Salem Investment Partners

What is Salem Investment Partners?

Salem Investment Partners is a distinctive investment firm that specializes in injecting debt, equity, and mezzanine capital into privately-held, lower middle market businesses, focusing on expanding their growth and value. Holding over $500 million in assets under management, they have completed upwards of 150 investment transactions.

Embodying a lower middle market focus, Salem Investment Partners is passionate about working with companies that have sustainable free cash flows, a proven management team with at-risk capital, and diversified customer bases.

Their investment criteria emphasize firms with minimum revenues of $10 million and EBITDA of $1 million. Their industry focus is diverse, including business services, light manufacturing, healthcare services, consumer products, wholesale distribution, and business models with recurring revenue.

As a licensed participant in the US Small Business Administration's Small Business Investment Company (SBIC) program, they offer flexible, low-cost capital. Salem Investment Partners' team, averaging over 25 years of experience each, is deeply involved in each investment deal, bringing to the table expertise across investment management, entrepreneurship, acquisitions, and financings. Their investment structures vary, offering interest-only, fixed-rate, subordinated debt, and minority equity co-investments, among other arrangements.

Salem actively seeks investment opportunities in the Southeast, Midwest, and Mid-Atlantic regions of the U.S., committing $2-10 million per portfolio company. They are adept at navigating private equity sponsored buyouts, management and family-driven ownership transitions, acquisitions, recapitalizations, and providing growth capital.

Their engagement in the transaction process is intimate and collaborative, ensuring partner involvement from start to finish to maximize the potential of their investments.