Afleveringen
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Welcome back to The Private Equity Podcast, by Raw Selection. Host, Alex Rawlings speaks with John Dahlgren, VP of Talent at SBJ Capital, about the growing role of internal talent in private equity, portfolio hiring strategies, and using talent partnerships to generate deal flow. John shares insights on hiring trends, common mistakes, and how SBJ Capital optimizes talent operations for long-term success.
Breakdown:
[00:00] Introduction to the episode and guest John Dahlgren. Overview of hiring trends in PE firms and portfolio companies.
[00:29] Rising demand for operating partner talent and how firms can develop a structured hiring approach.
[00:59] John’s journey from executive search to private equity, his role at SBJ Capital, and their investment focus.
[02:22] PE firms sometimes push beyond their core mandate. The importance of patience and focusing on strengths.
[04:48] Why internal talent functions are critical. Managing over 45 searches across 12 portfolio companies in a year.
[06:46] How SBJ Capital partners with investment professionals to refine hiring criteria and streamline recruitment.
[09:11] Building trust with portfolio executives to ensure hiring aligns with their company’s needs.
[11:15] The importance of hiring PE-experienced executives with adaptability and strategic leadership skills.
[13:36] Acting faster on hiring mistakes and recognizing early signs of a mis-hire.
[14:46] The cultural impact of hiring at the fund level and promoting from within.
[17:16] Using industry experts to source deals via the Origination Partner Program.
[19:38] The program has sourced 50-100 deals in 18 months, contributing to SBJ Capital’s deal pipeline.
[21:11] Working with former CEOs and advisors to generate proprietary deal flow.
[23:08] Recommended reads and podcasts: The Catalyst by Jonah Berger, ParkerGale’s PE Funcast, and SmartLess.
[25:29] How to connect with John via LinkedIn or email.
[27:20] Final thoughts on diversifying deal sourcing and ensuring strong talent strategies.
[27:50] Closing remarks and call to action to subscribe.
Thank you for tuning in!
Connect with John here.
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 [email protected]. -
Welcome to The Private Equity Podcast, by Raw Selection, hosted by Alex Rawlings. In today's episode, Jordan Burton shares his expertise on hiring, training, and evaluating executives. They discuss common mistakes private equity firms make when hiring portfolio executives, how to improve interview techniques, and the critical role of structured assessment. Jordan also covers the importance of preparing for interviews, aligning stakeholders, and ensuring a thorough evaluation process.
Breakdown:
[00:00] Introduction to the episode and guest Jordan Burton. Overview of hiring and interviewing in private equity.
[00:28] The importance of preparation before an interview. Defining the role clearly and aligning expectations among stakeholders.
[01:26] The biggest hiring mistakes in private equity. Why many firms fail to achieve more than a 30% success rate in portfolio hiring.
[02:52] Understanding your role in the hiring process. Avoiding generic questions and ensuring structured, targeted assessments.
[04:20] How to create an effective scorecard. The value of assessing current leadership strengths and defining key success traits.
[06:15] The impact of investor dynamics on hiring success. Recognizing patterns in successful executives and adapting selection criteria accordingly.
[07:42] Why “been there, done that” is a flawed hiring approach. Focusing on upward trajectory and capability over past roles.
[09:05] The importance of structured note-taking during interviews. Ensuring consistency in feedback and preventing redundant questioning.
[11:00] How curiosity and active listening improve interviews. Creating a strong rapport to uncover valuable insights.
[12:30] Balancing assessment with selling the opportunity. Tailoring your pitch based on the candidate’s motivations and priorities.
[14:54] What truly differentiates a PE firm in hiring. How to stand out beyond compensation and equity offers.
[17:21] The role of portfolio executives in recruiting. Leveraging their experience to attract and evaluate top talent.
[19:49] Why most private equity investors are never trained in interviewing. Steps firms can take to develop better hiring processes.
[21:41] How to ask better interview questions. Moving beyond hypothetical questions to uncover real insights.
[24:02] Identifying red flags in executive candidates. Evaluating openness, honesty, and past performance patterns.
[27:25] The importance of conducting rigorous reference checks. Selecting the right references and verifying past performance.
[30:20] Post-interview best practices. Consolidating feedback and structuring hiring decisions effectively.
[35:50] The final hiring decision. Aligning stakeholders and ensuring a structured decision-making process.
Thank you for tuning in!
You can connect with Jordan Burton on LinkedIn by visiting his profile here.
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 [email protected] -
Zijn er afleveringen die ontbreken?
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Welcome back to the Raw Selection Private Equity Podcast. Today’s guest is Ron Ramanujan, Technology Transformation Operating Partner, discussing value creation, tech transformation, AI, and cybersecurity within Private Equity.
Breakdown:
{00:30} Ron shares his background, highlighting his extensive experience in enterprise technology, data infrastructure, machine learning, and his time at BCG.
{01:28} Discussing common mistakes in private equity, Ron emphasizes that financial engineering alone is no longer sufficient. He highlights the need for early action post-acquisition, leveraging technology, and focusing on value creation from day one.
{02:55} The importance of assessing pricing models, margins, and customer experience early in the investment cycle. Ron explains how digital transformation is now a non-negotiable factor for success in private equity.
{04:51} Value creation in private equity is often overused as a term. Ron discusses the shift from traditional financial optimization to technology-driven strategies that generate real business impact.
{06:16} The role of technology in private equity investments. Ron emphasizes evaluating a target company's tech infrastructure during due diligence and ensuring early integration of digital strategies to maximize growth potential.
{08:08} Lessons learned from prior acquisitions—Ron talks about prioritizing high-value use cases, setting clear milestones, and the importance of aligning operational and technological strategies.
{09:58} The need for a structured, repeatable framework for tech integration in portfolio companies. Ron explains how operational and tech transformation must go hand in hand to drive efficiencies.
