Investment Criteria

 

 

Archbrook maintains a very opportunistic approach to our private investing.  We will consider all types of securities in a number of different industries. Our structure provides us the flexibility to invest in senior secured debt, mezzanine debt as well as common and preferred equity; however, we are heavily weighted towards investing in common and preferred equity.  Also, we will invest in companies in all stages of their development cycle – from new ventures to on-going businesses.  We will make both control and minority investments and will partner with other institutional investors to participate in larger financings.

 

 

 
 
Generally, with our private equity investments, we look for the following criteria:

• -Strong management teams with significant integrity and experience
• -Well-defined plans for growth in large markets where a company possesses a sustainable competitive advantage in terms of addressing the market
• -Management teams with a vested stake in the outcome of the business, in terms of cash invested in the business and equity earned through performance
• -Companies located in the Eastern region of the US
• -Co-investment partner (if applicable) with strategic knowledge of the business or industry
• -Board representation and strong protective provisions in the corporate documentation
• -Investment opportunity of at least $1 million up to $5 million on a stand-alone basis
• -Follow-on investment opportunities
• -Clearly defined exits within a reasonable timeframe of three to six years