The Private Equity Podcast, by Raw Selection

Alex Rawlings

Hosted by Alex Rawlings, Managing Partner of Raw Selection, a specialist executive search firm. Join us as we interview the leading experts in Private Equity, unlocking their secrets of success to share with you.

Discover how some of the top Private Equity professionals got into Private Equity, how they rose to success and learn about some of the mistakes they made along the way.

Alex has strong connections to the Private Equity industry through his executive search firm, Raw Selection, which specialises in working with Private Equity firms and their portfolio companies across Europe and North America. Alex is straight talking and to the point and aims to unlock real gold you can build into your firm or portfolio companies. Find out more at www.raw-selection.com

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Episodes

Why Deals Fail and How to Avoid It With Brian Scanlon - Playbook Series
Today
Why Deals Fail and How to Avoid It With Brian Scanlon - Playbook Series
Send us a Text Message.Welcome to The Private Equity Podcast! In this episode, host Alex Rawlings discusses the critical factors behind deal failures and how to steer clear of them. Brian Scanlon from DealGen Partners shares insights on deal origination and sales processes. He stresses prep and presentation, akin to staging a house for sale. Brian pinpoints reasons for deal failures: unprepared sellers, messy finances, and unrealistic valuations. He also covers effective deal structures, boosting multipliers, and seller challenges like cultural clashes and prolonged due diligence. Key takeaway: swift action and clear communication are vital to keep deals on track. Tune in for expert advice on selling a company successfully and avoiding pitfalls.[00:00] Alex Rawlings introduces the topic of selling a company and the challenge of achieving high multipliers. He welcomes Brian Scanlon, noting his previous podcast on deal origination.[01:18] Brian Scanlon discusses the common reasons deals fail, primarily due to sellers being unprepared. He explains the importance of proper preparation and packaging, akin to staging a house for sale.[03:40] Brian estimates that nearly all proprietary deals are unprepared and outlines why private equity funds prefer these deals despite the lack of preparation.[04:39] Brian highlights the role of investment bankers in managing the sale process efficiently, similar to selling a house, and stresses the need for sellers to be upfront about financials and issues.[07:30] Brian identifies the lack of clean financials and unrealistic valuation expectations as major reasons deals fail. He emphasizes the importance of accurate financial statements and realistic deal structures.[09:52] Brian explains typical deal structures, including cash at close, earnouts, and equity rollovers, and stresses the importance of understanding these structures before going to market.[11:17] Brian discusses factors that increase a company's multiplier, such as recurring revenue, customer retention, and quality contracts. He uses the staffing industry as an example to illustrate these points.[14:13] He explains the challenges of project-based businesses with high customer churn and declining revenue, which generally have lower multipliers.[16:06] Brian talks about why sellers back out of deals, citing cultural misalignment, process frustration, and the length of the due diligence period as primary reasons.[19:56] He notes that tighter debt markets and more rigorous due diligence are causing deals to take longer, increasing the risk of the business not appearing as attractive by the closing date.[22:50] Brian emphasizes the importance of effective communication to keep deals moving and shares examples where delays led to deals falling through. He advises completing the due diligence period quickly to avoid deal collapse.[25:46] Alex asks for top advice.  [26:20] Alex thanks Brian for joining him on the podcast. To connect with Brian, visit his LinkedIn profile: Brian Scanlon 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.
The Value Creation Plan From an Operator Turned Investor With Paul Swaney
1w ago
The Value Creation Plan From an Operator Turned Investor With Paul Swaney
Send us a Text Message.Welcome to The Private Equity Podcast! In this episode, host Alex Rawlings is joined by Paul Swaney, Managing Director of Swaney Group Capital. Formerly with Partners Group and a veteran of McKinsey and Amazon, Paul dives into the intricate world of value creation from an operator turned investor perspective. He shares his journey from the military to the forefront of private equity, discusses the innovative use of media for business growth, and details the strategic operational frameworks that have shaped his successful career. Join us as Paul provides a deep dive into his approach to enhancing portfolio company performance and his insights on the pivotal role of transformation governance in private equity.Breakdown: [00:00] Introduction to Paul Swaney, discussing his transition from Partners Group to founding Swaney Group Capital.[00:10] How Paul uses media to enhance his Private Equity firm’s outcomes.[00:22] Mention of a successful investment initiated from Twitter.[00:25] Overview of Paul’s career and insights into his value creation strategies in Private Equity.[00:55] Paul provides a detailed background of his diverse experiences from military service to corporate roles and Private Equity.[01:24] Insights into applying lean system in a chemical plant and his recruitment by McKinsey.[02:21] Challenges of starting his own Private Equity firm during peak deal flow times and growing his team.[03:17] Common mistakes in Private Equity from deal processing to post-acquisition management.[04:45] Lessons from Partners Group and the importance of transformation governance post-acquisition.[06:04] Introduction to the Swaney Group Operating System, focusing on operational excellence.[07:30] Discussion on maintaining flexibility and strategic planning in business operations.[09:25] Paul’s effective use of social media for deal origination and brand building.[10:24] Emphasis on the initial 100-day observational period post-acquisition to understand business intricacies.[12:16] Typical patterns observed in founder-led businesses and strategic advice for potential acquisitions.[14:43] Importance of strategic operational assessments in Private Equity investments.[18:27] Paul discusses leveraging media for enhancing visibility and deal flow in Private Equity.[19:25] Success stories from using Twitter for business development and investment opportunities.[21:17] Closing thoughts on the integration of operational systems within Private Equity to enhance performance.To connect with Paul, you can visit his LinkedIn profile at Paul Swaney 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.
