment principles and practices.
Exit Strategy
- Management and investment partners seeking to jointly realize value once we have achieved our investment objectives.