What does a private equity investor look for when making an investment?
The ultimate aim of private equity investors is to create value. In turn, they look for high quality management teams with a credible plan to grow their business. Private equity investors are long-term investors and work with the company’s management to improve the company’s performance and strategic direction by aligning incentives, revising business plans, making operational improvements and strengthening management itself. With this mentality to buy and build, coupled with a disciplined approach to organisational governance, private equity investors display a nimbleness and adaptability that drives the value of their investment up.
