I. Focus
Our primary focus is on businesses with high cash flow generating capabilities. Our primary focus is on asset light businesses with high cash flow generating capabilities.
We invest primarily in growth capital focused on business services, consumer, media, technology, healthcare and retail.
Stelac also acts as a liquidity provider to entrepreneurs looking to partially exit their holdings.
Typically geography agnostic but focus primarily in US opportunities.
II. Sourcing
We only invest in deals sourced from our personal and business network. No brokers or bankers.
We do not participate in auctions or competitive bidding situations in order to maintain more flexibility.
Stelac is comfortable doing deals with 3rd Party PE specialty funds and family offices.
Prefer to work closely with management to determine the right investment approach depending on each individual situation.
III. Size
Generally we seek growth oriented businesses that are profitable or have a clear short term path to break-even or profitability.
We also consider late stage venture investments in the $250,000 - $1MM range in companies with proven business models.
For secondary purchases or pre-IPOs, we look for the #1 or #2 leader in the particular space with a clear path to liquidity in 24 - 36 months
IV. Types of Investment
We invest in a variety of instruments that best fit the needs of the companies we participate in.
Typically Preferred Stock for Growth Capital and Common Stock for Secondary's.
We partner with management to invest in businesses for the long term.