Bilgola Capital makes either acquisitions or growth capital investments in two types of companies generating mostly recurring sources of revenue:
- Early-stage, hyper-growth technology companies generally burning cash with large addressable markets (typically SaaS companies); and
- Growing companies generating EBITDA of between $1-4 million and enterprise values less than $20 million.
Targeted Sectors
Specific sectors targeted include:
- Business services
- Information services
- Financial services
- Healthcare services
Ideal Characteristics
The ideal company will have:
- A scalable business model
- Sustainable competitive differentiation
- Limited customer concentration
- Majority of revenue from recurring sources
- Attractive future organic and acquisition growth opportunities
- Low capital expenditure requirements
- Strong return on equity
Deals We Do Not Pursue
We are generally less interested in companies that are:
- Highly capital intensive
- Turnaround
- B2C