Private Equity Funds
Beacon is specialized in helping your private equity fund to get through the difficult earlier stages. Your fund is still relatively small and you want to develope the growth path to a Eur 100 M fund. We typically serve two customer groups:
Transition from “informal” investments to formal private equity fund
For several years you made successful investments. Growth is possible, but you lack equity. Family & friends are at their limits. At this point Beacon steps in. We guide you through this intermediate stage. We help you to formalize your investment activities and to structure a “flexible fund” for you. It will be a formal fund in accordance with the “rules and standards”, but it is still in the young, entrepreunerial phase and some rules of thumb may simply not yet be feasible. We source larger investors through our own network, which understand this stage. They apply the formal, bureaucratic procedures but are willing to make some adaptations if they make sense. Usually this phase lasts for three to five years, after which you will be ready to launch yhour next, larger and fully formally fund into the top league.
Seasoned team of professionals with an excellent track record, now starting your own private equity fund
Raising fund commitments is by far the biggest headache. You can’t afford to restrict yourself to your own network or geographic limitations. You need all the distribution power that is available for you. Beacon has access to several types of investors in unexpected locations. We offer an additional (foreign) distribution channel which doesn’t compete with your regular fund raising activities. We work success based and may surprise you with the results.
Special Investment Funds
To keep things simple: we define “special investment funds” as funds which invest in anything else than regular operating companies. This may vary from real estate funds, derivative funds and distressed funds to funds which invest in financial assets. Many larger, “mainstream” fund investors (pension funds, mutuals, et cetera) do not invest in this corner of the alternative investment market. The typical investor in this market niche either has some additional entrepreneurial flavour or has built up special knowledge which allows him to better understand the fund risk. In most of the cases certain elements of the fund structure will have to deviate from the “classic” private equity fund structures.
Beacon’s added value is twofold. We understand the requirements of this specific investor group and we know how to design a fund structure which is sufficiently attractive for them. Secondly, through our network we have access to various qualifying investors, which often cannot be identified through the regular fund raising channels.
This market niche is attractive, but it is entirely tailor-made. The establishment of a special investment fund also requires a special design!