Yellowstone Capital Partners

About The Fund

Yellowstone Capital Partners is a private equity firm that operates as both a merchant bank and a family office. Established in 1993, they are headquartered in Houston and New York, focusing on management buyouts, special situations, and mezzanine finance investments tailored to small-to-medium sized businesses. With an investment range of $11,770,000, they primarily fund acquisitions and investments through a majority investor or 'buyout' model, as well as a venture capital/minority investment approach. Their primary target sectors include oilfield services, power equipment, industrial and water products manufacturing, branded food and beverages, consumer products, energy technology, and life sciences. Yellowstone Capital Partners leverages their capital and selectively involves strategic partners, requiring that invested companies' management teams contribute capital and are incentivized through equity ownership to align interests and encourage an ownership mentality. As a majority investor, their objectives encompass sponsoring management teams possessing an entrepreneurial spirit, providing resources necessary for growth, and emphasizing agility through the avoidance of protracted approval processes and absence of predetermined fund life. This allows them to structure deals effectively and exit opportunistically. For acquisitions, they look for companies with revenues ranging from $10-50 million, positive cash flows, stable operating margins, a competitive edge, and either a solid management team in place or a feasible transition strategy from the seller. Their current investment platforms include buyouts in the lower middle market, with significant support for management in executing business strategies, the yellowstone brands portfolio for branded food and beverage companies, bridge and equity financing for management buyouts in distressed or recapitalized businesses, and leading mezzanine finance or structured note placement to underwrite organic growth or finance add-on acquisitions.