C&E seeks high-growth companies (including minority-owned and women-owned businesses) that possess the ability to be transformational for the benefit of economic development in Tennessee, and have the potential to generate favorable returns on invested capital for C&E’s stakeholders, including the State of Tennessee. C&E utilizes its broad network of industry relationships and its depth of operational experience to help portfolio companies flourish and grow.
We adopt a generalist approach to investing and consider companies across many different industries. Although we are especially familiar with healthcare, services, and information technology businesses, we do not limit our investment focus to these markets.
We consider opportunities along multiple points of the development spectrum, from seed and early stage businesses to expansion capital for growing companies.
While we are comfortable investing alone, we often partner with other investment funds to maximize the amount of equity capital available to complete an investment. We also work closely with lenders to help our portfolio companies access the credit they need.
Post-investment, our team remains actively engaged with the management teams of our portfolio companies, often with representation on the board of directors. We leverage our deep network of relationships with industry operators to help our companies succeed.
Does the management team have relevant industry experience and the demonstrated ability to scale an organization? Are key new hires and additions to the team necessary?
Does the proposed product or service target a sufficiently large addressable market to achieve superior financial returns? Can this become a transformational business?
Is revenue sold at verifiably high margins? Does a high percentage of revenue come from recurring and repeating customer purchases?
Will the business be successful on a reasonable amount of invested capital? Does the company have a lot of near-term momentum?
Is the amount of concept risk too great to evaluate in a manner consistent with an appropriate tradeoff between investment risks and rewards?
Does the company maintain its headquarters and primary place of business in Tennessee? Are there 100 employees or fewer? Are at least 60% of the employees in Tennessee? Read more…
© 2011 Council & Enhanced TN Fund, LLC