INVESTMENT CRITERIA

We are searching for an opportunity where an existing owner has outgrown the business, and desires seamless ownership transition without subjecting the company to excess financial engineering, acquisition by a competitor, or extreme cost cutting.

 

Granite Lake Partners is here to acquire and manage a strong business that demonstrates growth, and accelerate that growth with our long-term investment outlook.

 

 

When it comes to acquiring a business, we want to find the right match. Here are some of the attributes we're looking for in an acquisition:

 

Financial Attributes

  • Revenue of $5 to $50 million

  • EBITDA of $1.5 million or more

  • EBITDA margins of at least 15%

  • Three or more years of profitable operations and positive cash flow

 

Industry/Company Characteristics

  • Fragmented, large and growing industry

  • Strong potential for organic growth and/or industry consolidation

  • Significant component of recurring revenue preferred

  • Diverse customer base with high retention rates

  • Clear customer value proposition

  • Unique and distinct competitive advantage

 

Management Profile

  • Owner seeking liquidity and ownership transition

  • Owner willing to be involved during transition period

  • Strong middle management team eager to remain with the company

 

Granite Lake Partners’ Role

  • Controlling position investment

  • Assume active, day-to-day operational role        

  • Active board participation