CapitalPad is open exclusively to accredited investors. All investors must complete our onboarding and approval process before accessing opportunities on the platform.

Yes. Funds, family offices, and SBICs active in the independent sponsor space are welcome to invest through CapitalPad.

A minimum commitment of $750,000 per deal is required for direct deal flow access, and institutional status can be designated during onboarding.

CapitalPad focuses on co-investing in acquisitions in the lower middle market—a segment where valuations remain attractive and competition from traditional private equity is limited. Deal sizes typically range from $5M to $30M in enterprise value.

These acquisitions are led by acquisition entrepreneurs, most often independent sponsors or search funds, acquiring established businesses with a history of strong profitability. Unlike startups or turnarounds, these companies already generate consistent cash flow and have long operating track records.

Rather than investing in new ventures, CapitalPad investors participate in transitions of ownership. The businesses continue to operate as they always have, while investors gain the opportunity to become partial owners during the change in hands.

Target companies are concentrated in sectors with stable demand and low disruption risk:

• Home Services – Plumbing, HVAC, roofing, and maintenance
• Professional Services – Accounting firms, consultancies, niche B2B providers
• Local Consumer Services – Garment care, towing, vehicle support
• Healthcare Services – Home health, physical therapy, non-discretionary care
• Light Industrial – Specialized manufacturers with recurring B2B relationships
• Digital & IT Services – Small firms providing marketing or technology support

For accredited investors, minimum commitments start at $25,000 per deal.

Institutional investors seeking direct access are required to allocate at least $750,000 per deal.

Deals are posted only when they meet CapitalPad’s strict standards.

Opportunities may be infrequent, as quality is prioritized over volume.

Our disciplined approach and extreme patience have made CapitalPad one of the leading investors in the independent sponsor and self-funded search space.

Once an account is approved, investors gain access to the CapitalPad dashboard.

When new deals are posted, each includes a complete diligence package with:

• Deal memo
• Sponsor overview
• Investor terms
• Deal structure
• Financial diligence docs (P&L, tax returns)
• Financial models
• Sources & uses of funds
• Value creation plan
• Deal sponsor interview
• Additional supporting material

Investors can review the materials and request an allocation to co-invest.

CapitalPad investments are designed for long-term ownership and are not liquid. While cash distributions may occur during the holding period, many returns are typically realized when the company is sold. This long-term structure enables operators to focus on disciplined growth.

CapitalPad charges a one-time 1.5% management fee at the time of investment to help cover administrative costs—there is no annual fee.

CapitalPad also earns 20% of profits, but only after investors have received their full initial capital back. This fee structure ensures alignment: CapitalPad succeeds only when investors succeed.

All private equity investments involve risk, and there is no guarantee of returns. While CapitalPad targets established, cash-flowing businesses with proven track records, outcomes can vary significantly.

If a portfolio company underperforms, distributions may be reduced or paused entirely. In a worst-case scenario, such as business failure, investors could lose their entire investment with no possibility of recovery.

These investments are also illiquid, meaning capital may be tied up for years with no secondary market available.

Investors should only commit funds they can afford to lock up for an extended period and are prepared to lose completely.

CapitalPad does not provide individualized investment advice, nor does it author or guarantee the information contained in deal materials. Investors acknowledge and accept the risks associated with private investments, including the possibility of a total loss of capital.

Past performance of entities, individuals, or products is not a guarantee of future results. Any return projections are hypothetical in nature and may not reflect actual future performance.

Investors are solely responsible for conducting their own independent due diligence before making an investment decision. Investments offered through CapitalPad are not FDIC insured, may lose value, and carry no bank guarantee.

There may be no secondary market for securities, and investments may not provide voting rights sufficient to influence the management or operations of a company.

All investments made through the platform involve risk and may result in partial or total loss.