Do You Have Excess Capital Available to Invest Directly
If so, are you too busy managing your existing business?
Or, better yet, are you enjoying yourself so much in
your retirement that you don't want to devote the full-time
effort and attention that it takes to find, execute,
and manage direct private equity investments?
If you've achieved a level of financial success that
allows you to allocate a portion of your excess capital
to closely-held private investments, and you have a
patient, long-term investment perspective, we can help
What Are The Obstacles to
Successful Direct Private Equity Investing?
One must pick apart a company's financials and management
representations in the due diligence process before
investing. You could apply your own personal experience
to the evaluation of companies in industries or markets
different from ones where you have expertise. But will
that be enough? Do you have enough time to do all the
necessary due diligence yourself?
Obstacles that you may not find in a review of an investment
proposal include, among others, a company executive
focused on minimizing his own personal financial risk
more than he's focused on the long-term growth and success
of the company (and your investment). Or you may miss
the fact that the management team has a propensity to
rest on its laurels when the company is performing well.
Worse yet, you could miss a fundamental weakness in
the company's financial controls, operational procedures,
relationships with existing customers, or its ability
to market to new customers.
After you've invested, the company's management may
become side-tracked with a personal or external distraction
such as declining health, marital problems, or a shift
of focus away from growing the company (and your investment).
If you are not available full-time to watch over your
investment, then the value of your investment may deteriorate
without your knowledge.
Balance Ventures adds value to your
investments by digging deeper in due diligence and monitoring
company management and performance constantly during
the life of the investment.