Hellman & Friedman Review: Technology & Services Specialist, Portfolio Companies & Deal Criteria

Complete guide to Hellman & Friedman: their investment thesis, portfolio companies including BCDJapan and Fenergo, typical deal sizes, and how to position your company for investment.

Key Takeaways

  • •Based in San Francisco, California (also New York and London)
  • •Founded in 1984 by Warren Hellman and Tully Friedman
  • •Over $35 billion of committed capital raised since inception
  • •$10.9 billion last fund close
  • •Focus on Enterprise Software, Information Services, FinTech, Healthcare Technology
  • •One of the oldest and most experienced PE firms

About Hellman & Friedman

Hellman & Friedman (H&F) is one of the oldest and most experienced private equity investment firms, founded in 1984 by Warren Hellman and Tully Friedman. The firm focuses on making a limited number of large-scale private equity-related investments in high quality, growing businesses in developed markets. H&F has raised over $35 billion of committed capital since inception and is known for deep industry research and collaborative partnerships with management teams.

Notable Portfolio Companies

Hellman & Friedman has built an impressive portfolio of market-leading technology companies. H&F is recognized for its ability to identify exceptional companies and partner with management teams to build lasting value in enterprise software, information services, and financial technology.

What Hellman & Friedman Looks For

  • Market leadership — Companies with strong competitive positions and high customer retention
  • Recurring revenue — Business models with predictable, recurring revenue streams
  • Growth potential — Clear opportunities for continued growth through multiple levers
  • Defensible moat — Sustainable competitive advantages through technology, network effects, or brand
  • Strong management — Experienced teams with track records of execution

Pro Tip

H&F is known for deep industry research. Be prepared for extensive questioning about market dynamics, competitive landscape, and growth drivers.

How to Connect With Hellman & Friedman

  • Demonstrate Market Leadership — Show clear competitive differentiation, high customer retention, and market share leadership
  • Prepare Quality Metrics — Demonstrate strong unit economics, net revenue retention, and path to profitability
  • Articulate Growth Vision — Present a compelling vision for continued growth with specific initiatives and market opportunities
  • Build Relationships — Leverage technology industry networks, advisors, and connections to get introductions

How Eagle Rock Helps

We help technology companies prepare for PE investment by building financial infrastructure and optimizing key SaaS metrics. Our fractional CFO services ensure you're ready to engage with firms like Hellman & Friedman.

Pro Tip

Prepare detailed financial projections and operational metrics before initial meetings.

Frequently Asked Questions

What industries does Hellman & Friedman focus on?

Hellman & Friedman primarily invests in Enterprise Software, Information Services, FinTech, and Healthcare Technology sectors.

What size companies does Hellman & Friedman acquire?

Hellman & Friedman makes large-scale investments, typically targeting market-leading companies with enterprise values in the upper middle market to large cap range.

What is Hellman & Friedman's typical investment size?

With their $10.9 billion fund, H&F targets substantial investments in high-quality growth companies, typically with equity checks of several hundred million to billions.

How long does Hellman & Friedman's due diligence process take?

Due diligence timelines vary by deal complexity, but Hellman & Friedman typically conducts thorough financial, operational, and market due diligence over several weeks to months.

What should I prepare before engaging with Hellman & Friedman?

Prepare three years of audited financials, detailed market analysis, management team bios, growth plans, and a clear vision for how the partnership would create value.

How does Hellman & Friedman work with portfolio companies?

Hellman & Friedman takes a partnership approach, working closely with management teams on strategic initiatives, acquisitions, and operational improvements.

Ready to Connect With Hellman Friedman?

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This article is part of our Private equity firms | Eagle Rock CFO guide.