At HKW we continually challenge ourselves to improve. We embrace this philosophy through our Four Pillar approach. We are proud of how this structure supports the strengths of each individual while promoting collaboration between the pillars. Our team-first culture places a significant emphasis on data-driven execution from the deal sourcing process through our exit-focused strategic growth initiatives.

The Four Pillars of Success

Our dedicated Sourcing Team targets 1,000+ opportunities to review every year to find profitable growth-oriented companies in the US and Canada. At HKW, we believe in building relationships through eye contact and a handshake. As a result, our Sourcing Team typically spends a combined 100 weeks on the road every year, connecting with people and building relationships.

The Sourcing Team conducts the initial review of prospective companies. If a prospective company meets the established criteria, the opportunity progresses to the Transaction Team.

The Transaction Team evaluates opportunities provided by the Sourcing Team, determining fit within our established deal criteria, culture, and values. The transaction process reflects our commitment to fairness; we want to understand the current owner’s point of view and vision, striving to treat owners fairly throughout the entire process.

During due diligence, the Transaction Team will partner with our Operations Team to begin aligning with the opportunity’s senior management.

HKW partners with portfolio company management to develop exit-focused strategic growth initiatives during the investment period. The Exits and the Operations teams begin work the day the portfolio company closes, concentrating on the growth initiatives HKW believes future buyers will value most.

In 2015, HKW established the Exit Committee, which meets semiannually to review existing companies, refreshing the rate360™ analysis for every company. The Exit Committee provides a formal process for evaluating the overall condition of our companies.

HKW partners with portfolio company management to develop exit-focused strategic growth initiatives during the investment period. The Exits Team and the Operations Team begin the day the portfolio company closes, concentrating on the growth initiatives HKW believes future buyers will value most.

In 2015, HKW established the Exit Committee, which meets semiannually to review existing companies, refreshing the rate360 analysis for every company. The Exit Committee provides a formal process for evaluating the overall condition of our companies.

Investment Criteria

HKW is a private equity firm investing in growth-oriented companies with talented management teams in the US and Canada. HKW targets small to mid-size companies in the Business Services and Health & Wellness sectors. We target:

$5-30mm

Target EBITDA

Sector Focus:

  • Business Services
  • Health & Wellness

Geographical Focus:

  • United States
  • Canada

Within the broad Business Services and Health & Wellness sectors, we gravitate toward a variety of sub-sectors, including (but not limited to):

Health & Wellness Sub-sectors

  • Healthcare Supplies and Distribution
  • Physician Services / Alternative Site
  • Outsourced Healthcare Services
  • Better-for-You Consumer Products and Services
  • Pet Products and Services
  • Food & Beverage

Business Services Sub-sectors

  • Tech-Enabled Business Services
  • IoT
  • Infrastructure Services
  • Electric Grid Services and Products
  • Training and Education

rate360

At HKW, we manage risk by leveraging our proprietary rate360 methodology, quantifying and monitoring risks during the period of partnership with our companies.

We use the rate360 methodology to:

  1. Evaluate risk by identifying, assessing and scoring a comprehensive list of factors into a company-specific risk scorecard.
  2. Develop a risk mitigation plan with the Operations Team for our companies.
  3. Assess and monitor our companies through changes in the risk scorecard, which is reviewed during the Exit Committee semi-annual meetings.
  4. Aggregate Risk Scorecards to provide a complete view and to flag any risk concentrations or concerns.
rate360