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Search Funds: A Once-obscure Asset Class Now Worth Getting Excited About

via Strelia

A European examination

Pioneered by the Stanford Graduate School of Business, search funds enable aspiring entrepreneurs to find, acquire, and grow existing companies into high-performing businesses. Search funds have been rather popular in the US for many years and were relatively unheard of in Europe until recently. They are now indeed reaching new heights in terms of the number of funds raised, acquisitions made, amounts of searcher equity earned. Several private equity firms have also begun investing in search funds. In this Series, we take a closer look at the concept of search funds, how they work, their success factors, as well as their risks.