The latest news and articles from Financial Poise.
Thursday, May 26, 2022
Thinking About Selling to Private Equity?
PE-backed companies make up far less than 10% of total U.S. GDP, but when the owner of a private business with some scale is looking to grow the business or take some money off the table, a private equity partner is likely to come calling. When that happens, it is important for a business owner to understand a bit about how PE funds approach the transaction. And if PE funds don’t come calling, the business owner may want to take some steps to attract them. Read How to Attract Buyers in Private Equity Transactions to learn about both subjects. If you own a business and are thinking about taking an investment from private equity, you need to think about what kind of partner the fund will be. Nothing will replace real due diligence of the specific PE firm at issue, but you can certainly learn some important generalities by reading Psychology of a Private Company Board in Fund-Owned Businesses.
Thinking About Investing in Private Equity?
Most investors are familiar with the public equity market. This is what we call the “stock market.” However, there is a second, much larger market—the private company market—that has the potential to provide outsized returns and portfolio diversification. A primary way to access this market is by investing in it indirectly, though a private equity fund. But should you? If so, who do you? For your very quick reading pleasure:
Need some weekend reading? The following are not 90-second reads, but they are nine minute or less reads. And you should spend at least nine minutes researching before you decide to look for a PE fund to invest in. Right?
Do You Work for a Private Equity-Backed Company that is Being Sold?
When a private equity portfolio company is being prepared for sale, it can be a confusing time for employees. Most people do not understand the PE business, and therefore have a cautious attitude due to what they read in the news. No one likes uncertainty, especially if it may impact their job security during a business sale. Read Private Equity Exits: What Employees Should Know. It will help.
Deeper Dives for those with Drive
Want to better understand how PE funds do what they do? Maybe you're a would-be investor who wants to learn more? Or a newly hired analyst at a PE firm? Or an attorney or accountant with PE clients? Or an MBA student looking for a job? Regardless of your motivation, if you want to learn more about PE, we got you covered.
These hour-long webinars dive deep into a variety of topics, each delivered by a panel of experts in the respective fields. Each webinar comes with a complimentary slideshow PDF. All on demand webinars are $19.99.