True North makes several types of investments:
Full Acquisition – We pay cash consideration to acquire 100% of a target company.
Recapitalization – We partner with the seller to acquire a majority of the company. In this scenario, the entrepreneur has the opportunity to retain some ownership and participate in future value creation.
MBO – We like opportunities where a key manager or an entire management group is looking to buy a company but needs a capital partner. We find that motivated, capable management interested in making a serious investment in an MBO alongside our capital is a great recipe for success.
We make equity investments in a variety of mature companies, but seek to avoid angel, venture capital or other early stage situations.
At True North, we find that some of the best investments often come from unlikely places. As such, our team reviews many different types of opportunities. However, our favorite opportunities often have some of the following characteristics:
- We like niche companies with defensible market positions, durable competitive advantages and high market share.
- We like companies that are in simple, straightforward businesses.
- We like companies with long operating histories showing stable top-line revenues.
- We like companies with between $5 and $50 million USD in revenue. We find some great businesses in this size range that are often overlooked by those looking to invest large amounts of institutional capital.
- We like high margin businesses with EBITDA ranging from $1.5 to $10 million.
- We like companies providing opportunities for improvement through the application of technology.
- We like companies in a variety of industries and have extensive experience investing in health care services, aerospace & defense, and information technology.
Our companies operate nationwide with headquarters throughout the United States.
Disclaimer: This website contains general information about True North Companies intended for the benefit of the ownership and management teams of companies which True North may seek to acquire or in which True North may seek to invest, as well as individuals considering possible employment with our firm. This website is not an offer to sell, nor a solicitation of offers to buy, any securities.