PE Insight Series: First Impressions: PE Executives’ Investment Criteria

PE Insight Series: First Impressions: PE Executives’ Investment Criteria

PE Insight Series

In the first installment of the PE Insight Series, Todd Taskey interviews eight private equity executives about how they make their initial assessment of a company.

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Here’s a glimpse of what you’ll learn:

  • [2:36] The volume of deals private equity executives review monthly
  • [6:17] Private equity executives’ investment criteria
  • [9:06] Advice for structuring an investment pitch
  • [17:17] How investment firms select potential deals
  • [24:30] Elimination criteria for investment decks

In this episode…

Private equity executives often sift through thousands of investment decks each week. So what are their criteria for evaluating them, and how can business owners structure their pitches to capture interest?

Casey Swercheck, Joshua Bilmes, Nick Moritsugu, Bill Sommerschield, Trenton Sisson, Brian Schmidt, William Dyer, and John Findlay share their first impression requirements. With host Todd Taskey, the private equity executives talk about their elimination criteria for investment decks, the number of investments they evaluate each week, and how to craft a compelling pitch that resonates with investors.

Resources Mentioned in this episode

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Casey SwercheckCasey Swercheck is a Partner at Alterna Equity Partners, a PE firm focused on controlled and non-controlled investments in lower middle-market companies. In his role, he sources, evaluates, and structures new investment opportunities for the firm. Casey is a board member at various companies, including Bulk Express Transport and Mod Op. 

Josh BilmesJosh Bilmes is the Managing Partner of Oceans Equity, a VC and PE firm that supports ambitious leaders. With nearly 20 years of investing and M&A advisory experience, he focuses on optimizing capital structures, allocating resources, recruiting executives, and establishing efficient organizational structures. Before Oceans Equity, Josh was the Principal at Boyne Capital Partners.

Nick MoritsuguNick Moritsugu is a Principal at Imperial Capital, a middle-market private equity firm. He is also a board member at Elase Med Spas and Frontier Service Partners. Before joining Imperial Capital, Nick served as an Investment Banking Associate at BMO Capital Markets’ M&A group. 

Bill SommerschieldBill Sommerschield is the Managing Director at Keystone Capital, which invests in high-quality, market-leading businesses. He is responsible for evaluating investments, structuring and negotiating transactions, and managing portfolio companies. Before Keystone Capital, Bill worked in the investment banking divisions of Morgan Stanley and Credit Suisse, where he was involved in M&A and debt and equity financings in the business services, industrial, and education industries. 

Trent SissonTrent Sisson is the Managing Director of Mountaingate Capital, which helps entrepreneurs and management teams accelerate business growth. He is also a member of the firm’s investment committee. Trent was a Private Equity Investor at KRG Capital Partners and began his career as an Investment Banker with Wells Fargo Securities in leveraged finance.

Brian SchmidtBrian Schmidt is a Vice President at Court Square Capital Partners, a middle-market private equity fund. In his role, Brian is responsible for deal sourcing, growing existing investments, and overseeing the development and implementation of growth strategy. He serves as a board member for Power Digital, Connatix, and Health Union and is a Dynata board observer.

Bill Dyer Bill Dyer is the Managing Partner at Boathouse Capital, a debt and equity firm making minority and majority investments in middle-market companies across the US. He is a private equity executive with over 25 years of experience, specializing in mezzanine debt and equity investments. Before Boathouse Capital, Bill was a Principal at American Capital and the Director of Business Development at MSDSonline.

John FindlayJohn Findlay is a Partner at Periscope Equity, a Chicago-based PE firm that partners exclusively with founder-owned, technology-enabled business services companies. He serves on the boards of eHouse, MAS Medical, WPAS, and Uprise Health. Before Periscope Equity, John was a Senior Associate at Lone Star Funds, where he evaluated and executed new investment opportunities in financial services and business services companies.