The Burns Firms Capital Partners
Who We Are
The Burns Firm Capital Partners is a Middle Market Private Equity and Investment Bank that provides capital and Investment Banking services to small and medium sized businesses across America. The Burns Firm Capital Partners operates as an affiliate of The Burns Firm, a CPA and Financial Consulting firm.
Our goal is to partner with businesses to reach their next level of growth. If capital investment is needed or help creating a plan to exit a company with maximum cash in hand, we can help. Through our team of experienced CPA’s, Financial Consultants, and investment professionals, we have been successful in increasing company growth and profitability while providing business owners options for their exit plans for over 25 – 30 years.
We partner directly with entrepreneurs to understand their businesses and their goals. Whether we are providing capital, selling the business, or providing an equity investment in the company. Our objective is to partner with businesses to unlock hidden value.
What Sets Us Apart?
The Burns Firm Capital Partners offers services that no other private equity firm can offer. Our affiliation with an accounting firm and an investment bank allows us to provide valuable insight into a company’s financial health and offer a wide array of services.
Financial Transparency
The accounting Firm can evaluate and determine if your financials are in need of a “clean up”. These services add transparency and value to you as a potential client while also lowering your risk of being passed over by other Private Equity and Investment Banking firms due to accounting inconsistencies.
Liquidity Events
If exit timing is an issue, the Investment Banking division can provide complete upfront liquidity. If exit timing is not an issue, the Capital Fund can provide a long-term transition through a hands-on equity growth investment. The primary question is when and how would the business owner like to transition out of the company.
Let Your Capital Grow
After a liquidity event, you may need a financial advisor or wealth management professional. We can direct you to a path that fits your capital needs by facilitating an introduction with one of our decade-long partners in the financial advisory and wealth management arenas.
Services
The Burns Firm family of companies works directly with entrepreneurs to understand their business and goals. We understand the tireless efforts devoted to building a company and apply these same efforts into each company we partner with, whether we are providing capital, selling, or growing the business.
- Growth Capital: Private Equity Services
- Liquidity Events: Investment Banking Services
- Organizing Finances: CPA and Accounting Services
Growth Capital: Private Equity Services
Capital Injection Through Numerous Investment Vehicles
The Burns Firm Capital Partners understands that each business has its own culture and values that make it unique and valuable. We also know that there are pitfalls and mistakes that many businesses make. For over 30 years, we have been successful in partnering with businesses to unlock growth and efficiency strategies during good and poor economic cycles.
We invest our own capital into each company that we partner with, this allows for a truly aligned interest between our firm and business owners alike. No company is alike, and neither is our partnership strategy. Whether we are providing Senior Debt, Mezzanine Debt, Preferred Equity, or Common Equity, we design each transaction to make sense for all parties involved.
We typically partner with existing management to grow the company or completely assume operational control to allow the business owner full immediate exit. We enact these strategies through the services listed below
Capital Raise: Debt
The Burns Firm Capital Partners offers opportunities through diverse strategies designed to generate growth capital through debt investment offerings to meet the needs of each of our clients with respect to balancing liquidity, return, and risk appetites.
Our Debt placement model utilizes our expertise to help companies achieve their full potential through our many proprietary lending vehicles.
Capital Raise: Equity
The Burns Firm Capital Partners provide opportunities to generate growth capital through equity investment offerings to meet the needs of each of our clients with respect to balancing liquidity, return, and risk appetites.
Our long-standing capital relationships provide us with a working knowledge of institutional investors’ decision-making processes, legal concerns, and structuring preferences.
Equity Investment
We take a long-term, hands-on equity investment approach to help companies achieve their full potential by injecting our own equity capital into the firm or directly to the business owner as well as leveraging our operational experience to uncover value.
Our capital fund can assist in all stages of a company’s growth, from its inception to its expansion.
Equity Investment Criteria
The Burns Firm Capital Partners was founded with a vision to create a different kind of private equity firm — a firm that centers its operations on mutually aligned interests and investing patient capital to build successful American businesses for the long term.
We recognize that real long-term value is created by partnering with the right management teams — to identify and execute strategic and operational initiatives. We look for companies that we can add value throughout the ownership cycle focusing on key market and company areas, which are listed below.
Target Financial Criteria
- Annual revenues of at least 3 million
- Annual EBITDA of at least 1 million
- Enterprise Values from $1 to $60 million
Target Industry Criteria
- Leading market positions of specialty niches with potential for profitable growth
- Under-performing businesses with clear opportunities for growth
- Companies that would benefit from our operational, organizational and/or financial resources.
