Frequently Asked Questions (FAQ's)

Answers to common queries about partnering with 2iC Ventures

What types of businesses does 2iC Ventures invest in?
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We maintain an open-minded approach to investments, with a particular interest in profitable U.S.-based businesses across various industries. Our primary focus areas include niche SaaS, tech-enabled services, and traditional businesses. However, we're always eager to explore exceptional businesses in other sectors that align with our investment criteria.

What are the typical financial criteria for businesses 2iC Ventures considers for acquisition?
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While we assess each opportunity individually, we generally look for businesses with $500K to $3M in free cash flow, gross margins of 50% or higher, and net income margins of 20% or above. We also prefer companies with at least 3 years of consistent profitability and growth. That said, we're open to considering businesses that may not meet all these criteria but demonstrate exceptional potential in other areas. Our goal is to identify companies with strong fundamentals and opportunities for sustainable growth.

What does "permanent capital" mean for businesses acquired by 2iC Ventures? 
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Permanent capital reflects our long-term investment approach. Unlike traditional private equity firms that typically aim for quick exits, we don't operate under pressure to sell businesses within a set timeframe. This allows us to focus on sustainable, long-term growth strategies without the urgency of a near-term exit.

What is the typical timeline for completing a business sale to 2iC Ventures? 
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We've streamlined our acquisition process to be both efficient and thorough. Generally, the process takes 30-90 days from initial discussions to closing the deal. Our goal is to move swiftly while ensuring all aspects of the transaction are handled properly.

How do I get started with 2iC Ventures if I'm interested in selling my business or seeking advisory services?
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Getting started with 2iC Ventures is straightforward and tailored to your needs. The first step is to reach out to us through our website's contact form or by emailing hello@2icventures.com. We'll schedule an initial conversation to understand your business, goals, and how we might work together. This informal chat helps us both determine if there's a good fit. If you're considering selling, we'll guide you through our streamlined acquisition process. For advisory services, we'll discuss your specific challenges and outline a potential engagement. Remember, this initial discussion is exploratory and confidential - it's about opening a dialogue and exploring possibilities together.

Can business owners remain involved with their company after selling to 2iC Ventures? 
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We offer flexible arrangements tailored to each situation. If you wish to continue leading the company, we welcome your ongoing involvement. Alternatively, if you're ready to transition out of the business, we're prepared to take on full management responsibilities. We'll work with you to determine the best approach for both you and the business.

How does 2iC Ventures contribute to the growth of acquired businesses? 
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Our approach to business growth is comprehensive and tailored to each company's needs. We focus on enhancing operations, providing strategic guidance, and leveraging our network of industry experts. Our goal is to drive growth while preserving the unique elements that have made your company successful.

How does 2iC Ventures approach employee retention and company culture after an acquisition?
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We recognize that employees and company culture are crucial to a business's success. Our priority is to preserve and nurture these elements. We don't believe in unnecessary restructuring or cultural overhauls. Instead, we aim to support and enhance the existing team and culture that have contributed to the company's achievements.

How does 2iC Ventures' approach differ from traditional private equity firms?
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Our approach at 2iC Ventures is designed with small business owners in mind, setting us apart from many traditional private equity firms. We focus on long-term, sustainable growth rather than quick exits, emphasizing the preservation of company culture and legacy. Along with capital, we bring operational expertise to help drive meaningful improvements. Our acquisition process is streamlined and transparent, and we're committed to holding investments indefinitely, allowing for patient, steady growth. This approach aligns more closely with the values and goals of small business owners, creating partnerships built on mutual understanding and shared success.

What is the 2iC Business System, and how does it benefit acquired companies? 
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Our 2iC Business System is a comprehensive framework we've developed to drive success in our portfolio companies. It addresses four key areas: Employees, Strategy, Execution, and Finance. This system allows us to nurture leadership, develop sustainable growth strategies, boost efficiency, and manage resources effectively. By implementing this system, we help our acquired companies overcome common challenges and position them for long-term success, all while preserving their unique strengths and culture.

Does 2iC Ventures offer advisory services to businesses not looking to sell?
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We understand that not every business owner is looking to sell, and we're here to help regardless of your current plans. Our advisory services leverage the same expertise we use in our portfolio companies, covering areas such as business model optimization, operational excellence, tech-enabled strategies, and performance and culture enhancement. Whether you're seeking to grow, improve operations, or simply explore your options, we're ready to provide tailored guidance to help your business thrive.

Still have questions?

For any other questions, feel free to reach out to us at hello@2icventures.com

Ready to write your next chapter?