How We Work
Consumer Growth Partners is focused on partnering with investors, owners and management teams to facilitate a capital transaction. We achieve this by partnering with investors on a new investment or by partnering with owners and management teams to build value and optimize exit opportunities over a target timeframe. Our engagements can be as short as 3-6 months or as long as 5-7 years. We have an extensive network of private equity firms, financial institutions and public companies to facilitate virtually any type of capital transaction within our sectors. To ensure that our incentives are aligned with those of investors, owners and management teams, our compensation is typically based on a combination of an advisory fee and equity options. To learn how we specifically work with private equity firms/institutional investors, owners/management teams and intermediaries, see the links below:
Private Equity Firms/Institutional Investors
Private Equity Firms/Institutional Investors
We work with private equity firms and institutional investors to help them complete new investments and/or to optimize the value of current portfolio companies. For new investments, private equity firms/institutional investors may lack the in-depth domain expertise to confidently pursue opportunities in the specialty retail, consumer products and restaurants sectors despite a history, interest or willingness to invest. When investors evaluate opportunities in one of our sectors, CGP can be engaged to provide the in-depth domain expertise and transaction support. We utilize our own expertise as well as that of our extensive resource network to assist our partner throughout the life of the investment.
We also work with investors on their current portfolio companies that may not be meeting partner expectations. We have the experience and expertise to analyze why performance is falling short and to recommend how to improve performance. Often management resources must be added for the company to achieve performance targets. We have an excellent network available to help assess and identify management talent. We also have relationships with strategic investors who may be either potential customers or acquirers of the company.
Owners/Management Teams
Often owners/management teams have opportunities to increase the value of their business, but may be reluctant to pursue them. This is primarily driven by a lack of access to appropriate human and/or capital resources and a lack of knowledge how to navigate through the sea of available resources. CGP can assist owners/management teams by working with them to develop a strategy for creating an optimal liquidity event over a target timeframe. Our approach begins with an assessment of the current valuation of the company and is followed by working with owners/management teams to identify the improvements most likely to increase the value of the business to prospective buyers/investors. With this roadmap, owners/management teams can focus on value creation knowing they have a plan and a partner that will help them consummate a liquidity event in a way that maximizes value.
Intermediaries
The majority of our engagements come through intermediaries who represent owners/management teams. Consumer Growth Partners welcomes the opportunity to work on an assignment for a traditional buyout or growth transaction in our sector. In addition, CGP can be helpful in assisting the intermediary (or company) in preparation for a formal transaction even though the timing may be premature given the company’s size, inconsistent performance, infrastructure limitations, current valuation, etc. In partnership with the intermediary, CGP can work with a company to make it transaction-ready and then return to the intermediary when a transaction can be efficiently completed.