The Private Equity Podcast, by Raw Selection
Hosted by Alex Rawlings, Managing Partner of Raw Selection, a specialist executive search firm. Join us as we interview the leading experts in Private Equity, unlocking their secrets of success to share with you.
Discover how some of the top Private Equity professionals got into Private Equity, how they rose to success and learn about some of the mistakes they made along the way.
Alex has strong connections to the Private Equity industry through his executive search firm, Raw Selection, which specialises in working with Private Equity firms and their portfolio companies across Europe and North America. Alex is straight talking and to the point and aims to unlock real gold you can build into your firm or portfolio companies. Find out more at www.raw-selection.com
The Private Equity Podcast, by Raw Selection
Brendan Anderson on microcap private equity investing and driving value creation
Introducing Brendan Anderson
Brendan Anderson is the Founder and Managing Partner of ScaleCo Capital, a lower middle market private equity firm focusing on control-oriented leveraged buyouts and growth equity investments in fast-growing companies. Scalable partners with companies to bring operational expertise and strategic resources to scale a business's growth potential and build long-term value.
What You Will Learn:
Why Speed and Change is the New Superpower in Private Equity
How to Grow and Scale a Profitable Portfolio Company
The Benefits of Investing in Small, High Gross Margin Companies
Breakdown:
[00:00] Introduction
[02:15] The Mistakes PE Firms Make with Their Portfolio Companies
[04:20] The Sub 5 Million EBITDA Bussines Model
[06:46] How Brendan and His Team Drive Value Creation
[09:56] The Biggest Benefit of Investing in Small Profitable Companies
[11:14] The Most Effective Way to Run a Portfolio Company
[12:37] Processes and Systems For Effective Fund Management
[14:36] What Brendan Likes and Dislikes About Private Equity
[16:20] What Brendan Watches, Reads, and Listens To
[17:24] Parting Thoughts
Speed and Change: The New Super Power in Private Equity
Speed and change is the new superpower in private equity. According to Brendan, we live in an age where you must execute everything with speed. When you buy a portfolio company, go in as fast as possible, make changes, and start driving value immediately. Most portfolio companies have been operating the same way for decades. And although they might be profitable, their way of doing things is not necessarily the best way to run a business.
Traditionally, many PE firms favored a hands-off approach to managing the operations of portfolio companies. They leave the management teams to run operations and only focus on driving strategic direction. However, times have changed, and nowadays, PE firms hire operational specialists who work collaboratively with management teams to provide additional bandwidth and support. For Brendan, this approach is what accelerates speed and change in the more profitable PE firms.
Links and Resources:
Brendan’s Email: Brendan@scaleco.com
Thank you for tuning in!
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