Entrepreneurs who do not want to sell control of their companies will find the Structured Equity Fund particularly attractive. Traditional sources of capital, such as public equity, high yield debt and commercial bank financings are increasingly difficult to obtain for middle market companies. The strategy of our Structured Equity Fund is an ideal solution for independent entrepreneurs looking to retain a substantial portion of their company’s equity. These funds focus on companies with revenues between $100 million and $750 million.
The principal component of LLCP’s structured equity investment strategy is investing in established and growing companies through a combination of securities, such as subordinated notes, preferred stock and common stock. The investment includes a current return and an ownership component. The current return often reduces the amount of equity ownership required by LLCP.
Post investment, management teams benefit from LLCP’s value added expertise as we offer sophisticated financial and strategic advice, introductions to new contacts, as well as follow-on growth and acquisition capital to fully realize returns for the company and for our institutional partners alike.