What we are looking for
We are looking for small and medium sized businesses with owners who wish to ensure the long-term success of their company as an independent entity. We aim to unlock all of the wealth they have created in their business to date, allowing them to either fully retire or retain a reduced role as desired.
Why we are different
We are interested in the long-term success of the company and do not have pre-set exit deadlines. We provide management and financial resource, allowing for a quicker transition for owners. By staying independent, we provide continuity and stability for the employees and customers.
We are a team of experienced entrepreneurs & investors seeking to acquire & operate a UK based privately held small / medium sized business
INVESTMENT CRITERIA
We recognise that every business is different. Therefore, we evaluate every company on its own merits through independent research and discussions with the seller
We are particularly attracted to the following
Business Characteristics
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Strong repeat or recurring revenues
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Good organic growth potential
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Stable margins and/or pricing power
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Sustainable competitive advantage
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Relatively low capital expenditure requirement
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Capable second tier management
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Good operational leverage / excess capacity
Target Industries
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HVAC services
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Renewable heating and energy services
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Smart metering, automated monitoring & targeting (aM&T)
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Building energy management systems / managed services (BEMS)
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Testing, inspection & certification (TIC)
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Companies operating within aerospace and automotive supply chain
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Pharmaceutical and healthcare
BUSINESS CHARACTERISTICS
INDUSTRIES
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At least 3 years profitable operations
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Strong repeat business / recurring revenues
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Stable margin
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Low customer concentration
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Low capital requirement
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Capable second tier management
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Low exogenous risk
We are not restricted to certain industries. However, we look for industries with established markets and strong organic growth. Examples include
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Engineering / engineering services
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B2B services
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Business support services
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Healthcare services
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Testing, inspection & certification
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Building energy management services
OWNER PROFILE
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Owner seeking exit for non business reasons (e.g. retirement, health)
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Owner wanting to step back from day to day operations
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Owners looking for meaningful liquidity
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Private equity exit
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Corporate divestments
FINANCIAL CRITERIA
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Positive and stable cash conversion
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Minimum of £1m EBITDA
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Minimum of 15% EBITDA margin
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Good operational leverage
SELLERS
Owner Managers
Stepping back from the business you have built and managed is not easy; which is why we will work with you with utmost care and diligence to smoothly and quickly transition day-to-day operations of your company to us. We offer you the opportunity to unlock the wealth you have created through your business.
Family businesses
The culture and values of many family businesses are intrinsically linked to the family legacy. We will work with all family members to provide you with the right option that keeps your business independent and nurtures the values, culture and employees over which the company has been built over generations.
DIFFERENTIATORS
We are not building a diversified portfolio of companies. We are focussed on businesses in our chosen niches (see criteria). We are committed to the long-term, independent success of our companies.
The table below summarises some of our key difference compared to either a trade or private equity buyer:
We will put your business first
We take a hands-on, active management responsibility of your company. With us, you have the benefit of knowing we are “all-in” on your business
TEAM
Raja Prasanna
Managing Partner
Raja Prasanna is an entrepreneur. He has founded and operated start-up companies and managed large business divisions in multinational corporate set-ups.
He has extensive experience in the UK manufacturing and services sectors, having worked in a number of commercial and operational roles for BOC Gases. Prior to founding RJ Capital Partners, Raja was the Global Head of a Business line for BOC / The Linde Group.
Raja holds a BEng in Chemical Engineering and an MSc in Physics. He also holds an MBA from London Business School.
Raja is a UK STEM (Science, Technology, Engineering & Mathematics) Ambassador.
Advisory Board
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