For over 30 years, DFW Capital Partners has partnered with business owners and management teams to drive growth and build great middle-market companies.
DFW Capital Partners is a private equity investment firm focused exclusively on the lower middle market. Since 1994, our firm has been sponsoring growth investments, leading management buyouts, and supporting consolidation strategies for businesses with EBITDA typically under $20 million.
Our investments can take many forms, including leveraged/un-leveraged buyouts, corporate divestitures, liquidity-driven recapitalizations, or growth and acquisition capital funding. Our hallmark is one of integrity, fairness, and forward thinking. We are disciplined, flexible, and creative.
Our team has extensive equity investment, investment banking, operating, and industry expertise, and we work closely with our management teams to create value in our portfolio companies. Our Operating Partners are seasoned industry executives who bring deep experience and valuable insights to our investment strategy and our portfolio companies, where warranted.
We are diligent, honest, and patient investors. Combined, these traits have allowed us to establish and maintain close and long-term relationships with our limited partners, co-investors, lenders, deal sources, and portfolio company management teams.
Industry Focus
DFW Capital Partners has extensive expertise in acquiring and growing companies in the Healthcare, Business, and Industrial Services industries. Over the years, DFW Capital Partners has demonstrated the ability to earn above-average investment returns via the management and enhancement of the resources required to grow.
Service-oriented companies that are of particular interest include businesses that possess:
- Competitive advantages through the proprietary use of technology
- Recurring revenue streams derived from integration into their customers’ daily business cadence
- High margin, scalable business models with strong unit-level economics
- Regulatory or compliance-driven business models with “sticky” customer relationships
- An ability to grow through selective add-on acquisitions to diversify service lines, expand geography, or deepen customer penetration.
Investment Strategy
DFW Capital Partners focuses its investment activities on making control investments in lower middle-market companies – generally defined as businesses with annual revenues of up to $200 million and annual EBITDA of up to $20 million, though we are flexible investors and considerate of the specific characteristics of any given opportunity.
We believe this segment provides an outstanding source of investment opportunities. In this segment, we can bring significant value to our portfolio companies through improvements in financial management, business strategy, strategic acquisitions, and exit planning.
Properly executed, this investment approach can lead to above-average revenue and earnings growth, as well as expansion in enterprise value multiples upon exit.
Our approach is long term. We identify key strategic growth areas, assist in the recruiting of senior executives, development of sustainable and scalable organization structures, identify and support add-on acquisitions and their integration, and facilitate access to both private and public capital.