Investment Criteria
Our investment criteria have been developed to fit our preference for investing in companies seeking capital to fund expansion, acquisition, restructuring, succession or other business transformations.
Our record of investment success comes from an approach to investing that, while disciplined, remains flexible and pragmatic.
When considering an opportunity, we generally look for the following:
• Investments in sectors where we have experience
• Prudent leverage
• A working partnership with management
• A significant ownership position or minority positions with like-minded investors
• A proven business model that, preferably, demonstrates market leadership with a solid franchise
We weigh investment opportunities against the following criteria:
• Profitable sales of over $50 million annually
• Cash flow of over $10 million annually
• Unrealized opportunities to enhance shareholder value
• An experienced and entrepreneurial management team
• Management's willingness to establish a constructive relationship
And with each opportunity, we seek to invest from $20 million to $75 million. In certain situations, $100 million or more can be invested with some of our limited partners as co-investors.
CAI does not invest in any of the following:
• Firms requiring less than $20 million
• Start-up venture capital situations
• Real estate operations