what
we do
Novastone Capital Advisors (NCA) is a Swiss company, founded by a consortium of Single
Family Offices, that runs an Entrepreneurship
Through Acquisition program.
Our ETA program is a highly specialized process that connects investors with talented entrepreneurs who are looking to locate, acquire, manage, and grow a privately held company.
We focus on mutual benefit, profit, and growth for all of our stakeholders.
Our program carefully selects talented individuals who are capable of operating and
growing a company through a proprietary Talent Identification and Selection Process. We also partner with the best business schools around the globe to source top-tier talented individuals that would fit our ETA program. When working with us, aspiring entrepreneurs benefit from access to capital resources and support in pursuing a direct path to owning and managing a small business; existing businesses benefit from succession solutions with qualified, funded entrepreneurs; and co-investors benefit from sound investment opportunities with historically high rates of success.
Search & acquisition process
search
Talented individuals that are admitted into the NCA program initially raise a small pool of capital to finance a 24-month research project with the sole objective of identifying an acquisition opportunity with an existing business owner.
Our NCA Entrepreneurs are mandated to search for well-established, profitable companies, usually in fragmented industries, with an estimated enterprise value between EUR 10 and EUR 35 million. While each NCA Entrepreneur will conduct research in the industries they have pre-defined with their investors, our program was built with a bottom up approach. Please visit the below link for additional information about the type of companies we are looking for.
ACQUISITION
We know from our own experience what it takes to design, set up, and run a successful business. NCA actively oversees every step of the process and co-invests in each acquisition while supporting the sponsored NCA Entrepreneur, who takes on a managerial role within the company post-acquisition.
NCA supports entrepreneurs in our ETA program with due diligence and negotiations for acquisition once a target company has been identified. NCA Entrepreneurs then present the deal to investors and solicit a second round of follow-on funding to support the acquisition. Upon acquisition, a shareholder's agreement is put in place between all involved co-investors and the NCA Entrepreneur takes on management of the target company. A Board of Directors is set in place to further help create growth within target companies by maximizing existing talent, capital, and capabilities.
Value Creation
Post-acquisition, NCA Entrepreneurs typically operate acquired businesses over several years, managing the company for operational excellence, financial optimization, digitalization, and revenue growth.
Because our ETA program allows NCA Entrepreneurs to become the largest shareholder of the company during acquisition, we ensure our long-term commitment to the business legacy. NCA continues to support our Entrepreneurs through active involvement in the company’s management and advising on financial matters, while co-investors continue to offer transaction and industry experience as board members alongside NCA.
FINANCIAL REWARDS
Our Entrepreneurship Through Acquisition program generates mutually beneficial financial rewards for all stakeholders.
NCA’s highly specialized ETA program offers co-investors the possibility to build a diversified portfolio of profitable and well-established companies, identified and managed by top-notch industry professionals in partnership with NCA. NCA Entrepreneurs benefit professionally by establishing a meaningful economic stake in an existing business legacy, and existing businesses can rest assured that we’re in it for the long haul, with NCA talent incentivized to optimize long-term growth as they become the largest shareholder.
