Investment Criteria
Venquest Capital Partners has the flexibility to consider a wide range of acquisition targets, but companies with the following characteristics are preferred:
- Operating History – Prospect companies should have a minimum of three years profitable operating history. We do not invest in startup or seed stage ventures.
- Growth Potential – Prospect companies should have achievable growth opportunities through internal measures or strategic acquisitions.
- Critical Mass & Profitability - Prospect companies should have annual revenue in excess of $10 million and EBITDA exceeding $2.5 million.
- Industry Characteristics - Companies operating in stable industries, typically in the manufacturing, distribution and service sectors, are favored.
- Defensible Market Niche – Preferred prospects will have a dominant market position or defensible niche within their industry.
Exceptions to these criteria may be made for businesses having unusually high operating margins, stable cash flows, a dominant market share in a niche market, or other compelling attributes. If in doubt as to whether a company might be a fit for Venquest, please contact us and we’ll talk though it. |
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