{12:22} AI’s impact on private equity—how AI-driven solutions can reduce customer churn, optimize costs, and create competitive moats for portfolio companies.
{14:08} AI trends and applications—Ron explains how generative AI is transforming businesses, highlighting its impact on productivity, customer service, and operational automation.
{16:30} The importance of AI governance and risk management. Ron discusses creating structured frameworks, setting guardrails, and ensuring responsible AI adoption without stifling innovation.
{18:25} Experimentation in AI is key—private equity firms must embrace a culture of testing, failing, and iterating to remain competitive in a rapidly evolving market.
{19:50} Playbooks for AI in private equity—Ron suggests frameworks that firms should establish at a portfolio level, including AI-driven financial reporting, operational efficiencies, and customer analytics.
{23:35} Cybersecurity in private equity—Ron warns that cybersecurity is often overlooked, yet it poses a significant existential risk to businesses. PE firms must incorporate cybersecurity assessments into due diligence.
{25:59} Emerging cybersecurity threats—Ron discusses advanced cyber threats, including internal dwellers and nation-state actors, emphasizing the need for proactive security measures.
{27:51} Balancing cybersecurity investments—Ron explains how firms can protect their assets without over-engineering security solutions, ensuring efficiency and risk mitigation.
{28:21} Ron’s reading recommendations—he shares his interest in AI, human neuroscience, and the book Why Machines Learn, which explores the evolution of AI through mathematics.
{31:09} Alex thanks Ron for his insights into AI, cybersecurity, and value creation in private equity.
Thank you for tuning in!
Connect with Ron here.
To get the newest Private Equity episodes, you can subscribe on iTunes or Spotify here.
Lastly, if you have any feedback on the podca -
Welcome to The Private Equity Podcast, by Raw Selection. Today’s guest is Jeff Wigle, Managing Director at Banyan Capital Partners, a lower-to-middle market private equity firm based in Canada. Jeff shares insights on transitioning portfolio companies from founder-led to data-driven decision-making, leveraging technology, and managing cultural change during these shifts.
Breakdown:
[00:00] Jeff Wigle discusses his background, Banyan Capital Partners, and his experience transitioning portfolio companies to data-driven decision-making
[00:29] Jeff’s background from accountant at Ernst & Young to private equity leader, including serving as CEO of a portfolio company at age 31
[02:26] Building an evergreen private equity model with the importance of long-term holds and avoiding rushed investment theses
[04:22] Common private equity mistakes including rushing transformations, breaking culture, and short-sighted strategies
[05:48] Banyan’s approach focusing on long-term value creation, rebuilding foundations, and avoiding premature integrations or expansions
[07:31] Lessons from being a CEO with the critical importance of having the right people in the right roles
[08:52] Characteristics of top performers including clarity, consistency, transparency, and alignment with investor and business goals
[10:16] Transitioning to data-driven decision-making by addressing founder-led systems and building scalable processes for growth
[11:43] Challenges of upgrading systems with balancing inward focus during upgrades with market opportunities
[12:42] Investing in systems and data by upgrading technology to generate actionable insights and improve decision-making
[14:09] Starting with manual processes by using limited data to identify profit drivers and inefficiencies before implementing systems
[16:05] Managing resistance to change by evolving culture carefully with executive buy-in to avoid breaking businesses
[17:41] Leveraging IT consultants and internal resources with strategies for implementing and managing technology upgrades
[20:59] Early steps with artificial intelligence including using AI for coding fixes, dynamic pricing, and operational efficiencies
[23:22] AI and dynamic pricing with AI to manage large customer bases and product catalogs efficiently
[24:50] Staying competitive with AI and how larger businesses lead adoption, but smaller firms must act to avoid falling behind
[27:44] AI at the private equity level with AI for research and data compilation, but still validating results manually
[29:10] Recommended reading Scaling Up by Vern Harnish, Grit, Good to Great, The Five Dysfunctions of a Team, and Switch
[31:00] Podcast recommendations Business Breakdowns, In Good Company, and Michael Lewis’s podcast
[32:26] Connect with Jeff via the Banyan Capital Partners website for contact details
[32:55] Closing thoughts with Alex Rawlings thanking Jeff for sharing his insights on data-driven decision-making and cultural change in private equity
To be added to the book waitlist, you can email [email protected]
Thank you for tuning in!
Connect with Jeff on LinkedIn here.
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 [email protected] -
Welcome back to The Private Equity Podcast, by Raw Selection. Our host, Alex Rawlings is joined by Sanjay Chandra, Managing Partner of Trinity Investors, a Private Equity firm based in Texas. Sanjay brings decades of experience as an operator, entrepreneur, and private equity investor. In this episode, we explore how he scaled businesses from single-digit EBITDA multiples to double-digit exits, his unique journey from operator to investor, and Trinity’s focus on domestic manufacturing and industrials.
Breakdown:
[00:29] Sanjay shares his journey from immigrating to Texas as a child, excelling academically, and starting his career at Arthur Andersen before transitioning into entrepreneurship.[01:58] Founding American Leather, growing it into a $300–$400 million business with 1,600+ employees.
[03:24] Sanjay discusses the founding of Trinity Investors, growing it into a $7 billion AUM alternative asset manager, and the firm’s focus on operating companies and commercial real estate investments.[07:17] Reflecting on mistakes in private equity, Sanjay emphasizes the importance of exiting troubled investments quickly and shares how Trinity has adjusted its processes to respond to challenges more decisively.
[09:46] Sanjay explains how his experience as an operator helps him empathize with founders and better understand the challenges they face in the lower middle market.
[11:42] Advice for private equity professionals without operational experience: spend time on the shop floor, listen to management teams, and immerse yourself in the business beyond financial reports.
