DCA IS YOUR IDEAL PARTNER
Our goal is to provide promising middle–market businesses in our region with the intellectual and financial capital necessary to accelerate business growth and maximize value. By partnering with the management teams of our portfolio companies, we hope to help build and guide the long–term success of our investments for the mutual benefit of the owners and our investors. If you are looking for capital to accelerate your business growth, DCA is your ideal partner.
Our typical investment profile:
Industry: Generalist, across business services; light manufacturing and distribution; healthcare; retail and consumer products; media and publishing; information technology; construction services; sustainable technology and services; and food/beverage/agri-business
Geography: Underserved communities in California and adjacent states
Company Profile: Minimum of $10 million in revenues and profitable: (i) outstanding, proven and mature management teams; (ii) large, growing market opportunities; (iii) differentiated solutions with sustainable competitive advantages; (iv) scalable business models which are either profitable at the time of investment or have a clear, near-term path to profitability; (v) a clear path to liquidity in a five year timeframe; (vi) interests which are well-aligned between management and the Fund; and (vii) the ability for the General Partner and its General Partner Advisory Board to add significant value over the lifecycle of the investment.
Use of Capital: Expansion/growth (including acquisitions), recapitalizations, buyouts, financial restructuring, corporate spin-outs and divestitures, and consolidation opportunities
Investment Size: Generally $2-6 million, with capacity up to $30-50 million through our affiliated fund partners
Investment Life: 3-5 years
Management: Experienced, talented, passionate, honest and committed
Investment Structure: DCA typically invests through a preferred Equity instrument, and does not typically require any interest or dividend payments.
Management Control: In growth capital investments, DCA is most typically a minority (less than 50%) investor, allowing management to retain a controlling (greater than 50%) interest in the Company. By partnering with DCA, management teams can diversify their risk, expand their financial and intellectual resources, accelerate their growth trajectory, and partner with a firm with strong expertise in maximizing the value of the Company, and facilitating successful exits.
Minority Investment Opportunity: Given the geographic region we cover, we also look pro-actively for opportunities to invest in minority-owned or minority-targeted enterprises, particularly those serving the rapidly expanding Hispanic community.