Proven Strategies for Achieving 7 Exits and Maximizing Business Value with Chris Jamroz
Jun 11 2024
Proven Strategies for Achieving 7 Exits and Maximizing Business Value with Chris Jamroz
Send us a Text Message.Welcome to The Private Equity Podcast! In this episode, host Alex Rawlings talks with Chris Jamroz, CEO of Roadrunner and a former executive at Ascent Global Logistics. Chris shares his extensive experience in logistics and Private Equity, discussing the transition from investment banking to executive leadership. He highlights the common errors in Private Equity, such as focusing too heavily on past performance instead of potential growth, and offers advice on effective leadership and strategic investment. Chris also provides insights into navigating the cyclical nature of the logistics industry and emphasizes the importance of operational expertise in achieving successful exits. This episode offers valuable perspectives on leadership and investment strategies in Private Equity.Breakdown: [00:00] Introduction to the podcast and guest Chris Jamroz, highlighting his commitment and unique approach to running a business.[00:16] Chris reflects on the critical factors contributing to his success over the past four years.[00:26] Chris offers advice on being a successful Private Equity-backed CEO.[00:46] Overview of Chris's career trajectory from investment banking to leadership roles in logistics, and the recent sale of Assent to HIG.[01:16] Start of the in-depth conversation with Chris, exploring his strategies and experiences across various roles.[01:46] Chris shares his approach as a "shareholder value unlocking specialist" and his operational playbook across the global supply chain.[02:12] Discussion on common mistakes in Private Equity and portfolio companies, with historical context and advice for modern practices.[03:58] Chris critiques the backward-looking focus of Private Equity firms and emphasizes the importance of future potential in investment decisions.[06:21] Chris elaborates on the need for a paradigm shift in Private Equity from past performance to future potentialities.[07:19] Inquiry into balancing the evaluation of past performance and future potential in Private Equity investments.[10:15] The significance of having a strong operations team in achieving successful outcomes in Private Equity ventures.[13:39] Mention of Grata, highlighting its role in enhancing proprietary deal flow with data-driven processes.[14:07] Chris provides insights into the logistics industry, discussing its trends and cyclicality.[18:27] Detailing the process and challenges faced during the recent sale of Assent Global Logistics to HIG.[22:18] Chris shares the personal and professional challenges he faced from taking office to navigating company exits.[26:47] Advice to Private Equity-backed chief executives on understanding and adapting to business realities.[33:07] Chris discusses his personal influences and reading habits, emphasizing the value of learning from both successes and failures.[39:13] Closing remarks and ways to contact Chris Jamroz for further insights and discussions.To connect with Chris, you can visit his LinkedIn profile at Chris Jamroz 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.
How To Due Diligence Your Most Important Asset in Private Equity With Dan Cremons
Jun 4 2024
How To Due Diligence Your Most Important Asset in Private Equity With Dan Cremons
Send us a Text Message.Welcome to The Private Equity Podcast! In this episode, host Alex Rawlings chats with Dan Cremons, Founder of Accelera Partners, and discusses the integration of human capital into Private Equity value creation, emphasizing proactive talent management. He shares insights on optimizing teams, strategic hiring, and the significance of due diligence on leadership before acquisition. Cremons stresses learning from hiring mistakes, recognizing biases, and evolving human capital practices. He advocates for nuanced talent assessment, including development and coaching. Resources influencing his approach to value creation and human capital in private equity are also shared.Breakdown:[00:00] Introduction to the concept of surgically approaching value creation.[00:18] Discussion on common hiring mistakes rooted in cognitive biases.[00:30] Introduction of Dan Cremons, founder of Accelera Partners, and an overview of his background in Private Equity.[00:59] The focus shifts to the importance of talent, hiring processes, due diligence, and the use of scorecards.[01:29] Dan Cremons shares his journey from finance to Private Equity and founding Accelera Partners.[02:56] Key mistake Private Equity firms make: a reactive approach to value creation.[04:22] The evolving importance of proactive value creation in a competitive Private Equity space.[05:21] Explanation of value creation and its fundamental meaning.[07:16] The critical role of people in driving value creation.[09:12] Introduction to people planning and its importance.[13:20] The ongoing process of aligning talent with the company's evolving needs[17:38] Discussion on the iterative effort of people planning throughout an investment.[20:02] Personal reflections on learning from hiring mistakes.[23:42] The evolution of human capital practices in Private Equity.[27:02] Importance of professional training in interviewing and hiring.[30:44] Due diligence on portfolio companies' executive teams pre-acquisition.[34:03] The broader scope of organizational due diligence, including leadership, talent, culture, and capabilities.[37:18] Dan Cremons shares his influences and recommended resources.You can connect with Dan Cremons on LinkedIn by visiting his LinkedIn Page - Link to Dan Cremons' LinkedInThank 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.
How Private Equity Firms Can Engage Owners & Founders to Secure the Deal with Chris Parisi
May 28 2024
How Private Equity Firms Can Engage Owners & Founders to Secure the Deal with Chris Parisi
Send us a Text Message.Welcome to The Private Equity Podcast! In this episode, host Alex Rawlings engages with Chris Parisi, a partner at Carl Marks Advisors, to discuss how Private Equity firms can more effectively engage with business owners and founders to secure successful deals. Parisi shares insights from his extensive experience in middle-market investment banking, focusing on the nuances of working with family-owned and privately held businesses. He emphasizes the importance of understanding and respecting the unique challenges these businesses face, such as customer concentration and the need for a cultural fit beyond mere financial valuation. Throughout the discussion, Parisi offers advice on building trust with business owners, the current and future M&A outlook, and how Private Equity firms can adapt their strategies to ensure mutual success in acquisitions.Breakdown: [00:00] Alex Rawlings introduces the Raw Selection Private Equity Podcast, welcoming Chris Parisi to discuss Private Equity strategies.[00:12] Chris traces his career from Ernst & Young to the Blackstone Group and his current role at Carl Marks Advisors.[01:12] Insight into Chris's career shifts and his significant move to Blackstone Group.[01:42] Chris discusses the evolution of fund sizes he has managed, from his early career to present multi-billion dollar funds.[02:12] He explains his academic and professional journey in middle market investment banking post-MBA from Northwestern.[02:42] Overview of Carl Marks Advisors' focus on middle market M&A and family-owned businesses.[03:09] Chris highlights challenges like customer concentration in family-owned business M&A.[04:04] Insights on how Private Equity firms may miss opportunities by strictly adhering to their investment criteria.[05:30] Emphasis on the importance of recognizing management team strengths in investment strategies.[05:59] Discussion on the 2024 middle market M&A outlook, considering interest rates and earnings visibility.[07:56] Predictions of increased deal flow activity in late 2024 and 2025 due to more predictable earnings.[09:50] How Private Equity firms can build acquisition confidence through predictable financial projections.[10:46] Factors influencing the shallow M&A market of 2023, including COVID-19 and supply chain issues.[14:18] Chris discusses the need for strategic adjustments in supply chain management post-pandemic.[17:15] Insights into why family business owners decide to sell, driven by personal motivations and life events.[18:14] What business owners seek in Private Equity firms beyond financials, like cultural fit and growth plans.[21:09] Effective engagement strategies for Private Equity firms with business owners during acquisitions.[25:30] Chris shares his personal influences and recommended readings.[28:27] Closing remarks and contact information for Chris Parisi for further M&A insights.To connect with Chris, you can visit his LinkedIn profile at Chris Parisi 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.
