BS Freeman Capital (“BSF”) is a private equity investment/ advisory firm that seeks out partnerships with owners and operators of smaller middle market growth companies to provide liquidity, growth capital and management resources to grow and build exceptional enterprises. In general terms, we define the smaller middle market as companies that have TTM revenues between $10mm and $50mm, and EBITDA of $1 million to $10 million.
Because we are investing our own capital, we are not subject to the exit pressures common in a typical private equity investment firm’s cycle of fund expiration and fundraising. We believe in building smaller middle market companies by continually identifying and resolving barriers to growth and profitability, and that this process requires much more than just capital. We firmly believe our non-financial contribution in the form of strategic and operation advisory services are far more valuable than simply providing a company with a stable line of credit.
The Principal of BSF, and the partners brought in a on a deal by deal basis, collectively have long track records of partnering with middle market companies to build businesses into larger enterprises. In each instance, we’ve dramatically increased shareholder value through the development and execution of growth strategies, both organic as well as through targeted acquisitions, and through the continual identification and realization of operational efficiencies. It is BSF’s fundamental investment philosophy of more patient “hands-on” private equity coupled with value added investing that makes for a unique value proposition to growth oriented companies, their owners and management teams when selecting equity partners.
BS Freeman Capital seeks to make “meaningful” investments in smaller middle market companies (either majority or significant “active” minority investments) with meaningful growth potential. A preferred structure typically starts with a platform company, which has the following characteristics:
- Leadership position in a stable or growing niche market
- Identifiable brand/ corporate identity with relevant market
- TTM EBITDA of at least $1mm
- Significant recurring revenue
- Strong margins and free cash flow generation
- Defensible market position
- Growth potential organically or through acquisition
- Established, proprietary products or services