Portfolio Philosophy

In order to maintain a risk-balanced portfolio, Meritas focuses on targets meeting minimum performance thresholds with positive trends over time. Additionally, we actively seek businesses that will benefit from investment in technology such as CRM, ERP, and workflow optimization.

Meritas stays out of the way of the day-to-day. We work with management to develop a strategic plan and deliver the resources and experience necessary to execute on that plan.

Target Criteria

  • Typically five or more years operating history
  • Strong recurring (or highly predictable) revenue
  • $1.5M+ EBITDA with 10%+ EBITDA margins
  • Favorable market opportunities
  • Stable or growing industry
  • Established management team
  • Ongoing owner participation when appropriate

Meritas drives toward win-win-win scenarios, where sellers, investors, and employees share in the benefits of the transaction.

Transaction Characteristics

Meritas focuses on successful outcomes for all stakeholders: sellers, investors, and employees. To this end, we will consider the following transaction types:

  • Recapitalizations
  • Growth equity investments
  • Management buyouts
  • Corporate spinoffs
  • Strategic acquisitions / industry consolidations