Cardinal Equity Partners

Unlike traditional institutionally funded private equity groups, Cardinal invests our own equity and that of several other like-minded investors. We are driven by the desire to own a small number of businesses that can be held for long term value creation, not by IRR mandates. As such, management teams are empowered to make decisions that serve the long term interests of the company, its customers, and its employees. Because our funding is from individuals and families rather than institutions, Cardinal Equity Partners can be extremely flexible with transaction structures in order to meet the unique needs of selling shareholders. This flexibility has made Cardinal one of the Midwest’s preferred purchasers of family owned businesses. Cardinal Equity Partners seeks to invest $2 million to $10 million of equity capital in situations that fit all or most of the parameters. For transactions requiring higher amounts of equity, we will partner with other investors who share our patient capital mentality. Financial Characteristics ▪ Annual sales between $5 million and $50 million. ▪ Annual EBITDA between $1 million and $10 million. ▪ Historical pattern of revenue growth. ▪ Minimum 3 years of positive cash flow. Company Characteristics ▪ Midwest headquarters. ▪ Niche manufacturer, value-added distributor, or service business. ▪ A value-added business model, either through unique products, proprietary distribution channels, or strong branding. ▪ Growing industry or underserved niche of a large market. ▪ No major customer concentration. ▪ Repetitive revenue streams. ▪ Proven management teams.