- “We don’t have to be smarter than the rest. We have to be more disciplined than the rest.”
- Warren Buffett
Discipline. Discipline. Discipline.
D Cubed is not in the trading business – we are long-term partners. We are not the right investor when all constituents are seeking to exit ownership. But we are the right partner when liquidity needs and/or a desire to optimally resource a business toward creating the most substantial long-term result drives the desire for a value-added partnership. D Cubed prefers to invest in partnership with owners and executives who are passionate about retaining a meaningful equity stake in their business or investing in the business alongside us.
While we will consider investments in businesses with special elements that may be outside of that outlined below, our primary focus is on investments that fit the following criteria:
| Investment Size |
- $15 million to $75 million of equity capital (with willingness and access to capital to make larger investments)
|
| Target Company Size |
- Small to mid-scale businesses
- Enterprise valuations between $30 million and $200 million (with willingness and access to capital to make larger investments)
- EBITDA / Free Cash Flow in excess of $5 million
|
| Geographies |
- Significant operations in the U.S. and/or Canada
|
| Industry Sectors |
- Multi-Channel Marketing and Marketing Services
- Foodservice and Hospitality
- Franchise-Driven Businesses
- Education
- Business Services to Healthcare Providers
|
| Business Attributes |
- Existing or potential sources of sustainable differentiation and competitive advantages
- Strong, passionate management energized toward building a long-term great business
- Favorable growth and demographic trends
- History of consistent operating results and recurring revenue base
- Potential to retain, attain and/or expand market leadership position
|
| Ownership |
- Prefer majority or control investments in partnership with management who are passionate about retaining a meaningful equity stake or investing in business alongside us
- Will consider minority investments under certain circumstances
|
| Investment Types |
- Recapitalizations and ownership liquidity situations
- Investments to drive/support growth
- Long-term business building opportunities
- Corporate divestitures
|