[13:08] Sanjay highlights Trinity’s focus on domestic manufacturing in the U.S., explaining why the firm prioritizes single-digit entry multiples with growth potential through operational improvements and strategic investments.
[16:04] Insights from growing American Leather: the value of patience in scaling companies, focusing on steady growth, and the compounding benefits of later years in business.
[19:29] Sanjay discusses the challenges of implementing infrastructure, upgrading management, and transitioning companies to professional operations, emphasizing the importance of respecting founders’ knowledge and contributions.
[22:55] Sanjay shares his passion for mentorship, explaining how he invests in the growth and development of leaders across Trinity’s portfolio companies and his philanthropic initiatives.
[25:21] Sanjay talks about his love for lifelong learning, mentioning his recent exploration of AI and continuous efforts to stay at the forefront of technology and innovation.
[28:38] How to reach Sanjay via email or LinkedIn, along with his openness to connecting with new people and sharing his insights.
[29:37] Closing remarks from Sanjay, reflecting on his journey and the value of entrepreneurial experiences, followed by Alex thanking him for his time and insights.
To be added to the book waitlist, you can email [email protected]
Thank you for tuning in!
Connect with Sanjay on LinkedIn here or via email at [email protected].
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 [email protected] -
Welcome to The Private Equity Podcast, by Raw Selection. Host Alex Rawlings interviews Randy Cohen, a lecturer at Harvard Business School, and Jean-Louis Lelogeais, co-founders of PEO Partners. Together, they dive into liquid private equity, its uses, and how it complements traditional private equity.
Breakdown:
[00:00] Introduction to Randy Cohen and Jean-Louis Lelogeais, founders of PEO Partners, and their experience in private equity and distressed debt
[00:30] Randy introduces the concept of liquid private equity, its performance profile, and accessibility benefits
[01:00] Jean-Louis highlights his background at SVP Global and their goal to create a liquid private equity solution
[01:29] Explaining liquid private equity and how it aims to replicate the benefits of private equity in a liquid vehicle
[02:26] Historical private equity performance and its outperformance compared to public markets with less volatility
[04:20] Use cases for liquid private equity as a funding asset for capital calls and an accessible option for retail investors
[06:16] Liquidity challenges for institutional investors and how liquid PE solves them
[08:29] Challenges in achieving buy-in from institutional investors due to AUM requirements and consultant blessings
[11:49] Retail investor access and diversification from traditional 60-40 portfolios with liquid PE
[12:47] The rise of liquid private equity and why the concept is gaining traction
[13:45] BlackRock's acquisition of Preqin and the growing focus on liquid market versions of private equity
[16:07] Liquid PE strategy: mimicking leveraged buyouts through public companies, leveraging data, and hedging to reduce volatility
[18:25] Steps to replicating PE returns: matching industry tilts, choosing LBOable companies, and implementing derivatives for downside protection
[22:39] Challenges and limitations of liquid PE compared to traditional PE, including the inability to perform operational improvements
[27:17] How liquid PE matches average private equity returns while offering lower fees and liquidity advantages
[32:13] Broad sector diversification versus specialized vehicles in liquid PE portfolios
[34:35] Trends in private equity sectors and the dominance of software and services in PE portfolios
[37:01] Researching top quartile funds and leveraging insights for better industry selection
[39:49] The importance of copying PE's strategic sector allocations instead of predicting trends
[41:00] Closing thoughts on liquid private equity and its potential to complement traditional private equity[43:48] Jean-Louis reflects on founding SVP Global and managing $26 billion in assets
[47:26] Randy shares his experience teaching at Harvard Business School and learning from PE professionals[49:05] Randy recommends the blog Marginal Revolution for insights on finance, economics, and culture
[50:57] Jean-Louis highlights the entrepreneurial journey in Shoe Dog by Phil Knight and insights into building businesses
To be added to the book waitlist, you can email [email protected]
Thank you for tuning in!
Connect with Randy or Jean-Louis, click here.
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 [email protected] -
Welcome back to The Private Equity Podcast, by Raw Selection! Today’s guest is Jon Sonnenschein, Private Equity Operating Partner and former SaaS and software CEO. Jon shares insights on driving cultural change in portfolio companies, blending his experience as a CEO and Operating Partner.
Breakdown:
[00:00] Jon Sonnenschein discusses his experience as a Private Equity Operating Partner and former SaaS CEO, focusing on cultural transformation in portfolio companies.
[00:30] From Chicago to Silicon Valley, with 20 years in startups, followed by joining private equity and leading growth at Earth Solutions.
[00:59] The "star player bias" in talent acquisition and the importance of aligning cultural dynamics.
[01:28] Addressing the balance between legacy culture and private equity-driven professionalization.
[03:21] Transitioning from founder-led to private equity-backed and retaining core cultural elements while driving professionalization and growth.
[05:18] Jon shares how he elevated long-term employees for cultural continuity while introducing professional FP&A expertise.
[06:15] Jon explains his approach to understanding a company’s culture by interviewing employees at all levels.
[07:44] The role of listening and valuing employee perspectives in identifying growth opportunities.
[09:11] Validating feedback through patterns, experiments, and data-driven approaches.
[10:57] Testing new markets through structured, accountable experiments to assess viability.
[11:56] Jon’s methods for influencing cultural change without alienating long-term employees.
[13:20] Professionalizing the product organization and using customer feedback to guide decisions.
[15:17] Transparency, one-on-ones, and open forums to drive cultural change and employee engagement.
[18:11] Creating psychological safety and fostering innovation through direct communication.
[19:38] Jon reflects on insights from being an operating partner and how they inform his executive approach.
[21:06] The importance of collaboration between operating partners, deal teams, and CEOs.
[22:28] Recommended readings include Thinking Fast and Slow by Daniel Kahneman and The Hard Thing About Hard Things by Ben Horowitz.
