BDCs Investing in Companies with Under $10M in Revenue?
Does anyone know of a BDC (pubco or not) that does deals with companies that have under $10M in revenue/between $1M - $3M in EBITDA?
Does anyone know of a BDC (pubco or not) that does deals with companies that have under $10M in revenue/between $1M - $3M in EBITDA?
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Hey m_1, I swear if I had a silver banana for every lonely thread I posted too I'd be richer than @compbanker ...
No promises, but thought I'd mention a few relevant users that work in the industry: ssingerman @gr0191" @Damian210"
I hope those threads give you a bit more insight.
My understanding of BDC world is that they essentially invest in the form of debt + equity kicker. I assume it’s because you essentially can move on with a lighter due diligence for an investment like that as the loan gives you a good downside protection while you can still achieve good returns from equity. Pureplay equity investors in smaller businesses are late stage VC/growth equity and smaller PE-like firms with no dry powder available (typically they arrange clubs for every investment they source).
No on any BDC that goes that small.
See my response to the last time you brought up a similar question here: https://www.wallstreetoasis.com/forums/capital-structure-for-private-ac…
I would try with the tech banks like SVB. They do both debt and equity.
Exclusively? No. But there are some lower, lower MM funds that target $1-5mm EBITDA.
Any names?
Brass Ring Capital, Blackford Capital, Mendota Group, Generation Growth Capital (GGC), Midwest Growth Partners, Gemini Investors, Tonka Bay Equity Partners.
Several others that I am forgetting.
Thanks!
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@m_1" if you still need help here, PM me.
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