Drew Schardt, Vice Chairman and Global Head of Investment Strategy at Hamilton Lane, offers over 17 years of expertise in private equity. He discusses the current landscape and vital investment strategies for 2024. Drew emphasizes the importance of real-time data for better decision-making and hints at the evolving role of technology in the sector. He also explores the recovery post-global downturn, lower leverage, and changing deal dynamics, along with potential market volatility and the influence of global monetary policies on investment opportunities.

Welcome to The Private Equity Podcast, by Raw Selection! Today, we're joined by Kevin McShane, a seasoned Chief Revenue Officer turned Operating Partner, with a wealth of experience from multiple private equity-backed exits. In this episode, Kevin shares insights on his journey, the impact of AI on driving revenue and EBITDA, and his key learnings from successful exits in the technology sector. We'll also dive into the role of AI in private equity and discuss Kevin's transition from CRO to Operating Partner. Breakdown:[00:00] Kevin McShane's Introduction – Overview of Kevin’s career in tech, private equity, and his role as an operating partner.[00:10] Kevin discusses how AI can drive revenue and EBITDA growth.[00:39] How portfolio companies are using AI for decision-making and growth.[01:08] 25 years in tech, CRO roles, and his transition to an operating partner.[03:05] Kevin highlights missed opportunities in private equity due to slow AI adoption.[04:00] Examples of AI in sales, demand generation, and customer success.[05:26] How AI implementation led to cost savings and pipeline growth.[06:24] How AI can be cost-effectively integrated into existing CRM and marketing tools.[09:42] Insights on recent stock price dips and tech sector trends.[12:44] Kevin emphasizes the role of strong CFO and leadership relationships in successful exits.[16:52] The importance of relationships and keeping ego in check for team success.[19:44] Kevin’s advice on moving from CRO to an operating partner role.[24:00] How Kevin builds trust and guides teams without direct authority as an operating partner.[30:41] Collaboration with leadership to develop and own strategic initiatives.You can connect with Kevin McShane on LinkedIn by visiting his profile here.To be added to the book waitlist, you can email alex.offer@raw-selection.com Thank you for tuning in!To get the newest Private Equity episodes, you can subscribe on iTunes or Spotify here.Lastly, if you have any feedback on the podcast or want to reach out to Alex with any questions, send an email to alex.rawlings@raw-selection.com.

Geoff Lurie, Managing Partner at Traub Capital Partners, shares his insights from decades of experience in private equity. He discusses the critical first 100 days post-acquisition and the need for clear reporting structures. Geoff highlights the struggle entrepreneurs face when adapting to PE oversight after years of self-reliance. He emphasizes the importance of understanding consumer sentiment and the pivotal role of CFOs in communication. Practical strategies for collaboration between investors and operators are explored, aiming for better financial outcomes.

In this engaging conversation, Ted Clark, a seasoned chief executive turned private equity investor at Iron Path Capital, shares his wealth of knowledge on deal origination. He discusses the power of specialization in private equity, particularly in the healthcare and life sciences sectors. Ted emphasizes the importance of having a clear investment thesis and leveraging professional networks to uncover valuable opportunities. His systematic approach to deal sourcing showcases how a structured method can enhance effectiveness in a competitive landscape.

Jeffrey Stark, a seasoned executive celebrated for his leadership in private equity-backed exits, shares his career journey from corporate America to driving growth in private equity. He discusses the power of collaborative leadership and the pivotal role of independent board members in enhancing company success. Stark emphasizes transparent communication, especially during crises, and recounts the strategic successes of his companies through robust acquisition strategies. He also reflects on the challenges of navigating corporate transitions during the pandemic, balancing operational improvements with employee well-being.

Jordan Burton, co-founder of Talgo and an expert in executive talent assessment, shares his insights on navigating the complexities of hiring in the private equity sector. He emphasizes the importance of structured interview techniques and timely decision-making to optimize human capital. Burton discusses intrinsic motivation in top-performing executives, underlining traits that define effective leaders. He critiques traditional hiring methods and advocates for a focus on real-world experiences, helping firms elevate their talent assessment processes.

Brendan Anderson, Managing Partner of ScaleCo Capital, shares his expertise on building successful private equity ventures. He highlights the crucial role of having the right team and vision for scaling businesses. The discussion shifts to utilizing data-driven strategies over gut feelings. Brendan also dives into the Entrepreneurial Operating System (EOS) for aligning management teams and the significance of strong financial reporting. Lastly, he sheds light on the challenges of transforming small-cap companies and the integration of technology in enhancing customer and supplier engagements.

Brad Nathan, a seasoned founder of a private equity firm, shares his journey from inception to managing a successful firm. He discusses the initial struggles with capital raising and team assembly, revealing key strategies that turned failures into triumphs. Brad delves into the importance of company culture and leadership in navigating growth, while also recounting the highs and lows of his career. He offers valuable lessons for aspiring founders and shares insights on emerging trends in private equity, all backed by personal anecdotes.

Matt Sharrers, founder of ETJ Advisory, discusses essential strategies for CEOs in private equity-backed firms. He delves into navigating cultural changes during CEO succession and highlights common pitfalls organizations face. Matt emphasizes the significance of aligning company values with private equity goals and the proactive role top executives should take in defining culture. His insights on creating value and fostering effective leadership transitions offer invaluable guidance for executives looking to thrive in dynamic environments.

Mason Myers, the founder and managing partner of Greybull Stewardship, shares his journey from journalism to private equity. He emphasizes the untapped potential in investing in sub $5M EBITDA companies and the importance of collaboration with founders. Mason discusses common pitfalls in private equity and highlights the value of leveraging operational expertise to enhance business fundamentals. He provides insights on selecting the right intermediaries and sustainable strategies for scaling smaller businesses, ensuring long-term growth and profitability.