Most private equity firms invest in an existing business. They evaluate opportunity by the numbers. But SGH’s investment criteria are different. We start by evaluating the people behind the business. At Simon Group Holdings, we look at every transaction differently because we are industry-agnostic. Simply put, if it’s the right opportunity and involves the right people, we will move forward. As Sam Simon says, “A business is not all about the balance sheet. We look at every aspect of their business. We look at their back office, their culture, but most importantly… their people. “
It has been this way from the our inception. When Sam built Atlas Oil from the ground up 32 years ago, he created and instilled a culture and attitude that still resonates across all the Simon Group Holdings companies today. Here, we love what we do and it’s shown in the actions of every member of the SGH team, professionals who possess an inherent set of shared values that we pride ourselves on. In business there are always going to be problems. But we know there is a solution to every problem. Our executive team members all come from strong operational backgrounds. They have the know-how to solve complex problems and challenge our team to make changes. Ultimately, our success as a top private equity and venture capital firm is constantly driven by collaboration, innovation and putting the right tools in place.
Sam and the entire Leadership Team are financially invested in every transaction. Senior management from legal, accounting, financial analysts, human resources and operations are involved in evaluating each one. Our investment strategy is quite simple. We acquire companies that need a strategic financial investment partner that would benefit from our strong operational background and our focus on enhancing technology. We seek to acquire organizations that would benefit from our network of companies that can be used for cross-pollination. We are not in the business of buying and flipping companies. We are in the business of growing organizations and the management team within it.
What we look for in our investments
It all begins with culture and people. These are the key factors we look for in attracting new acquisitions and building out new technologies:
- Verticals that need an investment with change/growth/technology
- Legacy businesses that are slow to adopt to digital technology
- Entrepreneurial operators
- Businesses that can be complemented with add-ons once acquired
- Businesses that have synergies with SGH family of companies
- The ability to add digital technology and innovation
KEY AREAS OF EXPERTISE
SGH has nine core areas of expertise that our businesses have shared experiences across. This experience allows us to leverage or core competencies between the companies within the SGH portfolio. Those areas include: