The Private Equity Podcast, by Raw Selection

Introducing Brendan AndersonBrendan Anderson is the Founder and Managing Partner of ScaleCo Capital, a lower middle market private equity firm focusing on control-oriented leveraged buyouts and growth equity investments in fast-growing companies. Scalable partners with companies to bring operational expertise and strategic resources to scale a business's growth potential and build long-term value. What You Will Learn:Why Speed and Change is the New Superpower in Private EquityHow to Grow and Scale a Profitable Portfolio CompanyThe Benefits of Investing in Small, High Gross Margin Companies Breakdown:[00:00] Introduction[02:15] The Mistakes PE Firms Make with Their Portfolio Companies[04:20] The Sub 5 Million EBITDA Bussines Model[06:46] How Brendan and His Team Drive Value Creation[09:56] The Biggest Benefit of Investing in Small Profitable Companies[11:14] The Most Effective Way to Run a Portfolio Company[12:37] Processes and Systems For Effective Fund Management [14:36] What Brendan Likes and Dislikes About Private Equity[16:20] What Brendan Watches, Reads, and Listens To [17:24] Parting Thoughts Speed and Change: The New Super Power in Private EquitySpeed and change is the new superpower in private equity. According to Brendan, we live in an age where you must execute everything with speed. When you buy a portfolio company, go in as fast as possible, make changes, and start driving value immediately. Most portfolio companies have been operating the same way for decades. And although they might be profitable, their way of doing things is not necessarily the best way to run a business.  Traditionally, many PE firms favored a hands-off approach to managing the operations of portfolio companies. They leave the management teams to run operations and only focus on driving strategic direction. However, times have changed, and nowadays, PE firms hire operational specialists who work collaboratively with management teams to provide additional bandwidth and support. For Brendan, this approach is what accelerates speed and change in the more profitable PE firms.  Links and Resources:Brendan on LinkedInScaleco.comBrendan’s Email: Brendan@scaleco.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.  

Introducing Morty SingerMorty Singer is the Co-Managing Partner at Traub Capital Partners, a private equity firm investing exclusively in the consumer industry. Throughout his career, Morty has been an innovative, sought-after executive in the retail and consumer branches of the fashion industry. He has advised global companies in retail and distribution strategies, operations, and mergers and acquisitions.What You Will Learn:The Power of Great Cultures in Private EquityWhy You Need to Invest in Companies with Solid CulturesThe People Factor in Private EquityBreakdown:[00:00] Introduction[01:50] The Mistakes PE Firms Make with Their Portfolio Companies[03:59] Building the Right Relationships in Private Equity[05:45] Traub Capital’s Main Differentiator[08:04] Why Focus on Culture as a Private Equity Firm[14:31] Building a Great Culture in a Portfolio Company[18:08] How Culture Drives Deal Flow in Private Equity [20:54] Kindness is a Super Power[22:51] Traub Capital’s Focus on the Consumer Bussiness[28:25] Why Traub Capital Launched Their Own Podcast[30:39] What Morty Likes and Dislikes About Private Equity[33:44] What Morty Watches, Reads, and Listens To [35:28] Parting ThoughtsThe Importance of Great Cultures in Private EquityIn the fast-paced world of private equity, where financial deals and high-stakes investments rule the day, one often overlooked yet profoundly influential factor is culture. According to Morty, culture is what makes or breaks successful PE investments. For him, culture is not just a buzzword; it’s the very essence of who they are as a company. The same is true for the portfolio companies you invest in. Investing in companies with great cultures can be far more profitable than investing in companies with bad cultures. By valuing culture and nurturing it within your firm, you can unlock many advantages that will propel your private equity goals to new heights. Morty and Traub Capital follow an approach built on P-E=T, where Positivity minus Ego equals Trust.Links and ResourcesTraubcapitalpartners.comMorty on LinkedInThe Daily Stoic: 366 Meditations on Wisdom, Perseverance, and the Art of Living by Ryan Holiday and Stephen HanselmanThe Obstacle Is the Way: The Timeless Art of Turning Trials into Triumph by Ryan Holiday  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.  

Adam Coffey, CEO, best-selling author, and Forbes Business Council member, shares insights on building a billion-dollar business and the challenges of scaling. He emphasizes the importance of getting unit level economics right and hiring the right talent. The podcast also explores the feeling of achieving a billion-dollar exit and the importance of staying engaged. Learn how to get in touch with Adam Coffey and access his books.

