Investment Criteria

Brook has been providing growth capital financing for almost 20 years to expansion stage technology companies, focusing on initial investments ranging from $2-15 million, and transactions ranging from $3-50 million. Our investment capital is targeted to support the accelerated business development and sales growth of portfolio companies – effectively scaling successful products or services by providing expansion capital and guidance to reach outsized market opportunities.

While we continue to manage Brook Fund II and III, we are seeking investments for Brook Partner Fund IV as well as strategic acquisitions on behalf of our current portfolio companies. The companies we look to partner with are profitable healthcare IT, marketing software, and/or tech-enabled businesses, with revenue of $2-30 million and $1-5 million of EBITDA. We focus on businesses with recurring revenue and the ability to scale. Our strategy is to grow the company over 5-7 years to position it for an exit, typically in the form of a sale to a strategic buyer. While this is the criteria for new platform investments, Brook will consider all types of strategic acquisitions that are accretive to active companies in our portfolio. To learn more, please contact Robert Spencer at rspencer@brookventure.com or (781) 206-3075.

Platform Investment Criteria

Brook focuses on majority recapitalizations and acquisitions. Minority investments will be considered in special situations.

  • Revenue: $2-30 million
  • EBITDA: $1-5 million
  • Industries: Healthcare IT, Marketing/Data Analytics and Tech-Enabled Services
  • Business Model: Recurring revenue model, not project based
  • Management: Retention of existing management and key players preferred, but not necessary
  • Location: North America with preference given to east coast

Merger/Acquisition Investment Criteria

Brook will consider any deal structure if the opportunity is accretive for our portfolio companies.

  • Industries of interest include, but are not limited to: Healthcare IT, IT Managed Services, Data Analytics, Database Marketing, Pharmacy Software/Services, ERP Software, Non-profit Tech-enabled Services, Revenue Cycle Management and niche Hospital Management Software
  • Financial metrics do not need to meet the criteria for platform investments