Red Iron Group invests in lower-middle-market businesses where the right combination of capital, partnership, and operational expertise can produce a category leader. Our goal is to help you multiply the scale and value of your business.
Built to Back Exceptional Leaders
Services businesses that use technology and AI well will outcompete those that do not, and the gap is widening faster than ever. We look for businesses where technology and AI can improve the customer experience, the service delivery model, and the underlying economics. Then RIG Builders builds it alongside your team, focused on what drives real business outcomes, not the hype.
We seek businesses with proven strengths in their customer relationships, service portfolio, business model and talent. We have a high bar for quality and we concentrate our resources behind a small group of companies where we can have impact.
Some of the most important factors in growing business value are the ability to grow your business ahead of competitors and maintain high returns on capital. This shows up in growth and durability of underlying cash flows. This is where we focus our efforts as your partner.
We believe it is better to be a consolidator than to be consolidated. Businesses consolidate their position in their market both organically and through acquisitions. We have deep experience pursuing both approaches.
Annual revenue up to $150M. We are most active in this range and concentrate our resources where we can have the greatest impact.
Demonstrated profitability, with EBITDA up to $20M. We look for businesses with a track record of generating cash flow.
We seek businesses that could potentially be recurring or reoccurring built on durable customer relationships and end markets.
Demonstrated organic growth, with room to accelerate through go-to-market excellence and strategic M&A.
Services businesses, both physical and knowledge-based, that we can support in becoming truly tech-enabled market leaders.
Management teams that are hands-on, deeply knowledgeable about their industry, and committed to building a market-leading business over the long term.
How We Build Value
Every Red Iron Group investment involves working with the leadership team at the company to establish the most effective way to partner with RIG Builders, our internal team of hands-on operators, to turbo charge the work required to build a market leading business. We work with the teams in which we invest to build a clear strategy and a concrete value-building plan, then execute it together across technology and AI, go-to-market, talent and organization, and service delivery excellence.
The goal is always the same: building a category leader and multiplying the scale and value of your business.
No two businesses, and no two owners, are the same. We structure every investment around the goals of the owner and the business, not around fund timelines or a standard template.
For owners who want to take meaningful money off the table at close, we can buy part or all of the business, structured around what you need.
Owners can keep significant equity going forward and participate in the value we build together.
We are built to hold businesses for as long as it takes to build something truly exceptional. No arbitrary exit timeline forcing decisions that are not right for the business.
From First Conversation to Close
Taking on a capital partner is one of the biggest decisions an owner makes. We treat it that way. Our process is confidential, collaborative, and respectful of your time and your team.