Investment Criteria

Our Focus

At Valesco, we focus on long-term business fundamentals and partner with management teams and entrepreneurs to build their businesses. We believe that a business’ industry knowledge combined with our operations and capital expertise provides Valesco with an edge in identifying and creating value in investment opportunities. Our goal is to build stronger, better companies and create long term value. We primarily focus on lower middle-market companies that possess a few key factors, which help us to determine whether it will be a good fit.

 

While our interests span a broad range of industries, we are strictly dedicated to growing small and lower middle-market companies. Our preferred investments are businesses located in the United States that generally possess the following characteristics and satisfy the investment criteria below:


  • Economics
    $10 – $100 million in revenue, history of profitability with minimum cash flow of $3 million

  • Sectors
    Manufacturing, value-added distribution and business services

  • Qualitative Criteria
    Strong management, sustainable competitive advantage, reasonable growth prospects

  • Types of Investment
    At Valesco, our investments take a variety of forms, including majority, minority or debt in some instances

  • Ownership
    Privately owned companies, preferably family and founder owned and operated

  • Geography
    Headquartered in the United States

  • Diversity
    Valesco’s history is filled with investments in underserved communities, diverse workforces and female or minority owned and operated businesses

  • Areas Avoided
    VC/Startup, Real Estate/Financial Services, Turnaround/Distressed

Our Commitment

Valesco invests capital, both equity and debt, into privately-held businesses that meet our investment criteria. We help these companies fulfill their vision of industry leadership and transform into large-scale regional and national organizations. It is our job to support the business, the management teams and deliver the resources the company needs to propel them in the right direction.

When we invest in a business, we are very aware that we win when the company wins. We have the capital, the experience and track record that gives an edge in selecting the right partner.

Commitment
Beyond Capital