What The Best Private Equity Firms Are Doing To Attract Capital With Rocío Heres
May 21 2024
What The Best Private Equity Firms Are Doing To Attract Capital With Rocío Heres
Send us a Text Message.Welcome to The Private Equity Podcast! In this episode, host Alex Rawlings speaks with Rocío Heres, Partner at AltamarCam Partners and discusses the competitive nature of capital raising in Private Equity, stressing the value of talent development and succession planning for long-term success. She highlights the shift towards specialization in the industry and the importance of aligning with LP expectations in fundraising efforts. Rocío shares insights from her international career and addresses the balance between professional success and personal life, advocating for increased female representation in Private Equity. Contact details for further conversations with Rocío are also provided.Breakdown:[00:00] The competitive landscape for capital in Private Equity is discussed.[00:16] Rocío Heres, a partner at AltamarCam Partners, is introduced. The episode promises insights on strategies to attract more capital and women into Private Equity, career advice, and more.[01:14] Rocío shares her background, highlighting her role in Private Equity investments in North America.[02:07] The common mistake of Private Equity firms taking their people for granted is discussed, emphasizing the importance of fostering a family-like environment and career growth.[03:05] The necessity for clear succession planning and career path development within private equity firms to ensure long-term success.[04:29] Rocío talks about observing the evolution of Private Equity firms and the importance of stable, process-oriented firms that focus on repeatable and understandable processes.[07:21] The challenges and opportunities in a competitive capital market are discussed. Rocío emphasizes the importance of sticking to core investment strategies and learning from various Private Equity firms.[10:34] The trend towards specialization within Private Equity firms is noted, including sector-focused and generalist firms developing expertise in specific areas.[13:41] Rocío comments on the changing fundraising landscape and the increasing effort by Private Equity firms to understand LP needs.[17:21] The benefits of having an international career and Rocío's experiences working in different countries are shared.[20:07] Cultural differences and the welcoming nature of the North American market are discussed.[22:29] Rocío talks about her influences, focusing on staying updated with market trends and developments, especially in the secondary market.[24:24] Addressing the gender gap in Private Equity, Rocío emphasizes the possibility of balancing a successful career and family life within the industry.[28:05] Contact information for Rocío is provided, encouraging listeners to reach out for advice or discussion.You can connect with Rocio Heres on LinkedIn by visiting her LinkedIn Page here.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.
Creating the Gold Standard in Hiring and People Development For Your Private Equity Firm with Sam Adams
May 14 2024
Creating the Gold Standard in Hiring and People Development For Your Private Equity Firm with Sam Adams
Send us a Text Message.Welcome to The Private Equity Podcast! In this episode, we are joined by Sam Adams, Managing Director of Talent at Berkshire Partners. Sam shares invaluable insights into the importance of talent development and hiring beyond the conventional Private Equity norms. Discover Berkshire Partners' innovative approaches to nurturing talent, their unique selection processes, and the impact these strategies have on their overall success. Sam also discusses the cultural elements that support growth within a Private Equity firm and the unconventional paths to hiring that have proven effective. Stay tuned as we dive deep into how Berkshire Partners sets the gold standard in people development.Breakdown:[00:00] Introduction to Sam Adams and the focus of the podcast on advanced talent management practices in Private Equity.[00:28] Overview of Berkshire Partners' innovative approaches to talent development and hiring.[01:57] Sam shares her unique journey from advertising to becoming the head of talent at Berkshire Partners.[04:44] Discussion on common mistakes Private Equity firms make in talent assessment and how Berkshire addresses these challenges.[07:04] In-depth look at how Berkshire develops its talents, including the training and mentorship programs available.[10:48] Sam discusses the structured mentorship and the robust performance review processes at Berkshire.[14:08] Influence of firm culture on talent development and the integration of functional experts within deal teams.[18:00] Details on the managing director development process and feedback mechanisms used at Berkshire.[22:12] Sam emphasizes the importance of getting the hiring process right to ensure smooth operations and development within the firm.[28:49] Recent changes and improvements in Berkshire's selection process based on lessons learned.[33:00] Further discussion on the non-predictive nature of traditional educational scores in hiring.[38:16] Explanation of Berkshire’s comprehensive approach to building internal infrastructure to support its operations and investment strategies.[42:00] Exploration of the firm's cultural emphasis on talent and the historical roots of this focus.[45:22] Closing remarks and thanks to Sam for her insights.To connect with Sam, you can visit her LinkedIn profile here.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.
The Tools To Increase Your Exit Multiples - The Playbook Series With Carl Cox
May 7 2024
The Tools To Increase Your Exit Multiples - The Playbook Series With Carl Cox
Send us a Text Message.Welcome to The Private Equity Podcast! This is the first episode in The Playbook Series. In this episode, host Alex Rawlings speaks with Carl Cox, the CEO of 40 Strategy. Carl shares insights on increasing exit multiples for private equity investments. Highlighting the gap in data-driven strategy, Cox introduces a software tool for strategic planning that focuses on business improvements to positively impact exit multiples. He emphasizes the importance of reducing business risks and enhancing sales processes as key strategies. The discussion also explores the role of leading indicators in driving growth. Breakdown:[00:00] Carl Cox emphasizes the irony of businesses claiming to be data-driven except in strategy and discusses the importance of focusing on strategy to enhance exit multiples.[01:02] Introduction to the Playbook series podcast with Carl Cox, focusing on actionable insights for Private Equity firms and their portfolio companies.[01:52] Carl Cox shares insights on leading strategy over business operations to maximize EBITDA and increase exit multiples by focusing on business rather than in-business activities.[02:48] Examples of strategies to reduce business risks and increase exit multiples, including diversifying customer concentration and building a capable senior team.[04:16] Introduction of a new software tool that Carl Cox describes as the "holy grail" for strategic planning, offering the ability to prioritize and monetize areas of improvement to impact exit multiples directly.[07:06] Discussion on the challenges of choosing what business aspects to work on and how the new software can focus efforts on what will move the needle the most.[10:19] The conversation shifts towards the importance of reducing business risks and improving sales management processes as critical factors in increasing a company's multiple.[12:38] Carl Cox outlines common issues in portfolio companies, such as poor sales management, and suggests focusing on leading indicators to drive significant improvements.[15:05] The concept of leading indicators is explored further with an example from a school district, illustrating how identifying and tracking the right metrics can lead to substantial business growth.[18:19] Discussion on the negotiation process in Private Equity deals and how identifying and addressing risk areas can lead to better exit multiples.[20:28] Carl Cox talks about the need for businesses to have a clear focus on key areas that can increase multiples, emphasizing the importance of sales management and risk reduction.[23:23] The benefits of implementing strategies focused on key leading indicators and ensuring a customer-centric approach to business improvements.[27:50] Carl Cox offers listeners a special opportunity to receive a free signed copy of his book for US-based listeners and mentions where others can find the book online.[32:03] Closing remarks, thanking Carl Cox for his insights into improving exit multiples and the role of strategic planning in value creation.You can connect with Carl Cox on LinkedIn by visiting his LinkedIn Page.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.
