Investing Smaller 10-25% Equity Stakes in UK Businesses:
A Preferred Approach for Many Business Owners
For many entrepreneurs and business owners, the idea of losing control over their business, or the freedom to exit when it is right for them, is a reason to shut the door on private equity.
But taking full ownership of a business is not always the preferred approach for private equity houses. Livingbridge is just as interested in taking minority stakes and working with owners to maximise value for all stakeholders.
We have designed a different proposition because we understand that traditional private equity is not for everyone.
The Livingbridge True Minority approach seeks out smaller equity stakes of between 10% and 25%. We become a trusted partner able to provide the necessary capital, skills, and experience – the full private equity toolkit – in driving growth and helping to realise your ambitions while enabling you to keep control.
Why True Minority?
The True Minority approach appeals to entrepreneurs for different reasons. You may have an existing shareholder who is ready to exit the company before you are ready to exit yourself.
You may want to de-risk your own financial position by taking out some capital value while retaining a significant part of the upside. Or you may be looking for capital to accelerate growth – perhaps to invest in new ventures or to fund an acquisition.
Whatever the reasons, we understand what motivates owners to retain control of your business. This underpins the philosophy and strength of the True Minority proposition.
What does a True Minority investment look like?
- Typical equity stake of between 10% and 25%
- Investment in businesses with a minimum of £5m profit
- Can be deployed as ‘cash in’ or ‘cash out’ – typically to fund shareholder reorganisations, acquisitions or growth capital
- Minimum investment size £25m
- Approach based on trust rather than control, with legal and control rights appropriate for a smaller minority stake
With 150+ successful investments under our belt and an expert in-house growth acceleration team specifically designed to help you achieve your business ambitions, we can build a bespoke investment structure to suit your needs and the circumstances of your business – whether it be implementing a strategic M&A programme, taking your business global, or finding the best talent.
We believe the key to success is building close and trusting relationships with the companies we back. That relationship depends on us being totally frank with you, being aligned with your ambitions, and delivering what we say we will.
We think our track record and client portfolio speaks for itself.
If you are interested in discussing True Minority further, please contact one of the following Livingbridge team members. We are always happy to have an initial confidential discussion with you, even if there are no immediate plans to undertake a funding project.