Endeavor Capital Management

 
Geography   North America and European Union
     
Stage   Primary Investments:

Venture: Endeavor prefers expansion stage opportunities, but will selectively pursue early stage situations.  In many instances, Endeavor is the first institutional financing received by a company.  Profitability is not required but prospective early stage investments must have paying customers and a near term plan for attaining cash positive operations.

Buyouts: Prefer to originate or co-lead buyout transactions, typically with a transaction size of up to $50 million.

Direct Secondaries: Endeavor seeks to acquire portfolios of expansion stage companies from individual, corporate or other private equity investors who are divesting their direct private equity investments to rebalance their portfolios.
     
Typical Investment Size   Average investments range from $500,000 to $5.0 million.  However, Endeavor has invested $10+ million over the life of an investment, and, with support from limited partners and co-investors, over $20 million.
     
Role   Active investors with board and key board committee representation.
     
Industry Focus   Somewhat opportunistic, but we are currently pursuing investments offering products or services that are technology-oriented in the following industries:
 
- Environmental Technologies
- Energy and Utilities
- Communications
- Software
- Business processes outsourcing, such as metering and billing
- Special situations where manufacturing or service businesses take advantage of technology to materially alter a company's operating economics and competitive strength.
     
Things We Look For   Talented Management: A resourceful and disciplined team with a demonstrable track record of prior success.

High Growth Potential: Companies in expanding or changing industries that can support exceptional return on investment within five years from Endeavor's initial involvement.

Barriers to Entry: Attributes that contribute to sustainable success include proprietary products and services, pre-emptive locations, strong distribution channels, restrictive sourcing agreements, demonstrated brand loyalty, and innovative marketing and sales strategies.

Attractive Operating Economics: A definable business model that can be replicated to achieve growing, recurring revenues, substantial profit margins and growing free cash flow.

Alternative Exit Strategies: The business should have the potential to be a public growth company or be a merger or acquisition candidate to a strategic buyer.  Alternatively, the business should generate sufficient free cash flow to provide investors an attractive rate of return over a predetermined time horizon.
     
What We Like To See First   A crisp, 2-3 page executive summary describing the company, its market opportunity, competitive position, the unique value proposition of its product and/or service offerings, management team and strategy for growth emailed to: contactus@endeavorcap.com.

 

Endeavor Capital Management
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