The Opportunity in Micro Cap Investing And The Importance of Playbooks With Javar Avery
Apr 30 2024
The Opportunity in Micro Cap Investing And The Importance of Playbooks With Javar Avery
Send us a Text Message.Welcome to The Private Equity Podcast! In this episode, host Alex Rawlings talks with Javar Avery, President at Sun and Moon Capital. They delve into micro-cap investing's potential and the essential role of operational playbooks. Avery discusses the rationale behind focusing on smaller, often overlooked companies, detailing the importance of detailed due diligence and strategic deal-making. He highlights overcoming key risks, like key man risk, and maintaining owner engagement for success. The episode also touches on Avery's influences and reading recommendations, offering insights into effective strategies for micro-cap investment growth.Breakdown:[00:00] Javar Avery discusses the potential of investing in micro-cap companies and wonders why larger firms aren't more active in this space.[00:15] The focus is on market competition, management, and team evaluation, introducing governance playbooks for strategic guidance.[00:37] Introduction to Javar Avery and Sun and Moon Capital's focus on microcap investing, targeting companies with $1 million to $2 million of EBITDA.[01:07] Exploring the opportunities and challenges in microcap investing, and Avery's emphasis on the use of playbooks for business implementation.[01:37] Avery provides a brief overview of his background, his role at Sun and Moon Capital, and his personal life.[02:59] Discussion on common mistakes in Private Equity and the necessity for having a clear rationale and strategy for deals.[03:26] Avery shares an experience with a deal that lacked rationale and emphasizes the importance of having a structured due diligence process.[04:47] The significance of playbooks in overcoming integration challenges and maintaining structured operations post-acquisition.[06:35] Avery discusses his interest in micro-cap investing, influenced by recognizing the potential value and challenges in smaller businesses.[08:30] Reasons behind choosing micro-cap investing include less competition, potential for significant value addition, and the unique challenges of smaller businesses.[12:46] Details on Sun and Moon Capital's due diligence process, tailored to their investment rationale and focused on commercial, financial, and management evaluations.[15:12] The ECE strategy used by Sun and Moon Capital to provide operational support without running the companies directly.[17:06] Key risk factors in micro-cap investing, such as key man risk and concentration risks, and strategies to mitigate these risks including retaining skin in the game for owners.[19:34] Avery shares his reading interests, emphasizing autobiographies, business insights from books like "Moneyball," and his passion for learning outside his expertise.[23:32] Recommendations for books and influences, highlighting the importance of different perspectives and personal development.[28:14] Contact information for Javar Avery and an invitation for listeners interested in learning more or seeking investment opportunities to reach out.[29:10] Closing remarks, thanking Javar Avery for his insights into micro-cap investing and the critical role of operational playbooks.You can connect with Javar Avery on LinkedIn by visiting his LinkedIn Page.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 Al
Refining Your Investment Focus for Enhanced Deal Flow and Climate Crisis Mitigation with James Mackey
Apr 23 2024
Refining Your Investment Focus for Enhanced Deal Flow and Climate Crisis Mitigation with James Mackey
Send us a Text Message.Welcome to The Private Equity Podcast! In this episode, host Alex Rawlings talks with James Mackey, the Managing Director of Climate Investment. They discuss the advantages of a focused investment strategy for boosting deal flow and addressing the climate crisis. James highlights the importance of precise investment criteria in attracting impactful projects, especially in hard-to-abate sectors like heavy industry and transportation. He stresses the need for realistic assessments and data-driven decisions to scale investments effectively. The conversation offers key insights for investors aiming to contribute significantly to environmental sustainability through disciplined investment approaches.Breakdown: [00:00] James Mackey discusses deal flow and the selective nature of investments under Climate Investment's focused mandate.[00:17] Highlighting how specific criteria and investment goals can increase deal flow, contrary to the belief it might limit opportunities.[00:43] Shifting to the role of private equity and venture capital in addressing climate change through strategic investments in critical sectors.[01:13] Introduction to James Mackey and his role at Climate Investment[02:12] Mackey outlines his background and Climate Investment's mission for strategic decarbonization investments.[03:07] Detailing Climate Investment's focus on sectors with high carbon footprints and the challenges in attracting necessary capital.[04:07] Emphasizing the scale of impact and the targeted carbon reduction goals of their investments.[05:05] Discussing the Oil and Gas Climate Initiative's evolution and its broader mission beyond the oil and gas sector.[06:02] Exploring the engagement model with LPs and the success of pilot programs and commercial orders for portfolio companies.[06:54] Addressing common mistakes in underestimating execution challenges and the importance of realistic goals.[08:19] The necessity of data-driven approaches and asking critical questions to evaluate investment potential.[09:18] Highlighting the importance of being data-driven in understanding the potential for disruption.[12:08] The challenges in finding investments with significant carbon impact and the stringent selection criteria.[14:33] Example of evaluating a plastics recycling business and its difficulty in meeting carbon impact requirements.[16:28] Discussing Climate Investment's strict investment model, driven by clear focus and robust deal flow.[19:24] On the current capital flow towards climate improvement and the need for more targeted investment in neglected sectors.[22:20] Highlighting the mismatch between capital flow and emission sources, stressing the need for catalytic capital in emerging sectors.[25:13] Discussing investment horizons, compensation models, and incentives for directing capital towards impactful solutions.[26:11] Mackey shares his approach to staying informed through diverse news sources and listening to inspirational podcasts.[28:04] Providing contact information for James Mackey for investment proposals or inquiries.You can connect with James Mackey on LinkedIn by visiting his LinkedIn Page.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
Investing In Real Assets And The Electric Transportation Revolution With Reuben Munger
Apr 16 2024
Investing In Real Assets And The Electric Transportation Revolution With Reuben Munger
