1,400+ accredited investors · $25K minimums · No annual management fee
For Investors
Review selected acquisitions one at a time, each with a complete diligence package: deal memo, financials, investor terms, and sponsor background. Request an allocation in the deals that fit, and pass on the rest.
Minimums start at $25,000 per deal.
For Sponsors
CapitalPad invests $1M to $2.5M of equity in sponsor-led acquisitions through a single investment vehicle. The typical fit is a profitable company with $1M to $7M of EBITDA, in a durable industry, led by a capable independent sponsor.
One investment party, one wire, and no sponsor fees.
Accredited Investors Only
Most acquisitions of established private companies are funded by funds, family offices, and institutional investors. Individual investors rarely get access to these deals.
CapitalPad opens that access. We provide accredited investors deal-by-deal participation in lower middle market private equity. Each deal is a specific acquisition of an established, profitable business, led by a sponsor we have reviewed.
There is no blind-pool commitment and no annual management fee. Investors review each opportunity on its own merits, and passing on a deal costs nothing. CapitalPad earns carried interest on each deal, so we are paid when deals perform.
No startups, distressed assets, or venture-style growth bets.
Every deal is reviewed against financial history, customer concentration, operator track record, debt structure, and economics. Fewer than 5% of the deals make it through.
Joining CapitalPad requires no investment. Investors review each deal and invest only when one fits. No capital calls, no minimum number of deals.
The sponsor acquires the company and oversees it after close. Investors hold equity in the business with no operating responsibility and no time commitment.
CapitalPad’s partners invest their own capital in the group’s deals. Sponsors pay us nothing, and carried interest is earned only after investors receive their full capital back.
CapitalPad for Investors
Apply for access and verify accredited investor status. Approval typically takes one business day.
When a deal clears underwriting, you receive the complete diligence package, including a sponsor interview. Questions go directly to the deal team.
Request an allocation in the deals you choose. Minimums start at $25,000, and all co-investors in a deal invest through a single SPV.
After close, you hold equity in the acquired business through the SPV. Expect quarterly reporting, an annual K-1, and a typical hold of 3 to 7 years, with potential returns from operating distributions and a future sale of the business.
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.”
Founded by investors and operators with experience across 50+ acquisitions. Every deal is underwritten through both lenses: the operator’s and the investor’s. To date, CapitalPad’s partners have personally invested in every deal presented to the group.
Lower middle market acquisitions often require $1M or more of equity. CapitalPad organizes member capital through a single deal-specific vehicle: individual investors participate at $25,000 minimums, and sponsors work with one CapitalPad investment party.
We wanted access to the lower middle market private equity deals that usually move through family offices, funds, and sponsor relationships. As individual investors, we had no practical way in. We built CapitalPad to change that.
CapitalPad is available exclusively to accredited investors, subject to approval and onboarding.
Joining CapitalPad does not require investing in any particular deal.
CapitalPad focuses on deal-by-deal private equity investments in lower middle market acquisitions, typically involving established private companies with operating history, historical profitability, and understandable business models.
Most opportunities are acquisitions led by independent sponsors. CapitalPad also selectively reviews post-LOI search fund acquisitions that fit a similar profile.
CapitalPad prefers mature operating businesses with proven business models, durable demand, healthy margins, and practical value-creation opportunities, screened for lower exposure to AI-driven disruption. Many fit within the broader generational ownership transition, where founder- or family-owned companies are moving to new operators.
Sectors include:
CapitalPad does not invest in startups, turnarounds, distressed assets, or growth-stage companies pursuing unproven models.
Lower middle market acquisitions are typically built for larger checks from funds, family offices, and private investor groups. Sponsors also need a clean closing process, not a scattered base of small investors.
CapitalPad organizes investor capital through a single deal-specific vehicle, allowing individual accredited investors to participate while the sponsor works with one CapitalPad investment party.
Traditional private equity funds usually require investors to commit capital to a blind pool, giving the manager discretion to invest across future deals.
CapitalPad is deal by deal. CapitalPad investors review specific acquisitions and decide individually whether to participate. There is no blind-pool commitment, no scheduled capital calls, and no annual management fee.
Approved CapitalPad investors review selected lower middle market deals that have cleared CapitalPad’s review process. Most CapitalPad opportunities involve acquisitions of established private companies with operating history, historical profitability, and durable business models.
CapitalPad investors begin with a blinded overview and, when appropriate, sign an NDA to review full materials. Each deal package includes information about the company, sponsor, structure, terms, diligence materials, key risks, and timeline. Investors choose deal by deal whether to request an allocation and, if they participate, invest through a deal-specific SPV.
CapitalPad generally invests on market-standard lower middle market terms and does not seek operational control.
We typically require customary minority investor protections for the CapitalPad vehicle, including information rights, quarterly reporting, approval rights on major decisions, tag-along rights, and other protections appropriate for the structure.
Where CapitalPad invests alongside institutional co-investors, we generally expect the same underlying deal terms for the CapitalPad vehicle. The exact terms of each deal, including any preferred return and the distribution waterfall, are detailed in the deal materials before you commit.
For individual investors looking to invest in lower middle market private equity deals, CapitalPad’s process works as follows:
This structure keeps the cap table simple for the sponsor and the process straightforward for investors.
CapitalPad shares new deals only after they clear its review process. Historically, fewer than 5% of inbound opportunities reviewed by CapitalPad have reached investors. Expect roughly one opportunity per month, with cadence driven by deal quality rather than a fixed schedule.
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.
Yes. Funds, family offices, SBICs, and other institutional investors active in the independent sponsor space may apply to participate through CapitalPad.
A minimum commitment of $750,000 per deal applies for direct deal flow access. Institutional status can be designated during onboarding.
Each CapitalPad deal is held in its own special purpose vehicle (SPV). SPV administration, including subscriptions, K-1 delivery, and distributions, is handled by Canopy (heycanopy.com), a third-party fund administration provider. Investors hold their interest directly in the deal-specific SPV.
CapitalPad is not a crowdfunding platform, marketplace, connection service, broker, placement agent, lender, RIA, venture capital firm, or traditional blind-pool fund. CapitalPad is a private equity co-investment group. CapitalPad lets accredited investors invest in individual lower middle market private equity deals, and it invests equity in qualified transactions led by independent sponsors.
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 members, 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.