Direct Company Investing
We act as principal investors and also partner with a handful of ultra high net worth family offices to invest in high performing companies and partner with management teams to help grow the portfolio companies. Our heritage and expertise is rooted in our decades of experience in making investments in privately held companies and helping portfolio companies reach their potential. Currently, we are looking to deploy over $500M in equity in the next two years in companies that meet the following criteria:
- Industrials, Food, Packaging, Distribution, Logistics, Consumer and Healthcare
- $2M to $25M+ in EBITDA
- High-quality management willing to stay and invest
- Significant and identifiable growth potential
- Anywhere in the US
The families we work with created their wealth by building and selling private companies - and they see investing in private companies as a natural way to leverage their experience and knowledge. Through a partnership with us, families are able to overcome one of the biggest challenge that family offices face: how to create the reach, scale, and investment process rigor of professional private equity investors without incurring significant expenses or compromising privacy.
The Cleantech Syndicate is a public example of our customized approach to helping families invest collectively. The Syndicate was co-founded by McNally Capital and Black Coral Capital, a family office that invests in funds, companies, and projects in the Cleantech and renewable energy space. The Syndicate brings large, sophisticated Cleantech investors together to share capital, deal flow, knowledge and networks to promote and increase their support of clean energy companies. The 11 members of the Cleantech Syndicate have collectively invested over $1.2 billion and are seeking to invest an additional $1.4 billion directly into other direct clean and renewable energy companies. For more information, please go to:www.cleantech-syndicate.com.
Fund Investing
Over the last decade, the number and variety of private equity funds has expanded substantially. While more does not necessarily mean better, it has become increasingly difficult for even the largest family offices to effectively diligence the right funds for its private equity portfolio. Often a family office private equity portfolio spans many years and is managed separately from their liquid investment portfolio. We provide advisory services that help families plan and execute against a customized, holistic private equity strategy that takes into consideration the risks that exist throughout a family's full portfolio. We further serve families by monitoring fund performance against their objectives and suggesting changes where appropriate.
In making new fund investments, we work on either a discretionary or on a non-discretionary basis. We advise on customized fund mandates and we create and manage separate accounts focused on either broad or narrow investment strategies. For niche strategies that would otherwise be too costly for one family to diligence effectively, we can construct customized fund-of-funds vehicles that permit families to invest collectively. The McNally Capital Mezzanine Fund, which we established in 2010, was our first such vehicle. Our clients tell us that we are distinguished by the depth of our perspective and the rigor of our analysis - an approach we believe is based upon our first-hand understanding of how private equity firms operate and how operational value is created in portfolio companies.
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