$25K minimums · No annual management fee · Accredited Investors Only
For Investors
CapitalPad’s investment committee evaluates each acquisition before it is presented to investors. Review the business, financials, and proposed investment terms before deciding whether to participate.
Individual investments start at $25,000 per deal.
For Sponsors
CapitalPad invests $1M to $2.5M as a minority equity partner in sponsor-led acquisitions. We focus on businesses with durable demand, established cash flow, and at least $1M in EBITDA.
Sponsors work directly with our team through diligence, closing, and the ownership period.
Investment Focus
CapitalPad invests in acquisitions of established, profitable businesses with durable demand. Our focus includes commercial and residential services, industrial services, manufacturing, and healthcare.
Each acquisition is led by an independent sponsor: an investment professional or firm that identifies a business and raises capital for that transaction. CapitalPad invests alongside the sponsor as a minority equity partner.
The acquisition plan builds on the company’s existing operations, with opportunities to improve profitability, grow revenue, or acquire complementary businesses.
Excludes startups, distressed businesses, and major turnarounds.
Our investment committee evaluates the business, sponsor, and capital structure, including earnings quality, cash flow, and downside risks.
Investors commit to specific acquisitions, choosing which transactions to participate in and how much capital to allocate.
The sponsor works with management to execute the business plan. Investors hold equity without day-to-day operating responsibilities.
Our partners generally invest alongside investors. CapitalPad earns carried interest only after investors’ initial capital has been returned.
CapitalPad for Investors
Apply to invest with CapitalPad and confirm your accredited investor status. Approval typically takes one business day.
Opportunities are shared periodically after investment committee approval. Review the business and proposed terms, with full materials available under NDA and our team available for questions.
Invest in the transactions you select. CapitalPad coordinates documentation and funding, then manages quarterly reporting and annual tax documents throughout ownership.
CapitalPad for Investors
“CapitalPad makes the deal sourcing and logistics of lower middle market investing easy.”
CapitalPad for Investors
“CapitalPad makes the deal sourcing and logistics of lower middle market investing easy.
CapitalPad for Sponsors
“CapitalPad’s investment was invaluable for helping close our transaction. Highly recommended for sponsors.”
CapitalPad for Sponsors
“CapitalPad’s investment was invaluable for helping close our transaction. Highly recommended for sponsors.”
CapitalPad’s founders bring operating and investment experience across 50+ acquisitions. That experience informs how we evaluate a company’s earnings, its operating challenges, and the sponsor’s plan for growth.
CapitalPad invests through a dedicated vehicle for each acquisition. Sponsors work with one CapitalPad investment partner, while our team coordinates documentation, investor reporting, and ongoing administration.
CapitalPad is a private equity co-investment group that enables accredited investors to invest deal by deal in lower middle market acquisitions across the United States and Canada.
CapitalPad invests minority equity alongside independent sponsors. A three-person investment committee reviews each transaction before it is presented to investors, and participating commitments are aggregated into a transaction-specific CapitalPad investment vehicle.
CapitalPad is not a crowdfunding marketplace or a traditional blind-pool private equity fund. CapitalPad invests in sponsor-led acquisitions and does not act as a broker, placement agent, or capital-raising service for sponsors.
CapitalPad is available exclusively to accredited investors, subject to application review and onboarding.
Approval does not require an investment commitment. CapitalPad investors decide independently whether to participate in each transaction.
CapitalPad focuses on deal-by-deal private equity investments in lower middle market acquisitions. CapitalPad invests minority equity alongside independent sponsors acquiring established, historically profitable operating businesses in the United States and Canada.
CapitalPad targets companies with understandable business models, existing cash flow, and recurring, essential, or compliance-driven demand. These include founder- and family-owned businesses undergoing an ownership transition. CapitalPad also evaluates exposure to AI-driven disruption as part of its investment review.
CapitalPad’s investment focus includes:
CapitalPad also selectively reviews post-LOI search fund acquisitions that meet similar business criteria. CapitalPad does not invest in startups, distressed assets, major turnarounds, or growth-stage companies pursuing unproven business models.
An independent sponsor is an investment professional or firm that identifies an acquisition and raises capital for that specific transaction. The sponsor leads the acquisition and works with company management during the ownership period.
CapitalPad invests minority equity in independent sponsor deals, enabling accredited investors to participate in those acquisitions through CapitalPad investment vehicles.
Traditional private equity funds generally raise capital before selecting the businesses they will acquire. Fund investors commit capital to a portfolio that the fund manager builds over time.
CapitalPad evaluates identified acquisitions before seeking investor commitments. CapitalPad investors review each business and its proposed investment terms, then decide whether to participate. Commitments are made to individual transactions rather than a blind pool of future investments.
