Golden Spike Capital - Investment Philosophy
Golden Spike Capital is targeting a private business with a history of profitability along with quality margins. The following are key metrics that we evaluate in all potential acquisitions:
Industry Characteristics
Large, fragmented and growing industry
Limited technology risk
Financial Attributes
Revenue between $10 and $75 million
EBITDA in excess of $1 million
EBITDA margin greater than 10%
People
Owner seeking liquidity and ownership transition
Experienced and talented middle management team desiring to stay with the company
Strong employee relationships
Owner willing to take an active role during a transition period
Company Characteristics
Niche manufacturing or service business
Potential for organic growth
Diverse customer base
Distinct competitive advantage
Recurring revenue streams preferred