[24:48] Jon emphasizes the importance of tackling culture head-on and shares key takeaways for private equity professionals.
To be added to the book waitlist, you can email [email protected]
Thank you for tuning in!
Connect with Jon on LinkedIn here.
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 [email protected] -
Welcome back to The Private Equity Podcast, by Raw Selection! Today, we’re joined by Christen Paras, Partner of the Transaction Team at MiddleGround Capital, to explore innovative exit strategies and how MiddleGround is redefining Private Equity practices.
Breakdown:
[00:03] Christen Paras returns to discuss MiddleGround’s unique exit strategy approach.
[00:30] Partner at MiddleGround Capital, based in New York City, leading the transaction team.
[00:59] Private Equity firms often lack adaptability—Christen emphasizes innovation and agility.
[01:26] MiddleGround’s infrastructure, a KPI-driven, collaborative culture for scalable, efficient decision-making.
[03:14] Weekly and quarterly meetings ensure team bandwidth and tackle key challenges.
[04:32] A dedicated team builds repeatable processes for optimal outcomes.
[05:29] Integrating transaction and operations expertise for seamless exits.
[06:55] Ensuring readiness and alignment throughout portfolio lifecycles.
[07:50] Aligning value creation with buyer expectations to maximize appeal.
[10:14] Identifying detractors and enhancing portfolio company readiness.
[13:25] Prioritizing actions that align with exit goals and maximize value.
[15:37] Process mapping and standardization for exit preparation.
[17:03] Metrics-driven timing and customized strategies for individual companies.
[21:16] How exit teams enhance focus and drive superior results.
[24:30] Co-investor and lender insights refine exit strategies.
[25:27] Industry updates, reports, and relationship-driven knowledge.
[26:53] Christen reflects on MiddleGround’s approach and her career journey.
To be added to the book waitlist, you can email [email protected]
Thank you for tuning in!
Connect with Christen on LinkedIn here.
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 [email protected] -
Welcome back to the Private Equity Podcast by Raw Selection! Joining me today is Brad Armstrong, Partner at Lovell Minnick, a Private Equity firm celebrating its 25th anniversary. Brad shares insights into value creation, forecasting for 2025, the importance of sticking to your core strengths, and how simplicity done right can drive Private Equity success.
Breakdown:
[00:00] Sticking to fundamentals, value creation, and staying disciplined in private equity.
[00:30] Brad's career journey, Lovell Minnick’s 25-year strategy, and their focus on financial services, business services, and fintech.
[01:54] The biggest mistake in private equity: failing to decouple capital raising from capital deployment. Why sticking to your strengths and staying disciplined is key.
[04:40] “Right to win”: Identifying where you have an edge and staying competitive in a mature private equity market.
[06:05] How Brad entered private equity, blending operating, investment banking, and PE experience.
[08:58] Trends in financial services and fintech: digital transformation, technology enablement, and specialized outsourcing driven by regulation.
[11:46] How Lovell Minnick stays consistent: an “all-weather” strategy, controllable outcomes, and avoiding macroeconomic dependency.
[14:09] Lovell Minnick’s approach to value creation: custom plans, operating partners, and functional specialists supporting portfolio growth.
[16:29] Playbooks and best practices: how Lovell Minnick documents and shares successes across portfolio companies.
[17:54] Portfolio collaboration: peer-to-peer teaching, executive summits, and solving challenges together, from cybersecurity to sales infrastructure.
[22:08] Forecast for 2025: Brad’s take on market clarity, improving fundraising, and a constructive deal-making environment.
[25:53] Brad’s influences: books like Six Types of Working Genius, Scary Smart (AI), and Outlive by Peter Attia.
[27:46] Closing thoughts and gratitude to the audience for record-breaking downloads.
To be added to the book waitlist, you can email [email protected]
Thank you for tuning in!
Connect with Brad on LinkedIn here.
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 [email protected] -
Welcome to The Private Equity Podcast, hosted by Alex Rawlings. Today’s guest is Seth Auld, VP of Portfolio Management and Deal Origination at Kompass Kapital. Seth shares his insights on building LP relationships, raising capital effectively, and the importance of sector specialization.
Breakdown;
[00:00] Introduction to Seth Auld and the episode’s focus on LP relationships and capital raising.
[00:29] Seth’s journey from running a family business to private equity, including roles in banking, consulting, and Fortune 500 agribusiness.
[03:14] Key mistake: Firms lack focus and fail to define a niche. Seth emphasizes sector specialization, strong operating partners, and avoiding transactional relationships.
[05:36] Seth’s approach to relationships: Be genuinely curious, ask questions, and build trust. He recommends How to Win Friends and Influence People.
[08:45] Importance of narrowing a niche and involving full-time, deeply engaged operating partners with relevant experience for target company size.
[11:09] What appeals to LPs: Strong track record, operating partner alignment, and financial commitment to the fund.
[13:58] Better LP engagement: Build relationships during the current fund, offer co-investment opportunities, and avoid transactional outreach.
[14:58] The challenge of direct outreach to family offices and the value of referrals, conferences, and relationship-building over cold solicitations.
[17:21] Closing the right deal: Avoid deal fatigue, revisit your original thesis, and maintain discipline. A broad deal pipeline ensures better options.
[20:38] Seth’s influences: Wall Street Journal, FRED economic data, trade magazines, and AI developments.
[21:07] Connect with Seth on LinkedIn for further insights.
To be added to the book waitlist, you can email [email protected]
Thank you for tuning in!
Connect with Seth on LinkedIn here.
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 [email protected] -
Welcome back to The Private Equity Podcast by Raw Selection, hosted by Alex Rawlings. Today’s guest is Richard Neff, a proven operator and operating partner with decades of experience in private equity and a 25-year career at GE Capital and GE Healthcare. In this episode, Richard shares insights into the investor-operator relationship, the importance of infrastructure, and lessons learned from GE’s legendary playbook for growth and transformation.
