Invest With Vision: The Power of Proprietary Deals

When considering an investment in smaller companies, particularly those within a competitive landscape, a strategic approach emphasizes the value of proprietary deals. By steering clear of traditional bidding wars, it’s possible to engage with sellers who have not actively sought to sell their business. Building a financial model that showcases the potential future value of the company—projecting growth rates over a five to ten-year horizon—serves as a persuasive tool to illustrate how the investment can yield greater returns compared to an immediate sale. This methodical projection of future earnings underlines the investment's potential, appealing to sellers who might prioritize long-term growth over a quick exit.