Target Sectors:
- Communications
- Construction Services and Products
- Distribution
- Energy Services
- Food and Beverage
- Industrial and Consumer Goods
- Manufacturing
Target Location
- Typically, we prefer companies based in the southern United States.
Liquidity Events: Investment Banking Services
Upfront Complete Business Owner Exit Strategies
At The Burns Firm M&A Advisors, we are prepared to utilize all our resources to assist in making your purchase, sale, merger, or restructure successful. We are experienced in assisting business owners in all aspects of the process, and work closely with the other professionals (brokers, attorneys, credit officers, etc.) on your team.
Experience – “As in anything, the more experience one has the better they are and vice versa. We have been involved in literally hundreds of acquisitions and sales of businesses over the past 30 years. We can almost always determine a tax efficient way to save thousands of dollars payable to the IRS.”
Mr. Burns has spoken at conventions with the Texas Association of Business Brokers and the International Business Brokers Association in Texas and around the country for over a decade. Ask us about some of our “war” stories in completing difficult transactions and in saving buyers and sellers thousands of dollars.
Corporate Restructuring and Turnaround
We work directly with distressed companies and small businesses as well as executives that are troubled with sudden and dramatic challenges from disruptive market forces or other factors.
Our corporate restructuring and turnarounds services help large companies and even small businesses that are facing significant financial and operational challenges, these troubles can include rapidly deteriorating performance trends, excessive leverage, liquidity concerns, loss of key management or clients, and refinancing risks associated with Chapter 11 or Chapter 7 bankruptcies. Depending on the root problems to each situation, we can assist in a Divestiture, Equity Carve-out, Spin-Off, Split-Off, Liquidation or Operational Consulting.
Tax Mitigation and Transaction Structuring
The structure of any deal is critical. We can help establish the best structure for a transaction to achieve the best tax and economic results. There are numerous complicated tax laws relating specifically to purchases, sales, mergers and liquidations, and a wrong choice can result in a larger current tax liability and/or an ongoing tax cost.
There are also many non-tax issues that need to be dealt with in structuring a transaction. These might include various accounting requirements, carryover of seller’s liability to purchaser, personal liability of purchaser and seller to outsiders, and satisfaction of investor’s/lender’s requirements. Buyers, sellers and/or merger partners all need to know how a particular structure will affect them. We can assist in evaluating all these issues and help design the appropriate structure.
Business Valuations
A major step in any purchase, sale or merger is determining the value of the business(s) involved. Buyers need to know how much to offer for a business, sellers need to know how much to ask for their business, and merger partners need to know the respective values of their business before all the parties can come together. In many cases, we act independently in valuing a business to assist in bringing buyers and sellers together.
Audits
Many purchasers and/or merger partners require the seller or merger partner to have audited financial statements for at least one year and in many cases several years. This provides the purchasers and/or merger partner with a level of confidence in the financial statements from which they may be making their offer and will be basing their business plan.
Due Diligence
Most purchasers and/or merger partners require certain due diligence procedures to be performed prior to closing their deal. These procedures vary dramatically depending on the particulars of the transaction. Some typical procedures include: search for unrecorded liabilities, review of tax returns to determine outstanding tax exposure, review of corporate stock and minute books, lien searches, and review of lease documents.
We will also review employment contracts, purchase commitments, and other contracts, review the business plan, analyze the accounting systems and cost control systems, and confirm the term and status of loan agreements. We help establish the most cost-effective due diligence procedures necessary, and act as the catalyst to completing them.
Forecasts and Projections
It is imperative that purchasers and merger partners know how the business will operate after the transaction is complete. They also need to know whether future goals are attainable. Such issues as adequate cash flow to service acquisition debt and pay dividends and profitable operations need to be addressed. We can assist in preparing realistic forecasts and projections to explore these issues and satisfy outside lenders and/or investors as to the viability of the project.
Organizing Finances: CPA and Accounting Services
Tax, Compilation, Review, Bookkeeping, Accounting, and more
Generally, with closely held and privately-owned businesses, improper controls and inconsistent accounting methods exist and ultimately lead to a disorganized accounting system as a whole.
Typically, Private Equity and Investment Banking firms penalize or do not fully evaluate companies that have disorganized accounting systems.
Being affiliated with an accounting firm, we can easily engage their staff to clean up a company’s financials. This is beneficial to entrepreneurs by increasing the transparency and value of the client’s business. Thus, we are able to evaluate companies that have typically been passed over by other Private Equity and Investment Banking firms.