Investment Focus & Thesis

CenterGate Capital focuses on lower middle market companies across several key sectors. Their investment thesis centers on partnering with management teams: Investment Range Equity investments typically ranging from $15 million to $50 million in companies with $20 million to $250 million in revenue. Assets Under Management Over $750 million in assets under management across multiple funds. Business services — Recurring revenue business services companies Consumer products — Branded consumer products and retail Healthcare services — Healthcare and medical services businesses Industrial services — Value-added industrial service providers Distribution — Wholesale and distribution companies

Notable Portfolio Companies

CenterGate Capital has built a diversified portfolio across multiple sectors: Company Sector Notes Mid-State Industrial Industrial Services Industrial services company Skid Pro Attachments Manufacturing Attachment manufacturer MHW Beverage Wine and spirits distribution Powertex Industrial Industrial products Frontier Business Services Business services platform Dixie Consumer Products Consumer products company CenterGate Capital continues to actively pursue lower middle market opportunities, having raised over $375 million for their sophomore fund and managing over $750 million in total assets.

What CenterGate Capital Looks For

Based on their investment patterns, CenterGate Capital evaluates opportunities based on: Market position — Strong competitive positions in growing markets Management teams — Experienced operators with proven track records Growth potential — Clear pathways to growth through organic expansion and acquisitions Recurring revenue — Business models with predictable revenue characteristics Operational excellence — Demonstrated operational capabilities }> Pro Tip CenterGate Capital looks for companies with $20M-$250M in revenue. If your company is outside this range, they may still be interested if there's strategic fit. Be prepared to discuss growth plans and acquisition strategies.

How to Connect With CenterGate Capital

Approaching CenterGate Capital requires demonstrating your company's growth potential: 1 Demonstrate Market Leadership Show your competitive position in your industry. CenterGate looks for companies with strong market positions. 2 Present Growth Strategy Be ready with clear pathways to growth through market expansion, new products, and acquisitions. 3 Show Strong Financials Have detailed financial information including revenue, EBITDA, margins, and growth rates ready. 4 Leverage Texas Networks Connect through local advisors, attorneys, or accountants in Austin who may have relationships at CenterGate.

The Value of Financial Preparedness

PE firms like CenterGate expect detailed financial information: Growth Metrics • Revenue growth rates • EBITDA margins • Gross margins • Cash flow generation Financial Data • EBITDA and cash flow • Balance sheet strength • Working capital needs • Capital expenditure plans }> How Eagle Rock Helps We help companies prepare for PE investment by building detailed financial models, operational dashboards, and investor-ready financials. Our fractional CFO services ensure your company is ready for due diligence.

Frequently Asked Questions