Breakdown;
[00:00] Reflecting on 2024 and looking ahead to 2025.
[00:28] Introduction to Richard Neff: His background in healthcare, tech-enabled services, industrial services, and 25 years at GE.
[00:57] One common private equity mistake: Over-ambitious plans versus focused execution.
[02:17] What typically moves the needle in $20M revenue businesses: Human capital and growth initiatives.
[03:38] Key areas private equity firms can better align with portfolio executives.
[04:36] The gap between evaluators (investors) and doers (operators): Surprises post-acquisition.
[06:29] The infrastructure gaps often missed: Sales team depth, product development, and capability issues.
[07:53] Why infrastructure and capability investment is underestimated and often delayed.
[09:21] Richard’s experience at GE Capital: A private equity-style approach to business building.
[10:49] How GE executed a structured playbook for M&A, growth, and cultural integration.
[11:45] Lessons from managing hyper-growth businesses pre- and post-financial crisis.
[12:44] Richard’s key takeaways from GE:
The value of a structured 100-day plan.Building global networks and talent development.Creating a sense of belonging and shared purpose.[14:36] Applying GE’s lessons to smaller portfolio companies: Building camaraderie and engagement.
[15:35] The power of networking within private equity portfolio companies.
[16:58] Why private equity firms often miss the value of connecting their C-suite leaders.
[18:26] Richard’s influences: His diverse reading list including Fast Company, Wired, and Financial Times.
[19:47] Encouraging problem-solving and situational adaptability through varied experiences.
[20:13] How to contact Richard Neff.
To be added to the book waitlist, you can email [email protected]
Thank you for tuning in!
Connect with Richard on LinkedIn here.
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 [email protected] -
Welcome to The Private Equity Podcast by Raw Selection, hosted by Alex Rawlings. Today’s guest is Jon Van Tuin, Managing Director at P4G Capital. With decades of experience in Private Equity, Jon shares his insights on deal origination, building relationships with deal sources, and standing out in an increasingly competitive market. Learn actionable strategies to improve deal flow, develop meaningful relationships, and elevate your firm's positioning as the preferred acquirer.
Breakdown:
[00:00] The current private equity landscape with over 3,500 funds and $1 trillion in undeployed assets.[00:28] Introduction to Jon Van Tuin and his role at P4G Capital.
[00:57] Jon’s background: 30+ years in private equity starting in the late 1980s.
[01:27] A common mistake private equity firms make: Addressing portfolio issues too slowly.
[02:27] The importance of acting quickly and getting the right people into key roles.
[03:25] Jon’s career reflections and the growth of private equity since the 1980s.
[05:23] Jon’s approach to deal origination: Focusing on relationships, not transactions.
[06:21] Why 80% of P4G’s deals come from a select group of intermediaries.
[07:43] Adding value to intermediaries: Sharing insights instead of just asking for deal flow.
[08:42] The value of a dedicated deal origination professional in private equity.
[09:40] How origination teams keep pipelines full and differentiate firms in a crowded market.
[10:39] Positioning P4G as a preferred acquirer: Building relationships and delivering on process.
[11:07] Jon’s multi-pronged approach: Over 700 face-to-face meetings and consistent outreach.
[12:57] Staying top of mind: Leveraging tools like DealCloud for digital outreach.
[13:25] The demands of travel: 43 weeks on the road to drive deal origination success.
[14:22] Jon’s influences: Focusing on leadership, culture, and aligning the right teams for success.
[16:16] Recommended reading: Insights from McKinsey, Bain, Stephen Covey, and Jim Collins.
[17:14] How to contact Jon Van Tuin: Email: [email protected]
To be added to the book waitlist, you can email [email protected]
Thank you for tuning in!
You can connect with Jon Van Tuin on LinkedIn here.
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 [email protected] -
Welcome back to The Private Equity Podcast by Raw Selection hosted by Alex Rawlings! Today’s guest is Joe Gerber, a proven Operating Partner and transformation expert. In this episode, we explore Driving EBITDA Growth Through Data Metrics. Joe shares actionable strategies on leveraging real-time data, optimizing decision-making, and taking reporting from good to great. Discover how Private Equity firms and portfolio executives can use data to identify inefficiencies, drive operational excellence, and boost EBITDA growth.
Breakdown:
[00:00] What does good reporting look like? Starting with excellence and working backward.
[00:12] Building effective teams without geographical limits.
[00:41] Joe’s background: Middle-market investment banking, transforming businesses, and PE advisory work.
[01:39] The biggest reporting mistakes PE firms make and how to correct them.
[02:36] Real-time reporting example: Cutting headcount by 30% and growing EBITDA.
[04:32] Metrics to track daily: Real-time insights to forecast performance.
[06:50] How real-time data leads to operational pivots and improved decision-making.
[09:15] Optimizing working capital to fuel growth and cash flow.
[11:33] Taking reporting from good to great: Key improvements PE firms need.
[13:01] Assessing management teams early with data-driven insights.
[15:46] Where to start: Key data points in multi-location businesses.
[18:41] Coaching CEOs: Common gaps and how to address them.
[20:19] Joe’s influences: The Art of Gathering, personal growth, and daily reads.
[22:43] Best way to connect with Joe: LinkedIn.
To be added to the book waitlist, you can email [email protected]
Thank you for tuning in!
You can connect with Joe Gerber on LinkedIn here.
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 [email protected] -
Welcome back to The Private Equity Podcast by Raw Selection, In this episode, host Alex Rawlings sits down with Sam Bendix, Partner of Investor Relations at Chicago Pacific Founders. In this episode, we dive deep into what it takes for Private Equity firms to truly stand out in an increasingly competitive market.