Introducing Carl CoxCarl J. Cox is a Business growth strategy expert, podcast host, and the CEO of 40 Strategy, where he helps CEOs scale with strategic excellence. He is also the author of Lost At CEO: An Entrepreneur's Guide To Strategy. The book reveals a uniquely different approach to strategies that have the power to transform any business that has struggled with stale strategic retreats, failed initiatives, and stalled-out growth. What You Will Learn:The Power of Strategic Planning in Private EquityHow to Design a World-Class Strategic PlanWays to Move From Lagging to Leading IndicatorsBreakdown:[00:00] Introduction[01:50] The Mistakes PE Firms Make with Their Portfolio Companies[02:49] Marrying People, Processes, and Systems in a Firm[04:14] From Lagging Indicators to Leading Indicators[06:47] Indicators That Prove You're Headed in the Right Direction[08:53] Strategies and How Often to Track Your Them[12:10] The Concept of Strategic Accountability[15:29] What a World-Class Strategy Looks Like[19:25] Motivation For Writing the Book[23:30] What Carl Likes and Dislikes About Private Equity[28:57] What Carl Watches, Reads, and Listens To [33:02] Parting Thoughts The Foundations of a Strategic Plan in Private EquityReady to scale your private equity firm the right way? Well, it's very simple. All you need is a world-class strategic plan and the accountability to get it done. According to Carl, all these can be achieved by focusing on only three things:Initiatives that Create Value. As a PE firm, you must focus on the initiatives that create the most value. Highlight all potential strategic initiatives, then rank them according to feasibility, and double down on the ones that have a greater organizational impact. To improve your chances of success, Carl recommends focusing on at most three strategic plans at a time.The Right KPIs. Choose KPIs that are leading indicators, not lagging indicators. Stop focusing on the outcome and instead focus on the behaviors that lead to them. A solid strategic plan should have metrics for behaviors and actions that can be tracked and monitored regularly. Accountability. PE firms should make accountability a core part of their business strategy. Keep your people accountable. Don't take your eye off the ball because people will likely fall back into old habits. As a leader, start by setting clear deadlines, establishing roles, and performing regular check-ins. The more successful PE firms ensure everyone stays on track and feels more accountable for their work.How to Carl CoxCarl's email - CarlJCox@40strategy.comCarl's LinkedIn, 40strategy.com, Lost At CEO: An Entrepreneur's Guide To Strategy by Carl J. Cox 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.

Matthew Garff, Senior Managing Director at Sun Capital Partners, Inc., discusses the importance of culture in private equity firms and portfolio companies. He explores the strategies used by successful firms to create value and attract talent. The podcast also covers the challenges faced by the industry, including deal scarcity and finding quality professionals.

Pranav Garg, Founder of Peak Margins, discusses profitable growth in private equity, the power of data in decision-making, and his TAU Framework. He emphasizes the mistakes PE firms make, the advantages of data-driven decision making, and shares his likes and dislikes about PE.

Tim Flannery, founder of Passthrough, discusses the mistakes PE firms make with their portfolio companies, benefits of investing in your firm's brand, and how firms are using AI to raise capital. He emphasizes the importance of proactive communication, understanding investor needs, and navigating the current fundraising landscape.

Introducing Amy GrossAmy Gross is the Global Private Equity Practice Leader for Liberty Mutual. She consistently demonstrates her expertise by working directly with clients connecting their firms and portfolio companies across Liberty’s global business. Amy brings the scale of her private equity clients to the forefront, where she educates on private equity and encourages people to bring creative solutions to help them solve their needs.  What You Will Learn How to lower private equity insurance costsInsurance for PE portfolio companiesReasons why PE firms should prioritize insurance coverage Breakdown[00:00] Introducing Amy Gross[01:40] The Mistakes PE Firms Make with Their Portfolio Companies[04:12] Insurance Premiums for PE Portfolio Companies[06:08] Is PE Too Risky For Insurance Firms?[10:35] What PE Firms Can Do to Get the Most Out of the Insurance Industry[13:02] Ways PE Firms Can Reduce Their Insurance Costs[16:15] How to Build Better PE-Insurance Relationships[18:38] What Amy Likes and Dislikes About PE[19:47] What Amy Watches, Reads, and Listens To [20:28] Parting Thoughts How PE Firms Can Lower Their Insurance CostsLowering private equity insurance costs can be challenging, as insurance premiums are typically based on factors such as the nature of the business, its operations, risk profile, and claims history. According to Amy, the biggest thing PE firms can do to reduce their insurance cost is to make themselves a better risk. A better risk involves actively reducing the impact of potential loss by developing plans to eliminate, manage, and limit setbacks as much as possible. All this translates not to just better insurance but better workplace safety, better morale, and basic peace of mind. Amy adds that building great relationships with insurance carriers can sometimes lead to better premiums. Demonstrating loyalty and maintaining a positive track record with an insurer can result in favorable negotiations and potentially lower costs. How to Contact AmyAmy’s email Amy.Gross@Libertymutualgroup.comLibertymutualgroup.comAmy’s LinkedIn​​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.  

