Leaving mid-market PE to become an independent PE sponsor, with CRP's Nathan Chandrasekaran

Episode 14 March 14, 2023 00:50:03
Leaving mid-market PE to become an independent PE sponsor, with CRP's Nathan Chandrasekaran
Masters in Small Business M&A
Leaving mid-market PE to become an independent PE sponsor, with CRP's Nathan Chandrasekaran

Mar 14 2023 | 00:50:03

/

Show Notes

My guest today is Nathan Chandrasekaran, Co-Founder and Partner at Columbia River Partners (CRP). We start by discussing the impetus that pushed Nathan to leave behind a comfortable and prestigious career path in NYC at middle market private equity firm TZP Group.  From there, we hear all about the entrepreneurial risks, opportunities and considerations associated with building an independent private equity sponsor. 

You’ll hear about the point at which Nathan decided to start his own firm, advice for others considering this type of career move, and hear Nathan’s very detailed answers to some questions around the processes his team has established for deal sourcing, raising LP capital, and generally defining priorities at CRP. Discussion points include:

  Nathan’s background and decision to leave

  Nathan’s thoughts on how to go out on your own

  Developing investment themes and criteria at CRP

  Deal-by-deal structure vs. fund model considerations

  Prioritizing new deals vs add-ons in 2023

  Raising LP capital and the terms that matter - economics, governance, reference

  Previous and current approaches to winning deals

  Seller financing, avoiding long difficult earnouts, creating a larger incentive pool

  Talent and building the team at CRP

CRP now has multiple companies under its umbrella including Sagetech Avionics, Tinifiber, and Business Solution Partners. The firm focuses on industries like Hardware Components/Manufacturing, Hardware/Software Distribution, Industrial Technology, and IT Services - all in North America. CRP is passionate about people and introducing technology to traditional business models.

This podcast is produced by the team at Axial (www.axial.com). Axial is an online platform that makes it easy for small business owners to confidentially research and connect with top-ranked M&A advisors and vetted capital partners. I am your host, Peter Lehrman, Founder and CEO of Axial. In every episode, we explore the vast world of small business M&A, interviewing both proven and emerging owners, operators, investors, and advisors whose strategies and methods are being put to the test.

If you enjoy the podcast, give us a review on Apple or Spotify. If you’d like to go deeper, head to Axial.com, where there are dozens of recorded Axial member roundtables, downloadable tools for dealmakers, quarterly league-table rankings, and lots of other useful information. If you’re a business owner, professional acquirer, or M&A advisor, you can get started using Axial for free at Axial.com.

 

Resources:

Nathan Chandrasekaran LinkedIn

Columbia River Partners 

Peter Lehrman LinkedIn

Axial Website

Other Episodes

Episode 18

June 27, 2023 00:51:56
Episode Cover

Nick Leopard - Learn How the Very Best PE Firms Transform the Finance Function

Today Peter Lehrman welcomes Accordion’s CEO and founder Nick Leopard onto the podcast. Nick started Accordion after prior chapters in investment banking and private...

Listen

Episode 23

November 07, 2023 01:05:36
Episode Cover

A hero’s journey: Mike Botkin and the OneOutdoor Holdings journey from start to exit.

In this episode, Mike Botkin, founder and CEO of OneOutdoor Holdings sits down with Peter Lehrman. The conversation starts with the OneOutdoor Holdings origin...

Listen

Episode 8

October 04, 2022 00:44:20
Episode Cover

Ken Heuer - How to Win as a Generalist Family Office in the Lower Middle Market

My guest today is Ken Heuer, Principal at Kidd & Company, a principal investment firm with a unique approach to designing businesses that transform...

Listen