Investment Criteria

JZ Partners seeks to invest in profitable, well-managed businesses. While every transaction is unique, each company exhibits certain characteristics that are consistent across the portfolio, notably exceptional management strength and an opportunity for accelerated growth.

Investment Parameters

Company Size

  • Up to $200 million in enterprise value
  • No minimum size for add-on acquisitions

Industry Characteristics

  • Sufficient industry scale
  • Consistent profitability
  • Minimal regulatory risk
  • Low risk of technology obsolescence
  • Non capital intensive
  • Highly fragmented

Geographic Focus

  • U.S. and Canada

Transaction Types

Equity Recapitalization

As entrepreneurially run companies evolve, there comes an appropriate time to consider bringing on additional resources to help take the business to the next level. JZ Partners has a long established record of backing owners and management teams to accelerate growth. An equity recapitalization allows shareholders to realize value for a substantial portion of the business, while also providing resources to capitalize on market opportunities through organic investments, strategic acquisitions and/or international expansion. An equity recapitalization with JZ Partners offers an ideal option to company founders and shareholders who are seeking liquidity but still want to retain significant ownership and operating control of their company. Maintaining the legacy and culture of a business is paramount to the JZ Partners investment model.

Management Buyout

Often times a privately held business is run by professional management, with no members of the founding family involved in day-to-day operations. The founding shareholders will ultimately seek liquidity. In these cases, JZ Partners will work with existing management to purchase the company from the family through a “Management Buyout.” A Management Buyout can provide the optimal solution for shareholders who are looking to transition their ownership while also positioning the company, its employees and management for continued success. JZ Partners provides for complete or partial liquidity, and management continues to oversee the future growth of the business. The executive team is also provided the opportunity to participate in future value creation, through equity ownership or various other incentive plans.

Family Succession Plan

“Succession planning on your terms” is a unique and time tested alternative offered by JZ Partners. The principals of JZ Partners have a more than 30-year history of investing with founders of family-run businesses as they transition ownership to the next generation. When the time comes for necessary estate and financial planning, JZ Partners has the ability to offer effective alternatives to diversify the owner’s net worth and transfer wealth to the next generation in a customized and tax efficient manner. In all cases, shareholders continue to own a significant equity stake and maintain operational control of the business. In most cases, no one outside the company realizes a transaction has even taken place.

Growth Equity / Minority Investments

In select instances a minority capital infusion is a possible alternative to help shareholders reach their objectives. Growth equity investments are structured to provide the necessary resources to achieve company goals. JZ Partners provides the capital necessary to execute on strategic acquisitions, make incremental capital investments, accelerate product development, provide for additional working capital and/or repay bank or long-term debt, among other things. In all cases, JZ Partners becomes an important financial resource to the company going forward.