Investment Criteria

Industrial
Products & Services
Sector Focus
Geographic Focus
$10MM - $200MM
Revenue
10% +
Ebitda Margin
$5MM - $15MM
Ebitda
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We seek companies with a proven history of profitability and recurring revenue without the requirement of significant maintenance capital. Far from being hands-off investors, we roll up our sleeves to help grow a company into a market leader. Rock Hill focuses on companies with the following characteristics.

  1. Market Niche and Market Size
    Established market niche, unique product and/or service generally free from commoditization with attractive growth potential
  1. Dynamic, Entrepreneurial Management
    Leaders with the management depth necessary to successfully implement a growth strategy
  1. Defensible Market Position
    Defensible barriers to entry from new domestic or international competition
  1. Scalability
    Management information systems, product sales, marketing and distribution conducive to scale without significant capital investment
  1. Strong Recurring Free Cash Flow
    Leverageable and predictable free cash flow
  1. Profitable
    Proven history of profitability and growth
  1. Reasonable Valuation
    A valuation commensurate with the company’s growth potential and investment risk
  1. Seller Reinvestment
    Willingness of the selling shareholders who are active in management to reinvest in the company’s future
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We are not considering investments in operational or management turn-arounds at this time.

Learn more about our current investments and our investment team.


Investment Strategy

We believe that past success is a great indicator of future performance. That’s why we invest in companies whose leaders have a history of proven success in building a business.

We seek privately held companies in the large but underserved small-to-lower middle market business sector with  EBITDA of less than $15 million.

Over the decades, our experience has taught us how to identify the paths businesses need to take to increase their opportunities and reach their full potential. We partner with strong entrepreneurs whose primary limitations to continued growth are long-term capital and the expertise to take their company to the next level.

Rock Hill works with these entrepreneurs at the appropriate stage of the business cycle, ready to lend our know-how and connections to match resources, potential, capital and leadership. Our goal is not to take over a company. It is to work with our entrepreneurial partners to learn how to best move the company forward -- and then follow through.

Our private equity firm partners with companies seeking:

  1. Recapitalizations
  1. Financial restructuring
  1. Growth initiatives
  1. Growth minority capital
  1. Management buyouts
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Learn more about our current portfolio of companies.