Send us a Text Message.Welcome to The Private Equity Podcast! In this episode, host Alex Rawlings chats with Reuben Munger of Vision Ridge Partners about the intersection of Private Equity and sustainable investments, focusing on the electric transportation revolution. Munger, a pioneer in sustainable real assets, shares insights into transitioning from hedge funds to Private Equity with a sustainability lens, and the impact of electric vehicles and infrastructure on the environment and investment returns. Dive into this engaging discussion on how Vision Ridge Partners is leading the charge in sustainable investments, shaping a greener future through strategic, impactful projects.Breakdown: [00:00] Definition and focus on Vision Ridge Partners’ approach to investing in sustainable real assets.[00:15] Discussion on building and owning charging systems, operating electric fleets, and the firm's role in sustainable investing.[00:43] Insight into the focus on vehicle electrification, niche specialization in private equity, and the broad appeal of narrowing focus.[01:09] Munger shares his journey from the hedge fund industry to private equity focusing on sustainability, managing over $3 billion across various sectors.[01:39] Munger discusses the motivation behind the shift and the value of active ownership and sector-specific knowledge in private equity.[03:02] Discussion on the need for infrastructure and real assets to become more sustainable, focusing on efficiency and lower resource intensity.[04:29] Vision Ridge’s approach to investing in assets with a sustainable edge and the transition from "gray to green."[06:40] How sustainability shapes Vision Ridge's investment strategy and decision-making process.[07:39] Differences in sustainability mindsets between Europe and North America and how it affects investment strategies.[10:05] Discussing unexpected opportunities and challenges in portfolio companies, emphasizing agility and innovation.[11:55] How Vision Ridge’s focused approach has benefited the firm in terms of differentiation, expertise, and deal flow.[16:18] Discussion on electrification in the transportation sector, including commercial vehicles and the impact on sustainability.[21:38] Alex Rawlings mentions Raw Selection's role in private equity executive search and salary surveys.[22:08] Insights into the transition towards electric ferries and the challenges of electrifying longer maritime routes.[23:59] Exploration of competition and collaboration in the electrification of commercial vehicles.[25:55] Munger shares his recommendations for podcasts, books, and resources that inspire him in the field of sustainable investing.[28:51] Closing remarks and how to contact Reuben Munger for further discussion on sustainable real assets and electrification.You can connect with Reuben Munger on LinkedIn by visiting his LinkedIn Page.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.
What Europe and the US can learn from each other on ESG with Gwen Colin
Apr 9 2024
What Europe and the US can learn from each other on ESG with Gwen Colin
Send us a Text Message.Welcome to The Private Equity Podcast! In this episode, we delve into the world of ESG in infrastructure investment with Gwen Colin, ESG Director at Vauban Infrastructure Partners. Gwen shares insights on the differences between ESG practices in the US and Europe, the challenges of implementing ESG strategies, and the impact of long-term investment on sustainable growth. Discover actionable ESG strategies, learn from Gwen's journey, and explore how to integrate sustainability into your investment approach. Join us for a deep dive into making ESG a pivotal part of your business strategy.Breakdown:[00:00] Introduction to Gwen Colin and the focus on ESG within infrastructure across the US and Europe.[01:04] Gwen shares her background, emphasizing her shift from legal advisor to leading ESG initiatives.[02:04] Discussion on common ESG implementation mistakes and the importance of a long-term perspective in asset management.[04:24] Insights into the governance differences between the US and Europe in ESG practices.[08:39] The rationale behind Vauban's long-term investment strategy and its impact on ESG.[14:24] Successful ESG strategies in portfolio companies, focusing on decarbonization and community impact.[19:58] Gwen's personal influences, recommending "What We Owe Each Other" by Minouche Shafik for broader learning.[22:21] Closing thoughts on the importance of ESG in infrastructure and a thank you to listeners for their continued support.You can connect with Gwen Colin on LinkedIn by visiting her LinkedIn Page.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.
How to drive portfolio EBITDA via ESG with General Atlantic's Global Head, Cornelia Gomez
Apr 2 2024
How to drive portfolio EBITDA via ESG with General Atlantic's Global Head, Cornelia Gomez
Send us a Text Message.Welcome to The Private Equity Podcast! In this episode we dive into the world of ESG with Cornelia Gomez, Global Head of ESG and Sustainability at General Atlantic. Cornelia brings a wealth of experience, sharing how to seamlessly integrate ESG into Private Equity, enhance business growth, and navigate sustainability challenges. Discover actionable ESG strategies that drive value and prepare companies for a sustainable future.  Breakdown: [00:00] Introduction to Cornelia Gomez's background and role at General Atlantic.[00:33] The conversation focuses on the unique challenges of implementing ESG strategies in growth equity firms compared to later-stage companies, emphasizing the importance of tailored approaches for hyper-growth companies.[01:30] Cornelia shares her personal and professional background, underscoring her dedication to leveraging business as a force for addressing global challenges such as modern slavery, rising inequalities, and climate change.[02:25] Insights into Cornelia's career journey, from working on supply chain sustainability in Asia to leading ESG initiatives in the Private Equity sector.[03:55] Discussion on common mistakes made by Private Equity firms and portfolio companies in ESG, particularly the neglect of governance aspects, and strategies to enhance governance practices.[05:22] Cornelia addresses the need for comprehensive governance in ESG initiatives, including board governance quality and oversight on sustainability risks and opportunities.[06:42] Highlighting the gap between executive teams and boards in terms of ESG awareness and training, suggesting a need for more direct communication and education on ESG issues at the board level.[09:52] The conversation shifts to strategies for effectively communicating ESG principles within companies, emphasizing the importance of aligning ESG discussions with executive interests and operational realities.[11:33] Cornelia discusses her learning curve at General Atlantic, the importance of scalable ESG initiatives, and the focus on data-driven approaches to engage portfolio companies in meaningful ESG actions.[18:45] Insights into how General Atlantic integrates ESG considerations throughout the investment lifecycle, from due diligence to exit strategies.[21:22] The strategy of using ESG playbooks and targeted engagement based on company clusters to address specific ESG challenges and opportunities within the portfolio.[24:08] Cornelia shares examples of successful ESG engagements and the importance of coordinated efforts among PE firms, portfolio companies, and co-investors to achieve sustainability goals.[30:45] Discussion on the concept of "gold standard" in ESG implementation, highlighting the need for actionable plans, robust governance, and continuous monitoring of ESG initiatives.[38:02] Cornelia offers personal recommendations for podcasts, music, and activities that inspire her, along with the value she finds in mentoring and interacting with the next generation of leaders.[41:54] The episode concludes with advice on reaching out to Cornelia for further discussion on ESG and other topics.You can connect with Cornelia Gomez on LinkedIn by visiting her LinkedIn Page.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
