Core Partners Using the Model to Accelerate Growth Through Fully Integrated Tuck-Ins
At BroadStreet℠, we work alongside our Core partners as they execute their tuck-in acquisition strategies by providing them with financial, sourcing and legal support.
The reason that we label them “tuck-in” investments is because our partners fully integrate, and quite literally, “tuck” these agencies “in” to their operations, systems, processes, and cultures.
Tuck-in integration is a critical capability that all of our partners possess: simply, it allows them to more efficiently manage and control their businesses. The average size of a Core partner is $25 million in revenue. These are large, sophisticated business, and fully integrating their own investments allows them to avoid having a collection of disassociated acquired agencies. This would be difficult and inefficient to manage.
It also highlights the efficiency and focus of BroadStreet’s℠ approach: we focus our efforts on being a great partner to an exclusive group of Core partners.
During the first quarter of 2019, BroadStreet℠ and its Core partners made 9 new investments with $41 million in annualized revenue. This includes 8 tuck-in investments and one new Core partner. With these investments, we strengthened our presence in the Midwest and Western states and also welcomed 20 new co-owners who have direct equity ownership in their agencies.
Our co-ownership model attracts talented and entrepreneurial partners who want to continue to build their businesses. We remain well suited for agency owners who need a partner to help them execute their own organic growth and acquisition strategy.
To begin a discussion about partnering with BroadStreet℠ and our Core partners, please contact me.