The world of private equity investments can be as tangled and complicated as anything else in the financial world. Mark Hauser of Hauser Private Equity has made a career out of navigating the wild financial world while helming HAUSER, a Cincinnati-based insurance brokerage firm.
Mark Hauser has spent several decades in the industry navigating his way toward the top. Along the way, Hauser has collected a few essential tips and tricks that he has felt compelled to share with those looking to follow in his footsteps.
Understanding Private Equity
Private equity describes an investment partnership between companies that are bought and then sold through private equity firms. Private equity firms operate with investing funds on behalf of accredited investors and institutional investors. The world of private equity funding is often grouped into the sphere of venture capital and hedge fund management, though there are stark differences.
Mark Hauser is the co-managing partner at Hauser Private Equity, and it is there that he has worked steadfastly to help investors facilitate private transactions. This highly diverse industry features larger purchases, entities, and objectives. As an example, a secret equity investment deal will typically range in value from $50 million to $1 billion.
The goal of an Investment Transaction
For Mark Hauser, the goal of a private equity firm is simple: to make money on an investment. Hauser describes the process as one in which the investment target must deliver upon its return. Private equity firms find their ideal targets by going through three excellent avenues: reputation, investment banking professionals, and, finally, proprietary or networking means.
To find success when culminating these deals, Hauser understands that there is a profile of action that must be followed.
- Due Diligence – Mark Hauser is effusive when it comes time to praise the preparation part of his process. Hauser understands that due diligence is required during the bidding process and can unfold under three separate umbrellas: Commercial, Financial, and Legal Due Diligence.
- Purchasing Decisions – Mark Hauser also advocates for making purchasing decisions when a deal is offered free from red flags. The agreement is finalized upon the release of funds and transference of company equity.
- Finding a Timely Exit – Finally, a successful private equity interaction will be resolved through a good exit plan. Hauser works hard to find an exit point, whether when the company files for its initial public offering or through another acquisition.
About Mark Hauser
Mark Hauser is a private equity specialist, as well as a successful entrepreneur, investor, and business thought leader. The founder and managing partner of Hauser Private Equity, Mark Hauser, has built a reputation for his ability to work with middle market assets, control buyout funds, and work with managers of growth equity funds.