What We Look For

Peninsula Capital Partners seeks to invest in companies that are strong performers within their industry and that have superior management. Some specific attributes we look for are:

Management Ability and Motivation. We believe capable management is a company’s most important asset. Therefore, we require that management has a strong track record and has adequate financial incentives.

Historical Performance. A demonstrated record of successful operations is essential; however, we will consider “storied” situations in which non-recurring events have negatively affected past performance, or in which recent developments position the company for improved future performance.

Defensible Market Position. A company should have a well-defined market niche and the ability to defend its position through superior product/service attributes, distribution channels, customer relationships and/or cost structure.

Coherent Business Plan. Management’s business plan should be comprehensive and identify the resources required to enact it.

Critical Revenue and Earnings Mass. A company must be mature enough to have proven the viability of its business concept both in terms of longevity and revenues/earnings. In most situations this means at least five years of operations and $3.0 million of earnings before interest, taxes and depreciation (EBITDA).

Industry Outlook. The industry in which a company operates should have positive fundamentals and not be overly prone to volatile cyclical swings, exogenous shocks or excessive regulatory oversight.