A new private equity firm has been formed to invest in small to mid-size privately owned entrepreneurial companies located in the southeast United States with revenues from $1 million to $15 million that are in transition and need both financial and business support.
The new firm is called Scronce and Associates and was founded by Tim Scronce. “With revenues in this range, many banks and private equity companies are reluctant to provide capital due to size or insufficient assets to raise debt,” said Mr. Scronce. “In today’s uncertain economic environment, banks have tightened their lending criteria and many private equity firms will only invest in larger ventures.”
According to Mr. Scronce, companies experience several critical phases in their life cycle. Scronce and Associates focuses on supporting businesses during the small to mid-size transition. Entrepreneurs who have built businesses know there is that unique moment in the growth of a company where it becomes too small to be big and too big to be small. This phase can often be “make or break” for business owners due to a number of challenges occurring simultaneously when a company may not have the resources to advance to the next level. Business owners may have an idea in mind of where they want to take their company, but lack adequate direction and capital to get there.
Through a combination of small business financing and advising, the Scronce and Associates team enables previously undiscovered companies to get where they want to go without tying on the risk that can often be a part of that process.
“At Scronce and Associates, we are not interested in participating in the day-to-day operations of businesses. Rather, we work with current management to refine the existing business strategy and create actionable, realistic plans to help small business owners to build upon best practices and develop a blueprint for the future,” said Mr. Scronce.
Prior to forming Scronce and Associates, Mr. Scronce worked in several private and public businesses of all sizes. Scronce and Associates is headquartered in Winston Salem, NC (www.scronceandassociates.com).
© 2013 PEPD • Private Equity’s Leading News Magazine • 9-4-13