Introducing Jon ThompsonJon Thompson is the author of The Dashboard Effect and co-founder & Chief Strategy Officer at Blue Margin, where he helps private equity and mid-market companies quickly convert data into automated dashboards. Their mission is to deliver breakthroughs early and often, and within clients’ timelines and budgets. Jon offers practical steps for business leaders who want to quickly leverage data to improve outcomes. What You Will LearnHow to Apply Data and Analytics in Private EquityWhy Data Intelligence is a Great Differentiator in BusinessWays Data is Slowly Transforming Private Equity Breakdown[00:00] Who is Jon Thompson?[02:00] Common Mistakes by PE Firms and Their Portfolio Companies[04:38] Data Analytics in Private Equity and Why It’s Important[07:24] Successful Data Utilization in PE[10:09] How to Make Data the Main Part of Your Execution Strategy[12:32] Reliable and Scalable Data Architecture[15:18] How to Use Data to Inform Your Decisions[20:00] Using Data Internally to Define Key PE Metrics[22:15] How to Create a Data Utilization Culture[25:55] Improving Data and Analytics in PE[28:57] Jon’s Go-To Self-Improvement Resources[35:25] Parting Thoughts  Successful Data Utilization in Private EquityPrivate equity firms have recognized the immense potential of data utilization in enhancing their investment decision-making processes and driving operational efficiency. By harnessing the power of data analytics, PE firms can uncover valuable insights, identify investment opportunities, and optimize portfolio performance. Successful data utilization in PE involves leveraging various data sources, employing advanced analytics techniques, and fostering a data-driven culture. Rapid growth and the birth of AI have heightened the importance of in-depth data and analytics. To compete, PE firms need high-quality technology solutions to sharpen their insight and streamline their workflows across the entire fund lifecycle. However, data is only as valuable as it is understandable and accessible. According to Jon, without an effective way to manage information, your data can very quickly become “noise.” And in some cases, noise is worse than not having the data at all. How to Contact Jon:Jon’s LinkedIn https://www.linkedin.com/in/jon-thompson-37282432/ Jon’s Email: Jon@Bluemargin.comBluemargin.comThe Dashboard Effect Podcast: https://podcasts.apple.com/us/podcast/the-dashboard-effect/id1634065977 The Dashboard Effect: Transform Your Company by Jon Thompson and Brick Thompson 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.  

Introducing Ryan SchlittRyan Schlitt CEO & Co-Founder Aviditi Advisors, a premier, independent alternative advisory firm servicing global alternative investment managers and investors. Ryan has over 20 years of financial experience as a senior management member of the leading private placement/advisory groups at Donaldson, Lufkin & Jenrette, and Credit Suisse Securities. Before forming Aviditi, he had originated, executed, distributed, and been part of more than 325 capital raises, aggregating more than $480 billion. What You Will LearnThe Private Equity Fundraising ChecklistWhy Small Private Equity Funds Struggle Raising CapitalWhen to Start Worrying About Access to Capital Breakdown[00:00] Who is Ryan Schlitt?[05:10] Common Mistakes by PE Firms and Their Portfolio Companies[07:10] It’s Not When You Start, It’s When You Finish[08:30] How to Prepare for Fundraising Success[14:34] Why Some PE Firms Struggle to Raise Funds [18:07] Ryan Describes the Current Fundraising Climate[22:28] Smaller Funds Struggling to Raise Capital[25:56] Is Capital Moving Away from Private Equity?[29:00] Future Trends in PE[31:45] Ryan’s Go-To Self-Improvement Resources[35:25] Parting Thoughts  Fundraising in Private EquityPrivate equity has been experiencing a robust fundraising environment with increased investor interest and significant capital commitments. According to Ryan, one notable trend has been the rise of larger fund sizes. Some firms have been able to raise increasingly substantial amounts of capital, with mega-funds (those with over $5 billion in commitments) becoming more common. Established private equity firms with proven track records have been particularly successful in attracting capital from investors. However, that is not the case with emerging managers and smaller funds. Investors often prioritize track records and prefer investing in established firms with consistent performance. Although the industry continues to evolve, fundraising success still depends largely on factors such as investment track record, investment strategy, differentiation, and alignment with investor preferences. How to Contact Ryan:Ryan’s LinkedIn: https://www.linkedin.com/in/ryan-schlitt-889896a/Aviditiadvisors.com​​Ryan’s Email: Rschlitt@avidiadvisors.comThe Smartless Podcast: https://www.smartless.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.