Sam shares actionable insights on how differentiation can impact talent attraction, capital raising, and deal origination. Sam discusses the importance of building a strong brand, fostering innovation, and effectively communicating your firm’s story.
[00:00] Brand is a product of the people building it and consistent results.
[00:13] Importance of differentiation in attracting talent, capital, and investments.
[00:42] Introduction to Sam Bendix, Partner of Investor Relations at Chicago Pacific Founders, and the episode's focus on differentiation in private equity.
[01:11] Sam’s career journey from investment banking to real estate investments and IR roles across various firms.
[04:57] Overview of Chicago Pacific Founders and its healthcare-focused investment strategy.
[06:24] The mistake of inconsistent messaging and the importance of cohesive communication.
[08:07] Differentiation strategies: strategic positioning, operational strengths, and client-centric innovation.
[10:55] Proprietary processes, attracting top talent, and creating barriers to imitation.
[12:18] Case study: Proving differentiation through performance and results.
[13:12] The role of brand recognition and consistent execution in building a firm’s reputation.
[14:39] Educating the market as a key element of branding and thought leadership.
[16:38] Attracting talent: building a network and aligning with career aspirations.
[19:01] Revisiting assumptions and fostering innovation for market differentiation.
[19:59] The role of talent in building and maintaining differentiation.
[22:26] Alex shares insights on private equity firms’ branding and talent strategies.
[28:06] Importance of putting yourself out there and documenting over creating for awareness.
[33:24] Building trust through transparency and thought leadership.
[36:17] Efficiently qualifying leads and fostering trust through shared insights.
[38:12] Challenges in communication: sticking to agendas, avoiding jargon, and active listening.
[42:03] Tools for effective communication: checklists, frameworks, and structured conversations.
[43:27] Recommended communication frameworks: What-So What-Now What and others.
[45:23] Sam’s book and podcast recommendations for effective communication and decision-making.
[46:52] Importance of knowing when to quit and insights from behavioral science.
[47:21] Sam invites listeners to connect via email for further discussions.
[47:44] Recap of the conversation's key themes and the importance of continuous improvement in differentiation strategies.
You can connect with Sam on LinkedIn by visiting his profile here.
To be added to the book waitlist, you can email [email protected]
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 [email protected] -
Welcome back to The Private Equity Podcast by Raw Selection! In this episode, Alex Rawlings welcomes back Adam Coffey, CEO and author of the Private Equity Playbook. Adam shares his strategies for scaling businesses, reducing employee turnover, and building strong company cultures. He emphasizes hiring for future growth, addressing employee concerns, and using hybrid work models to retain top talent. Adam also discusses his updated edition of the Private Equity Playbook, offering new post-COVID business insights.
Breakdown:
[00:00] Most Private Equity firms report a success rate of only 20-30% with CXO hires, with 30% being quite rare.[00:46] Adam, gives us a brief insight into your background.
[01:15] Adam reflects on his time at GE, leading companies through private equity backing, and now helping entrepreneurs grow their businesses.
[04:06] Adam talks about the importance of culture in scaling businesses and the challenge of reducing employee turnover from 41%. He highlights how different regions and employee needs required tailored approaches to address issues and improve retention.
[07:30] He explains how culture, leadership, and people are fundamental when scaling businesses. Having a strong culture ensures employees stay and grow, making talent the key to driving success.
[09:25] Adam dives into how he tackled turnover in different regions, using examples from the Pacific Northwest and Texas, where pay scale and benefits played a role in employee satisfaction.
[12:15] By investing in people early on and addressing their needs, Adam quickly reduced turnover to below industry standards. He explains how transparency and early investments helped build trust and boost employee engagement.
[15:01] Adam discusses how private equity firms struggle with transitioning founder-led companies to PE-backed environments, emphasizing the importance of communicating career opportunities and company growth potential.
[17:49] When acquiring companies, Adam emphasizes how better benefits and career development opportunities within a larger organization can turn acquisition anxiety into employee buy-in.
[19:36] Adam addresses the shift in work culture, particularly after COVID-19, and the challenges and benefits of remote work in recruiting talent nationally.
[23:16] He highlights how businesses can still maintain flexibility for employees while ensuring productivity and accountability. Companies that find the right balance will be better positioned for growth.
[27:24] Adam shares his approach to hiring top executive talent, with a focus on aligning work to be done with the candidate's experience.
[33:01] He stresses the importance of hiring leaders who can guide the company through growth and challenges, even if it means making difficult decisions like upgrading talent.
[38:10] Adam talks about the importance of culture fit when hiring and how toxic employees can disrupt growth.
[41:59] Adam reveals his process for assessing talent within six months.
[44:15] Adam announces his updated edition of the Private Equity Playbook, highlighting new insights post-COVID and why it's been a top read for private equity professionals for years.
To be added to the book waitlist, you can email [email protected]
Thank you for tuning in!
You can connect with Adam Coffey on LinkedIn here.
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 [email protected] -
Welcome back to The Private Equity Podcast by Raw Selection, In this episode, host Alex Rawlings sits down with Matt Bodnar, founder and managing partner of Eidolon Capital. They discuss Eidolon’s unique deal origination strategies, including innovative approaches like direct mail, and how their flexibility in deal-making helps them close deals where more rigid firms miss out. Matt also shares valuable insights on long-term investing, inspired by Berkshire Hathaway, and offers top recommendations on business, psychology, and deal-making books.
Breakdown:[00:00] Matt explains how their market position was inspired by Berkshire Hathaway, leading them to find unique opportunities by being flexible where others are rigid.
[00:12] PE firms often miss out on deals due to their rigid criteria; Eidolon benefits from a more flexible approach.
[00:26] Matt mentions Extreme Ownership as one of his favorite books and shares it with his management teams.
