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Forming great partnerships.
Who’s a good match.
Convergent considers financing partnerships with companies from a broad range of industries and management teams exhibiting these characteristics:
Positioned within a strong industry
Expected to generate significant growth in cash flow and value
Proprietary technologies, processes, and/or products
Motivated and resourceful management team with aligned interests
Adequate liquidity and experienced equity backing if sponsored
Multiple future exit strategies
Annual revenues in excess of $10 million and positive cash flow from operations
As a licensed SBIC, Convergent invests in companies that meet the U.S. Small Business Administrations definition of a small business:
Net worth of $18 million or less, and
An average net income of $6 million or less over the past two years
Typical investment.
Investment size of $3 million to $12 million with the ability for add-on investment.
Structure senior or subordinated debt with equity warrants or other yield enhancements
Preferred or common equity investments are also considered
Industry Focus Convergent will consider investments in a broad range of industries
Geographic Focus Convergent will consider investments across the United States
Term from 3 to 7 years