GT Entrepreneurs
At a Glance
A small check with the clearest published arithmetic on the shelf, and a stated price ceiling behind it.
- Pricing
- Custom Pricing, 'We are ideally looking to purchase a total of 1 or 2 units in most situations. This equates to roughly a 6%-16% equity stake assuming an average search fund raise of $480,000 with an average number of 12-16 units being sold.' It adds a price discipline: 'We are ideally not paying above 6x for any particular business.'
- Best For
- A traditional searcher assembling a unit round who wants an investor whose arithmetic is already on the page
- Track Record
- Founded 2017, with four named portfolio companies dated between 2018 and 2020.
- Lane
- Traditional
- Funds
- The search phase and the deal
- Based
- Pittsburgh, Pennsylvania, backing searches for businesses anywhere in the United States.
- Invests
- Traditional search funds hunting businesses of the size the published research on the asset class describes, with a stated leaning toward construction, advanced manufacturing and supply chain.
- Published Terms
- One or two units of a search fund, which it works out on its own page as roughly a 6% to 16% stake, and a stated ceiling of not paying above 6x for a business.
- Roadmap Stages
- 3. Set Up & Fund the Search
Pros and Cons
Pros
- Publishes the unit count, the typical raise, the unit spread and the resulting stake, so the check needs no negotiation to understand
- Publishes a maximum multiple, which nothing else on this shelf does
- States the geography in one sentence: businesses anywhere in the United States
- Names four portfolio companies with the year of each
Cons
- One or two units of a typical raise is a small position, so it participates in a round rather than anchoring one
- The earnings band it quotes is drawn from a published study of the asset class rather than being its own mandate
- Applications run through a form, and the most recent portfolio addition shown is several years old
What Searchers Say
The unit arithmetic, the multiple ceiling and the US geography rule all read from its own FAQ. Its buy-side analyst internship is also on this site's job board.
How to Approach
Firms do not publish a term sheet you can prepare against, so this is how traditional (investor-backed) search capital comes in, what it weighs, and how to arrive ready.
The Typical Arc
- A first conversation on your background and why search, before any deal.
- A deep dive on your plan: industries, criteria, and how you will source.
- Backing for the search itself, then a fresh underwrite when you bring a live deal.
- A board seat and governance once you close.
What It Weighs
- Whether you will finish a two-year search, not only start one.
- The quality of your thesis and target criteria.
- How you will behave on a cap table over a long hold.
How to Prepare
- Bring a sourcing thesis, not a blank slate. Buyer Profile Builder
- Know which firms lead versus follow, and on what terms. Investors
- Make your operator case on one page. Buyer Profile Builder