[00:53] Introduction to Matt Bodnar, founder of Eidolon Capital. The conversation covers deal origination, using direct mail, and valuable book recommendations.
[01:21] Goldman Sachs, starting Eidolon Capital, and focusing on lower middle market companies with a long-term approach.
[02:17] Matt identifies rigid deal structures as a common mistake PE firms make, missing opportunities to tailor deals based on sellers' needs.
[03:09] Flexibility in deal-making, like structuring equity rolls and earn-outs, gives Eidolon an advantage over more rigid buyers.
[04:34] Matt shares Eidolon’s broad deal origination strategies, including cold email, LinkedIn, direct mail, and networking.
[07:46] The importance of market positioning and personal outreach from principals to increase deal engagement.
[09:39] Why principals contacting sellers directly makes a significant difference in building rapport and closing deals.
[10:35] Direct mail as an effective, less crowded method for sourcing deals, especially in old-economy sectors like manufacturing and distribution.
[13:23] Eidolon’s brand focuses on long-term investing and taking care of all stakeholders, inspired by Berkshire Hathaway.
[15:16] Eidolon’s flexibility with capital and bespoke deal structures allows them to close deals even in suboptimal conditions where other firms might walk away.
[17:09] How taking a long-term view, as opposed to the typical 3-5 year private equity time horizon, results in better decisions and stronger outcomes for companies.
[19:25] Matt discusses the importance of staying informed on macroeconomic trends, the Fed, and market cycles to understand the broader impact on investment decisions.
[20:48] Book recommendation: How to Make a Few Billion Dollars by Brad Jacobs, a prolific entrepreneur who founded or acquired several billion-dollar companies.
[22:41] Matt shares how deep reading into human psychology and decision-making (Charlie Munger’s Poor Charlie’s Almanac and Robert Cialdini’s Influence) shapes his approach to deals and negotiation.
You can connect with Matt on LinkedIn by visiting his profile here.
To be added to the book waitlist, you can email [email protected]
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 [email protected] -
Welcome back to The Private Equity Podcast, by Raw Selection! In this episode, Alex is joined by Robb Powell, an experienced Operating Partner and former CEO who has successfully built and sold two businesses. Robb discusses the deployment of technology and AI in private equity-backed companies, shares insights on driving cultural transformation, and explores the importance of enabling people for business success.
Breakdown:
[00:00] Robb discusses how private equity firms and portfolio companies can start using AI.
[00:12] Introduction to Robb Powell, an operating partner and former founder and CEO. The episode covers tech, AI, and culture.
[00:41] Robb shares his background and experience with acquisitions, board work, and leveraging technology for business growth.
[01:11] The importance of using technology to drive sales and agility in companies.
[02:06] Common mistake in private equity: focusing too much on finances post-acquisition, neglecting team assessments and aligning people with goals.
[03:33] Robb’s method for assessing management teams, using written responses to understand their thought process.
[05:00] Building a culture of success focused on enabling others and creating referral-worthy work.
[07:01] The importance of having a clear narrative about the value you're providing in any role.
[08:29] Robb’s thoughts on aligning people and driving change in organizations, including when it’s time to let people go.
[11:19] Overview of Robb’s technology and digital transformation work with various companies, particularly in sales and service industries.
[13:41] Robb shares how AI is being used to transform roles, including automating coding tasks in a tech company.
[14:34] Exploring where private equity firms and portfolio companies should start with AI and ChatGPT.
[15:59] Robb’s advice on using AI tools to help businesses innovate and work more efficiently.
[17:54] The future of AI: replacing tasks, not jobs, and making people smarter through automation.
[20:19] The potential of using existing tools to implement AI in businesses without needing large consulting firms.
[21:46] Robb’s current AI project with a high-end wine room business and the value AI adds to search functionality on websites.
[22:45] Robb’s influences and recommendations for books, podcasts, and thought leaders, including Acquired and Peter Diamandis’ work.
[26:04] How to connect with Robb Powell via LinkedIn.
You can connect with Robb on LinkedIn by visiting his profile here.
To be added to the book waitlist, you can email [email protected]
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 [email protected] -
Welcome back to The Private Equity Podcast, by Raw Selection! In this episode, Alex is joined by Andrew Towne, a partner at Olympus Pines and a five-time world record holder. Andrew shares his journey from private equity to breaking world records, including his impressive mountain climbing feats and insights into the private equity industry. Join us as we dive into the mindset and strategies of this remarkable private equity leader.
Breakdown:[00:00] Andrew shares his experience climbing Aconcagua during a deadly season.
[00:19] Introduction to Andrew’s investment focus in the American car wash industry and his world records.
[01:53] Andrew discusses his career journey, starting in international relations and transitioning to private equity.
[02:18] The common mistake private equity firms make: neglecting operations and transformation.
[02:45] Why portfolio operations are essential for unlocking value in competitive deals.
[03:14] Examples of operational improvements in revenue and cost management within portfolio companies.
[05:06] Andrew’s consulting background at Boston Consulting Group and his shift into private equity.
[06:07] How living abroad in countries like Germany and Kenya shaped Andrew’s worldview.
[07:34] Moving from consulting to private equity: Andrew wanted to own decisions and manage risk.
[09:31] Lessons from world travel: people are more similar than different across cultures.
[12:36] A customer’s comment at a car wash illustrates how people view different roles in society.
[15:05] Why Andrew and his team chose to invest in the evolving American car wash industry.
[16:26] Technological innovations and automation driving growth in the car wash business.
[17:49] How Andrew’s car washes use advanced technology to ensure customer satisfaction.
[18:48] Balancing customer service with profitability in the car wash sector.
[20:15] The fragmented nature of the car wash industry creates growth opportunities.
[21:44] Challenges in building new car washes and scaling operations.
[22:25] Andrew’s journey from overcoming childhood obesity to breaking world records.