Lessons From a Founder That All Private Equity and Portfolio Executives Need to Hear With Allan Draper
Mar 26 2024
Lessons From a Founder That All Private Equity and Portfolio Executives Need to Hear With Allan Draper
Send us a Text Message.Welcome to The Private Equity Podcast! This episode provides valuable insights into the mindset and strategies of a successful entrepreneur who has founded and managed multiple businesses. Allan Draper's experiences offer lessons on leadership, the importance of delegation, and the value of aligning with passionate individuals, all crucial for Private Equity investors and portfolio executives aiming for growth and success.Breakdown: [00:00] Introduction to Allan Draper's business portfolio, highlighting his principle of delegation and efficiency.[00:28] Alex Rawlings explains the value Allan brings to the podcast, focusing on insights for PE investors and C-suite executives from a founder outside the PE space.[01:52] Allan provides an overview of his entrepreneurial journey, emphasizing his role in assisting others to build their businesses and wealth.[02:50 Discussion on the challenges and motivations behind starting and running multiple businesses, particularly the love for the startup phase.[03:50] Allan shares his strategy for business growth, focusing on finding passionate people to run the businesses, enabling him to continue creating new ventures.[05:19] The importance of hiring the right people and the difficulty in letting go of control.[06:17] Allan advocates for the principle that 80% done by someone else is better than 100% done by oneself.[08:12] Challenges in hiring executives and Allan's approach to identifying leaders who share his vision and passion.[10:30] Advice for executives on leadership, highlighting transparency, vulnerability, and the importance of taking care of employees.[11:27] Allan's insights on igniting passion and drive within an organization, emphasizing accountability, autonomy, and recognition.[14:18] Allan recounts the journey of scaling Proof Pest Control, from its challenges to achieving significant growth.[17:12] Discussion on the role of acquisitions in scaling the business and the strategic choice between organic growth and acquisitions.[18:39] Building a strong brand and the importance of consistency and faith in business success.[20:34] Allan addresses the biggest challenges faced, including business partnerships and hiring the right personnel.[22:59] Allan's perspective on motivations at work.[27:20] Advice for chief executives on how to exude passion and engage like a business founder.[29:48] Allan shares insights on engaging with PE firms and the importance of personalized and informed approaches.[32:13] The effective strategy forPE firms when approaching potential acquisitions, focusing on understanding and aligning with the seller's vision.[35:58] The significance of ensuring continuity of service and customer care in acquisitions.[37:26] Allan recommends influential books and resources for entrepreneurs and business leaders, including his own content platforms.[39:22] Closing remarks, with Allan extending an offer for free consultations with entrepreneurs and expressing his passion for business mentorship.You can connect with Allan Draper on LinkedIn by visiting his LinkedIn Page: Allan Draper LinkedInThank 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
Mastering investor discipline: Insights on avoiding key mistakes with Maria Pacella
Mar 19 2024
Mastering investor discipline: Insights on avoiding key mistakes with Maria Pacella
Send us a Text Message.Welcome to The Private Equity Podcast! In this episode, Alex Rawlings has an insightful conversation with Maria Pacella, Managing Partner of Pender Ventures. Maria tells us about the critical mistakes made by investors in Private Equity and Venture Capital, the essence of investor discipline, and valuable learnings from her extensive experience in the investment world.Breakdown: [00:00] Introduction to the episode's theme on investor discipline and key mistakes made by investors.[00:51] Maria Pacella's introduction and background, detailing her journey from growing up on Vancouver Island to becoming a managing partner at Pender Ventures.[01:47] Maria discusses her career path from investment banking to venture capital, emphasizing her focus on technology businesses and her role in founding Pender Ventures.[02:45] Discussion on common mistakes by private equity firms and venture capitals, focusing on the lack of discipline in investment decisions.[03:41] Maria elaborates on how lack of discipline can impact fund and portfolio returns, including getting caught up in tech trends and issues with portfolio construction.[04:41] Insight into maintaining discipline in investment decisions, including starting with a strong investment thesis and framework.[05:40] The importance of a team with diverse backgrounds for challenging decisions and maintaining discipline.[06:34] Mistakes observed on the portfolio side, particularly poor capital allocation during the high fundraising period of 2020-2021.[07:23] The consequences of poor capital allocation, including high expectations for business growth and the current challenges faced by startups.[08:22] Mention of Grata partnership and its role in improving proprietary deal flow and data access.[09:22] Differences in investment evaluation between private equity and venture capital, focusing on unit economics and strategic multiples.[10:17] Maria shares insights on identifying revolutionary technologies and markets, and the importance of future-looking scenarios in investment decisions.[11:46] Attributes of successful portfolios, including founders' unfair knowledge and strategic capital allocation.[13:16] Maria reflects on her 23 years of investing experience, highlighting lessons learned and the importance of looking for outliers.[15:40] Discussion on humility, open-mindedness, and the necessity to challenge conventional patterns to find winning investments.[17:07] Maria talks about the discipline required in investment, different backgrounds of successful VCs, and the significance of understanding tech trends.[19:30] Attributes that make a good investor, including discipline, judgment of character, and humility.[21:53] Balancing involvement and support in portfolio companies, emphasizing the role of individual relationships and guidance.[24:15] Maria's influences and recommendations, including the Buffett Munger School of Investing and listening to various podcasts.[26:03] Closing remarks, thanking Maria for her insights, and a reminder to listeners to subscribe to the podcast.To connect with Maria Pacella, you can visit her LinkedIn page.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.
Overcoming adversity to become a serial entrepreneur and successful investor, with Gregory Shepard.
Mar 12 2024
Overcoming adversity to become a serial entrepreneur and successful investor, with Gregory Shepard.
