Investment Criteria
We have a strong track record achieving significant growth with our portfolio companies. Brook acquires and provides growth funding to companies in the Mid-Atlantic and Northeastern US which at the time of our investment have existing profitable operations in markets where an opportunity for material revenue growth exists. We have a strong bias for recurring revenue business models.
Our fundamental criteria are related to doing business with management teams in whom we have great trust. Working closely with these teams we seek to provide the proper funding, and build a sales oriented culture which will generate significant revenue growth and build material value for all stakeholders.
At the time of our initial investment, portfolio companies are typically generating revenues between $2-20 million, and have an EBITDA of $1 million or more. Our industry focus areas include:
- Information Technology including marketing and digital marketing technologies, subscription based software businesses and other data intensive businesses in fields including CRM, Business Intelligence, Publishing, and Electronic Payments.
- Healthcare IT such as IT systems for both hospital and private practice environments, including EMR, PM and RCM applications.
Management is of primary concern in our evaluation. We believe that management is 90% responsible for the success of a company rather than the technology or market. Therefore we spend time getting to know the management team with whom we will be entrusting our capital. Management’s experience scaling expansion-stage companies, building successful teams, and their personal sales and business development skills are considered critical. We are expansion stage investors, and rely heavily on the selling skills of the CEO, and look for sales experience at the CEO level.
We look forward to reviewing your business and pride ourselves on responding in a timely manner as well as providing a meaningful answer if we cannot proceed with a funding or acquisition.