CapitalPad is a private equity co-investment group that enables individual accredited investors to invest in lower middle market private equity deals on a deal-by-deal basis. Investors review specific acquisitions led by independent sponsors before deciding whether to commit capital.
CapitalPad coordinates ongoing investor reporting and administration after closing.
CapitalPad provides approved investors with a blinded transaction overview. After signing an NDA, investors can review company information and historical financials, sponsor background, acquisition structure, proposed investor terms, diligence findings, key risks, and the post-close plan.
CapitalPad also provides a sponsor interview and a proposed transaction timeline. Investors can direct questions to the CapitalPad team before deciding whether to request an allocation.
Individual investments through CapitalPad generally start at $25,000 per transaction. Investors choose which acquisitions to participate in and make a separate commitment to each investment.
CapitalPad shares new investment opportunities periodically, after they pass investment committee review. Availability depends on transaction quality, diligence progress, and closing timelines.
CapitalPad does not follow a fixed offering schedule, and there may be periods with no open investment opportunities.
CapitalPad generally seeks customary minority investor protections for its investment vehicle. These may include information and reporting rights, consent rights over specified major decisions, and tag-along rights in a sale.
These protections are negotiated at the CapitalPad vehicle level. Individual investors’ rights are set out in the vehicle’s governing documents. The terms of each transaction, including any preferred return and distribution waterfall, are disclosed before investors commit capital.
CapitalPad charges a one-time 1.5% administration fee when an investment is made. There is no annual management fee.
CapitalPad also earns 20% carried interest on profits, but only after investors have received their initial capital back on that deal. Deal-specific fees and economics are disclosed before an investor subscribes.
Each CapitalPad investment is held through a transaction-specific special purpose vehicle (SPV). The vehicle holds an equity interest in the acquired business, and participating investors hold interests in the vehicle.
CapitalPad works with Canopy, a third-party fund administrator, to handle subscriptions, tax document delivery, and distributions. CapitalPad remains the point of contact for investment questions and ongoing reporting.
CapitalPad investments typically target a holding period of three to seven years. Actual timing depends on business performance, market conditions, and available exit opportunities.
These are illiquid private investments. An early sale or transfer may be restricted by the investment documents, and an early exit is not assured. Investors should be prepared to hold an investment beyond its target holding period.
Yes. Funds, family offices, SBICs, and other institutional investors active in the independent sponsor space may apply to participate through CapitalPad.
For direct institutional participation, the minimum commitment is $750,000 per deal. Institutional investors can identify their status during onboarding.
Private equity investments are speculative, illiquid, and involve the risk of loss, including possible loss of the entire investment.
Portfolio companies may underperform, distributions may be reduced or delayed, and there may be no secondary market to sell an investment early. Investors should review all deal materials and conduct their own independent diligence before making any investment decision.
CapitalPad does not provide personalized investment, legal, tax, accounting, or financial advice. Information on this website and materials made available through CapitalPad are provided for informational purposes and should not be construed as a recommendation by CapitalPad or any affiliate to purchase or sell any security.
Nothing on this website constitutes an offer to sell, or a solicitation of an offer to buy, any security. Any offer or solicitation will be made only through the applicable offering documents, subscription agreement, and related materials, and only to qualified investors in jurisdictions where the offering is permitted. In the event of any conflict between website content and the applicable offering documents, the offering documents control.
CapitalPad may rely on information supplied by sponsors, issuers, management teams, service providers, and other third parties. Although CapitalPad reviews opportunities before presenting them to investors, CapitalPad does not guarantee the accuracy, completeness, or adequacy of any information, projections, valuations, diligence materials, or other materials provided in connection with any opportunity.
Private investments made through CapitalPad are speculative, illiquid, and involve a high degree of risk, including the possible loss of all invested capital. Securities may be unregistered, restricted, not listed on any exchange, and subject to transfer limitations. There may be no secondary market, and investors should be prepared to hold investments for an indefinite period. Investments are not FDIC insured, not bank guaranteed, and may lose value.
Past performance of any company, sponsor, individual, fund, strategy, or prior investment is not indicative of future results. Any projections, forecasts, target returns, forward-looking statements, or other estimates are based on assumptions that may prove incorrect, may not materialize, and should not be relied upon as a guarantee of future performance.
Investors are responsible for reviewing all deal materials and conducting their own independent diligence before making an investment decision. Investors should consult their own legal, tax, accounting, financial, and other advisers before investing.
Investments may involve limited or no voting rights, and investors should assume they will not control or influence the management or operations of any underlying company. CapitalPad and its affiliates may receive fees, carried interest, or other economic benefits and may have conflicts of interest, each of which will be disclosed in the applicable deal materials.
Nothing in these disclosures is intended to waive any rights or remedies that cannot be waived under applicable federal or state securities laws.