Send us a Text Message.Welcome to The Private Equity Podcast! In this insightful episode, host Alex Rawlings engages with Gregory Shepard, a distinguished entrepreneur, co-founder of BOSS Capital Partners, and a Forbes Books author. Shepard shares his remarkable journey from humble beginnings, growing up in a tent and facing challenges due to his neuro divergences, to becoming a serial entrepreneur with 14 liquidity events and multiple awards under his belt.Breakdown:[00:03] Gregory Shepard's Background: Gregory opens up about his challenging upbringing, living in a tent while building their house, and dealing with autism, dyslexia, synesthesia, and savant syndrome. Despite these obstacles, he went on to build and sell 12 companies, winning four Private Equity awards for transactions between $250 million and a billion.[02:05] Entrepreneurial Journey and Achievements: Gregory discusses his role in significant transactions, including the consolidation of eBay enterprise companies, and his efforts to promote diversity in politics. He also highlights his work on Startup Science, a platform based on his research on why start-ups fail, and his upcoming book, "The Startup Lifecycle."[03:32] Investment Philosophy and Private Equity Insights: Gregory shares his unique perspective on investment, emphasizing the importance of understanding both the founder's and the investor's viewpoints. He discusses common mistakes he sees in Private Equity, such as overvaluation and the failure to focus on real business fundamentals.[09:47] BOSS Operating Support System: Shepard explains how his proprietary system and the StartupScience.io platform help educate founders and investors, improving the success rate of start-ups and investment returns.[19:43] Dealing with Neurodivergence: Shepard speaks candidly about the challenges and advantages of his neurodivergence. He views his condition not as a hindrance but as a set of superpowers that have enabled him to see the world differently and achieve success.[27:25] Altruistic Capitalism: Shepard introduces the concept of using capitalism for altruistic outcomes, such as environmental sustainability and inclusion, highlighting the potential for significant impact and profit.[36:18] Closing: Contact information for Gregory and an invitation to engage further with the discussed topics.To connect with Gregory Shepard, you can visit his LinkedIn Page: Gregory Shepard on 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.
The last podcast you ever need to listen to on the benefit of ESG with Jennifer Wilson
Mar 5 2024
The last podcast you ever need to listen to on the benefit of ESG with Jennifer Wilson
Send us a Text Message.Welcome to The Private Equity Podcast! In this episode, we discuss ESG strategies with Jennifer Wilson, CEO of Re:Co. We delve into how ESG transcends compliance, becoming a catalyst for innovation, risk management, and increased profitability. Our conversation addresses the critical issue of greenwashing and regulatory scrutiny, underscoring the importance of aligning company values with genuine ESG initiatives.We explore the integral role of ESG in the Private Equity cycle, showcasing success stories where ESG integration has led to operational excellence and customer satisfaction. This episode is not just a talk but a practical guide for embedding sustainable practices into the fabric of business, ensuring not only adherence to ethical standards but also securing a competitive edge in the evolving market landscape. Join us for a blueprint for successful, sustainable investing. Breakdown: [00:03] ESG Integration: Jennifer Wilson of Re:Co outlines how ESG contributes to value creation through five key areas: solving global problems, generating profit, reducing risks, lowering capital costs, and boosting employee engagement.[00:31] ESG Success Factors: Jennifer highlights the significance of fully integrating ESG across portfolio companies without divulging specifics.[00:46] Background: Introduction to Jennifer Wilson, her journey before Re:Co, including her roles in finance, strategy, and sustainability.[01:52] Common ESG Mistakes: The major pitfall of viewing ESG merely as a compliance checklist and the importance of strategic integration.[03:38] Value Creation: Discussion on embedding ESG into the core of value creation processes.[08:25] ESG Evolution: Tracing the shift of ESG from an ancillary concern to a central strategy in private equity, particularly in Europe.[12:12] ESG Metrics Challenges: Addressing the complexity of standardizing ESG metrics and the shift towards more mature sustainability reporting.[17:04] Profit vs. Sustainability: Strategies for balancing profitability with ESG objectives.[18:31] Implementing ESG Strategies: Starting points for firms aiming to introduce or enhance ESG strategies.[22:14] ESG as a Differentiator: How ESG distinguishes firms in the competitive landscape.[30:51] Success Stories: Sharing impactful ESG initiatives and their benefits without specific details.[36:37] Data-Driven Processes: Mention of the partnership with Grata highlighting the role of data in private equity.[38:15] ESG's Future: Predictions on ESG's growing role and its potential for firms committed to sustainable strategies.[50:51] Learning Resources: Recommendations for deepening ESG knowledge, including the Financial Times' Moral Money newsletter and book compilations from The Future In Sound podcast.[53:34] Closing: Contact information for Jennifer and an invitation to engage further with the discussed topics.To connect with Jennifer Wilson, you can visit her LinkedIn Page.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.
Boosting Employee Productivity and Exploring the ESOP Model in Private Equity with Daniel Goldstein
Feb 27 2024
Boosting Employee Productivity and Exploring the ESOP Model in Private Equity with Daniel Goldstein
Send us a Text Message.Welcome to The Private Equity Podcast! This episode dives into the transformative world of employee ownership, focusing on the Employee Stock Ownership Plan and how it can drive employee engagement and productivity. Guest Daniel Goldstein, former CEO of Folience and an advocate for employee ownership, shares insights into integrating ESOP within a private equity model, fostering workplace culture, and exploring partial ownership benefits.Breakdown:[00:00] Introduction: Welcome to the podcast and introduction of Daniel Goldstein.[00:21] Exploring Employee Ownership: Discussion on the benefits of workplace culture improvement and the contrast between U.S. ESOPs and UK EOTs.[01:13] Daniel Goldstein's Background: Overview of Goldstein's career and his approach to employee ownership within the Private Equity model.[02:08] Employee Ownership as a Continuum: Insights into the relationship between family-owned businesses, employee-owned businesses, and Private Equity.[03:33] Advantages of Employee Ownership: Benefits of aligning employee interests with company success.[04:32] Folience's Unique Model: How Folience operates with a fully employee-owned Private Equity model.[05:55] Growth and Diversification Strategy: The strategy behind acquiring businesses and integrating them into the Folience portfolio.[07:50] Tax Efficiency and Ownership Structures: The tax benefits and strategic advantages of employee ownership models.[08:49] Decision Making in an ESOP: Governance and decision-making within an ESOP structure.[11:10] Shared Ownership and Transparency: The role of shared ownership in fostering workplace transparency and collaboration.[13:29] Employee Engagement Without Full Ownership: Strategies to improve engagement without full employee ownership.[14:27] Liquidity Events and Portfolio Company Sales: Effects on employee owners during liquidity events and sales.[18:18] Implementing Partial Employee Ownership: The potential benefits of partial employee ownership.[24:28] The Power of Incentivization: How financial incentives can drive employee productivity.[32:29] The Silver Tsunami: Challenges and opportunities in the generational transfer of wealth and business ownership.[37:16] Contacting Daniel Goldstein: Information for reaching out to Daniel for more discussion on employee ownership.[38:59] Episode Conclusion: Summary and thanks to Daniel Goldstein, with a reminder on how to reach Raw Selection for hiring support.To connect with Daniel Goldstein, you can visit his LinkedIn profile.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.
