INVESTMENT PHILOSOPHY

Patience, rigorous analysis, and attention to detail are key elements that define the Quabbin Capital investment process.  Quabbin management believes that investment success is dependent on certain critical components.  These include having a close and productive relationship between sponsors, co-investors, and company managers.  When evaluating investment opportunities, Quabbin looks for companies with products and services that have proprietary advantages, strong margins, and a qualified management team in place. 

Given the complexity and risk that is inherent in private equity and mezzanine investments, as well as in all the alternative asset classes, Quabbin welcomes the opportunity to work with investment and management professionals with the experience necessary to enhance decision making processes.  The active participation of our sponsors and co-investor partners at the board or advisory committee level, and the cooperation of management at our portfolio companies, ensures we have a comprehensive, objective view of value creation opportunities, and that challenges are addressed and resolved constructively.

Investment Criteria

• Well established, profitable manufacturing or service companies with revenues in the $10 to $50 million range.
• Products or other business elements that have a proprietary advantage.
• Manufacturing processes based on advanced technology.
• Internal growth rate of at least 5 percent per year.
• Exit strategy is to sell investment in 3 to 5 years.
• Board representation or observer rights.