[24:47] How rowing at Yale taught Andrew to push through mental barriers and trust himself.
[26:09] After completing the Seven Summits, Andrew turned to ocean rowing and set world records.
[28:04] Stories from his expeditions, including surviving a deadly earthquake at Everest base camp.
[29:02] The story behind Andrew’s world-record row from South America to Antarctica.
[31:28] Andrew’s approach to confronting fears and mental challenges in everyday life.
[35:21] Closing remarks from Alex and Andrew summarizing their discussion on private equity, personal growth, and world records.
You can connect with Andrew Towne on LinkedIn by visiting his profile here.To be added to the book waitlist, you can email [email protected]
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 [email protected] -
Welcome back to The Private Equity Podcast by Raw Selection! In this episode, Alex is joined by Beth Pollack, an applied AI and data strategy operating partner with over two decades of experience in building decision systems. Beth works closely with private equity firms and their portfolio companies to drive value through AI and data initiatives. She shares insights on how AI can be effectively implemented in private equity-backed companies, avoiding common mistakes and maximizing opportunities for growth.
Breakdown:
[00:00] Introduction to Beth Pollack, AI and data expert, discussing AI's role in private equity-backed companies.[00:31] Beth shares her background, with over 20 years of experience in AI and data strategy.
[00:59] Beth highlights common mistakes in AI implementation, like starting without clear problem definition and not integrating workflows.
[01:50] The importance of aligning AI projects with business goals and involving the right people early is emphasized.
[02:49] Beth advises against using large consulting firms without AI expertise.
[03:19] She explains the need for selecting the right AI tools beyond ChatGPT.
[03:46] Breaking down problems into smaller components helps with AI efficiency.
[04:16] Beth shares her journey from data mining to building AI systems.
[05:09] A case study shows how AI increased EBITDA in a healthcare company.
[06:07] In the healthcare project, AI and machine learning were used to process medical records and improve clinical decision-making.[07:33] AI helped the company enter new markets and improve patient outcomes by identifying conditions that human review may have missed.
[07:57] Successful AI implementation begins by identifying workflows, engaging teams, and understanding investment needs.
[08:53] Gaining leadership and team trust is crucial for effective AI strategies.
[09:50] AI projects should align with broader business goals and focus on problem-solving.
[10:46] Speed to value can be achieved by using existing tools and internal resources.
[11:42] AI is advancing rapidly, becoming more accessible and cost-effective for businesses.
[13:07] Beth discusses how the acceleration of AI innovation is impacting private equity firms.
[14:06] Large language models (LLMs) and open-source technology are helping optimize AI for businesses.
[15:23] Private equity firms should involve AI experts during the diligence process to assess investments and create value.
[16:50] AI can transform not only new investments but also portfolio companies nearing exit.
[17:11] Beth recommends staying updated by talking to practitioners and following AI publications and podcasts.
[17:41] She shares her favorite podcasts, including Lex Friedman's and "AI on AI."
[18:37] You can reach Beth Pollack on LinkedIn for further discussions on AI and data strategy.
[19:07] Closing remarks from Alex.
You can connect with Beth Pollack on LinkedIn by visiting her profile here.To be added to the book waitlist, you can email [email protected]
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 [email protected] -
In this episode of the Private Equity Podcast, host Alex Rawlings is joined by Paul Adams, an experienced CEO in the home and residential services sector. Paul shares his extensive experience in leading private equity-backed companies through multiple acquisitions and the challenges of navigating a highly fragmented industry. They dive into why private equity is increasingly focused on the residential services sector, what makes it such an attractive investment opportunity, and the importance of managing labor shortages in a people-driven business.
[00:00] Introduction of Paul Adams.[00:44] Paul’s background in HVAC, electrical, and plumbing services.
[01:38] Challenges private equity faces with mom-and-pop shops in home services.
[02:08] Importance of patience and strong M&A skills in home services.
[02:36] Balancing private equity's need for speed with the slower pace of acquisitions.
[03:33] The emotional side of selling a family legacy and employee concerns.
[03:59] How generational handovers can create trust issues during acquisitions.
[04:28] Building trust and relationships with founders during the process.
[04:57] Paul’s approach to working with contractors in residential services.
[05:26] The people-driven nature of service businesses and their focus on relationships.
[05:53] Addressing concerns of sellers about their employees and legacy post-sale.
[06:52] Challenges in attracting technicians despite the sector's essential nature.
[07:19] Impact of the labor shortage on growth in home services.
[08:19] Acquiring companies to meet demand and gain market share.
[09:18] Changes in the sector, including energy efficiency and government rebates.
[09:48] How government regulations are driving growth in system replacements.
[10:17] Increasing profitability through system replacements and upgrades.
[10:47] Private equity's interest in home services due to favorable cash flow.
[11:15] Low capital requirements and barriers to entry in home services.
[11:41] Challenges for small companies to scale due to limited technicians.
[12:09] Struggles of small businesses in growth because of labor shortages.
[12:35] Fragmentation and integration challenges in residential services.
[13:05] Costs of elevating unsophisticated businesses post-acquisition.
[14:04] Importance of proper systems to meet customer expectations.
[14:33] Paul’s strategy in buy-and-build and lessons learned from past experiences.
[14:57] Avoiding big announcements and press releases post-acquisition.
[15:29] Focusing on investment and continuity to maintain business stability.
[16:19] Benefits of working in the background for better performance.
[17:17] The power of consistency in building successful businesses.
[19:43] Paul’s passion for the residential services industry and M&A challenges.
[20:12] Alex’s closing remarks and a reminder to subscribe to the podcast.
You can connect with Paul Adams on LinkedIn by visiting his profile here.
To be added to the book waitlist, you can email [email protected]
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 [email protected]. - Laat meer zien