Structured Equity Investing and Strategies for Value Creation with Josh Koplewicz
Feb 20 2024
Structured Equity Investing and Strategies for Value Creation with Josh Koplewicz
Send us a Text Message.Introducing Josh KoplewiczJosh Koplewicz is the founder and managing partner at Thayer Street Partners, a boutique private equity firm providing flexible growth capital to recurring revenue businesses in the financial services, real estate services, and business services sectors. Before founding Thayer Street, Josh was an investor at Goldman Sachs, where he invested across the capital structure in financial services and business services assets and companies. What You Will LearnPartnering with portfolio companiesStructured equity investmentsStrategic investing and management Breakdown:[00:00] - Introduction to the podcast and today's topic.[00:45] - Alex Rawlings introduces the guest, Josh Koplewicz, and outlines his background in finance, particularly his experience with Goldman Sachs and in the Private Equity sector.[02:10] - Josh shares his journey from joining Goldman Sachs to venturing into Private Equity, emphasizing the skills and insights he gained.[04:30] - Discussion on the transition from investment banking to Private Equity, including the challenges and opportunities Josh encountered.[07:15] - Josh delves into the nuances of investing in the services sector, highlighting key considerations for Private Equity investments.[10:00] - The role of market analysis and due diligence in making successful investments, with Josh providing examples from his experience.[12:20] - Strategies for value creation in Private Equity investments, according to Josh's approach and philosophy.[15:40] - The impact of technology and innovation on the services sector and how it influences Private Equity investment strategies.[18:25] - Josh offers advice for individuals looking to enter the Private Equity space, including essential skills and mindset.[20:30] - Closing thoughts from Josh on the future of Private Equity investments in the services sector and potential growth areas.[22:45] - Alex thanks Josh for his insights and wraps up the podcast, inviting listeners to engage with further discussions on social media and podcast platforms.Partnering With Portfolio Management TeamsHow do you partner with portfolio management teams? According to Josh, Partnering with portfolio management teams is not a one-size-fits-all approach. For them, they do a range of engagements with a portfolio company based on the level of ownership. If a company is a minority investor, they are helpful on both a periodic and situational basis. In many cases, they provide standard advice and stewardship and get involved in special projects around business development initiatives, key hires in finance and data analytics, strategic acquisitions, and financing.  Josh shares that in cases where a company has more material ownership, is engaged in a build-up or roll-up strategy, requires many smaller assets, or has customers who are subscribers, their teams are very hands-on. They partner with the company to engage in diligence and structuring and, in some cases, execute strategic MNA on their behalf. The partnership is entirely based on the needs and objectives of the company.How to Contact JoshJosh on LinkedInThayerstreet.com​​Thank you for tuning in!To get the newest Private Equity episodes, you can subscribe on iTunes or
How Private Equity can use AI and the how behind digital transformation with Glenn Hopper
Feb 13 2024
How Private Equity can use AI and the how behind digital transformation with Glenn Hopper
Send us a Text Message.In this episode of The Private Equity Podcast, host Alex Rawlings, treats listeners to a deep dive into the realm of artificial intelligence within the Private Equity sphere. Joining Alex as this week's guest is Glenn Hopper, an expert in digital transformation with extensive experience in deploying AI solutions in Private Equity contexts.Throughout the episode, Alex and Glenn explore how AI is reshaping the landscape of Private Equity, offering new avenues for growth, decision-making, and operational efficiency. Glenn shares his insights into the practical applications of AI, emphasizing the importance of understanding the intricacies behind digital transformation.From leveraging AI algorithms to analyze vast datasets for investment opportunities to optimizing portfolio performance through predictive analytics, Glenn sheds light on the tangible benefits that AI brings to Private Equity firms. He also discusses the challenges and considerations involved in integrating AI technologies into existing workflows, offering valuable advice for firms looking to embark on their digital transformation journey.Listeners gain a comprehensive understanding of how AI is revolutionizing the Private Equity industry, empowering firms to make more informed decisions, mitigate risks, and unlock new sources of value. Whether it's enhancing due diligence processes or identifying emerging market trends, Glenn demonstrates how AI can drive sustainable growth and competitive advantage in today's fast-paced environment.Breakdown:[00:00] - Introduction to the podcast and today's innovative topic, focusing on the intersection of Private Equity, AI, and digital transformation.[00:45] - Alex Rawlings introduces guest Glenn Hopper, detailing his expertise in finance, technology, and his significant contributions to digital transformation within the Private Equity sector.[02:00] - Glenn shares his journey into the world of finance and technology, highlighting the pivotal moments and the expertise he's developed in AI and digital transformation.[04:30] - Exploring the integration of AI in Private Equity, Glenn discusses the initial challenges and the transformative opportunities that AI presents for the industry.[07:15] - Glenn delves into specific examples of digital transformation in Private Equity, emphasizing the importance and impact of AI in analyzing and making investment decisions.[10:00] - The role of data analytics and AI in due diligence processes, with Glenn providing insights from his extensive experience.[12:20] - Strategies for leveraging technology to create value in Private Equity investments, through Glenn's analytical perspective and innovative approaches.[15:40] - Discussion on the broader implications of technological advancements on the services sector and their significance for Private Equity investors.[18:25] - Glenn offers practical advice for professionals aiming to integrate AI and digital transformation strategies within their investment practices.[20:30] - Glenn's forward-looking views on the evolution of AI in Private Equity and the emerging trends that investors should be aware of.[22:45] - Alex Rawlings concludes the podcast by thanking Glenn Hopper for his invaluable insights and encourages listeners to engage with the topic on social media and various podcast platforms.To connect with Glenn Hopper and delve deeper into his expertise in digital transformation and AI in Private Equity, you can visit his LinkedIn profile: Glenn Hopper on LinkedIn