- TARGET COMPANIES
- $1-10MM in EBITDA
- Sustainable Competitve Advantage
- Long-term Industry Growth Outlook
- Demonstrated Growth in Margins and/or Cashflow
- INVESTMENT STRUCTURE
- Minority Stakes up to Full Ownership
- Equity, Debt or a Combination
- Looking to Add Value Beyond Simply Money
- Spin-offs, Expansions, Buy-outs, Succession Planning
We generally have two approaches to investing.
The first approach is a direct investment into growing private firms.
This would typically include some component of equity and doesn’t need to be a controlling interest. Our objective is to backstop strong business operators with financial, legal and technical support to enable management to grow their business. This is sometimes called a family office style of support, where capital and professional resources go hand in hand. This can start at the early stages of a company when financial needs are less complicated and continue when growth and maturity brings more dynamic financial requirements.
Events that can create the opportunity for direct equity investments include:
- Management buyouts
- Acquisition of a competitor
- Rapid expansion of the core business
- Vertical integration of a business segment through acquisition or development
- Investment in a complimentary technology
- Growth into new markets
The second approach is project financing or project acquisition.
Sculler has a strong history of financing and/or managing projects that have recurring income once complete. This would include mid-market energy infrastructure and real estate development. The permitting and licensing required for this type of work needs careful consideration. We are happy purchasing a project outright or participating at an early stage in a project’s financial needs, while working closely with its management team.
Regardless of the investment approach, we are long-term investors. We are looking for value over time and not immediate cash flow compensation. The best opportunities and growth strategies take time to execute and always require some flexibility that necessitates a patient and informed equity participant.
We are open to supporting any team of passionate, focused entrepreneurs looking for strategic capital. To provide some direction, a non-exhaustive list of businesses or assets we have had success with in the past include:
- Securitised Mortgages or Asset-Backed Securities
- Manufacturing for Auto or Aerospace
- Heavy Equipment Distribution
- Special Purpose Real Estate
- Energy Infrastructure or Related Technologies
- Structured Finance or Providing Capital to Specialized Financial Products
- Technology Based Equipment
- Creative Firms such as Art or Advertising
- Healthcare Technology