We’re looking for “the one”. A business that has a succession problem, has young capable management, and can be acquired for a reasonable price.
A Blackwall investment offers you both the opportunity to access returns and a permanent home for your business.
Has been in business for at least a decade preferably longer, with proven/consistent revenue and/or market share trajectory.
No start-ups/early-stage ventures (i.e. companies requiring substantial equity investment to survive) or highly leveraged entities (e.g. greater than 20% debt to equity).
Whilst we are agnostic on industry, we are unlikely to be interested in companies requiring high levels of CapEx since we want strong Free-Cash-Flow (FCF) investments.
Has a high Return on Capital (ROC) using little to no debt.
High technical expertise in its sector with something of a moat. IP/patient protection a bonus not a must.
Makes $5-10m pre-tax and owner willing to exchange controlling stake.
Deeply understand their market(s) and intimate with their customers.
Witnessed economic cycles. No major regulatory environment head or tail winds which jeopardise economics.
If they own real estate (i.e. own their factory/office) so much the better.
Provides products with a technical content that create added value for customers.
Ideally combines pricing power with high barriers to entry providing a unique product or service.
Has a succession problem, with capable management that we can incentivise.
