RCap Equity
About RCap Equity
Through its active business development efforts and its extensive proprietary network of relationships, Renovus frequently sources attractive investment opportunities outside of the Knowledge and Talent industry or capital solution goals provided by a traditional private equity fund. Within this framework, RCap Equity Partners provides solutions including buyouts, recapitalizations, growth capital and add-on acquisitions.
RCap Equity Partners makes control equity investments in lower middle market companies with revenues of at least $5 million. We have a broad industry focus and a flexible investment horizon, which is not limited to the restrictions of a traditional investment fund.
Leveraging the Renovus platform, RCap Equity Partners brings decades of experience investing and partnering with business owners and management teams to create value. Our goal is to take companies to the next level by implementing revenue growth strategies, developing human capital, improving systems and financial controls, and making complementary add-on acquisitions.
RCap Equity Partners takes a collaborative approach in working with management to achieve our common goals through proper alignment, often allowing sellers to maintain a significant ownership position and a key strategic role in the business following a transaction as well as providing senior management with meaningful performance-based equity ownership. RCap Equity Partners is driven and managed by its core values of honesty, transparency, partnership, hard work and mutual respect.
Investment Criteria
Our Investment Approach
What we look for
We provide equity capital and expertise to support management teams in acquisitions and recapitalizations of founder-owned businesses. We can be flexible in our structure and can offer creative solutions. Our investment philosophy is governed by the following themes below.
Proven Management
We believe quality management is the primary driver of success.
Long-Term Perspective
Our investment horizon is flexible and aligned with management’s objectives for achieving long-term sustainable value. We are not limited to the parameters of a traditional investment fund and have the patience and flexibility to successfully execute our common strategic objectives.
Value Creation
RCap works with management to develop strategic direction and key growth initiatives. We identify opportunities for operational improvement, revenue growth strategies, add-on acquisitions, and management development. We also work with management to strengthen financial systems and controls.
Trusted Partner
We seek to be a valuable partner to management and trusted co-owner of the business. Our role is to support management and utilize our experience and resources to help create value.
Alignment of Interests
Our transactions are structured to closely align the interests of all our partners to ensure that all are focused on value creation in our companies. Often sellers will maintain a significant ownership and a strategic role following a transaction.
Flexible Capital Structure
We ensure that each company’s balance sheet is designed to support its strategic plan. While most of our acquisitions are leveraged, the degree of leverage and the debt structures utilized are tailored specifically to each individual company.
Portfolio
The RCap team has deep experience across a broad range of industries and working with businesses in the lower middle market. The current portfolio is comprised of a variety of industries and investment structures which include the following companies:
Contact RCap Equity Partners
RCap Equity Partners
Randall Kutch
General Partner