Red Top Capital LLC facilitates private equity investments
Red Top is primarily focused on management buyouts of established manufacturing businesses. In these scenarios Red Top Capital LLC investors obtain a controlling interest. Members of Red Top Capital LLC may also invest in private equity offerings of high technology startups or private equity offerings in which the company has established a record of achievement and is in need of capital in order to facilitate accelerated growth.
A different approach than other private equity groups
- Red Top Capital LLC treats the management of the company to be acquired as true investors/partners and insist that they participate in a substantial equity position, i.e., up to 50%. If management will not invest in the transaction and the company, Red Top Capital LLC will not pursue the acquisition, regardless of its attractiveness.
- Red Top Capital LLC’s focus is on middle market manufacturing companies with sales of $5 million to $50 million earning at least $500,000 to $5,000,000. While our buyout concentration is on companies with acquisition valuations of $5 million to $30 million, Red Top Capital LLC will consider transactions outside these parameters.
Direct investor participation and active management partnerships: our keys to success
- Red Top Capital LLC does not actually make the investment: Individuals associated with Red Top Capital LLC will make the equity investments with their own personal capital, rather than with funds from a limited partnership of institutional investors.
- Red Top is considered a facilitator rather than an investor. Red Top Capital LLC is not constrained by the requirements of structured institutional investors, such as fee requirements, investment return parameters and exit strategy requirements.
- We treat management as true partners and invest in solid businesses for the long term.
Other private equity investments are evaluated on a case by case basis with an emphasis on biotechnology start ups and personal knowledge of the business seeking subsequent financing.