NCA’s ETA Program focuses on solving succession issues and offers experienced executives a structured opportunity to become Entrepreneurs through Acquisition, supported by a powerful in-house team of business and legal experts. Before being accepted into our Program - and in order to ensure compatibility between candidates and NCA - candidates will go through our Selection Process, which is outlined in the article below.
Before applying to our Program, we recommend reviewing our Program Investment Criteria and our Search Geography requirements (available on our website and in the FAQs at the bottom of this article) to ensure that your expertise and targeted industry is aligned with our search fund model.
The core requirements of our Program work in tandem with the Selection Process to help us determine if your objectives are compatible with our Program, while also providing an opportunity for candidates to fine-tune their pitch and hone their skills (which will be needed when meeting business owners and future co-investors). We hope this article will serve as a helpful guide for understanding what will be expected at each stage of the Selection Process and how to best prepare for each step.
INITIAL APPLICATION
To be selected for our ETA Program, you must be focused, clear, and strategic about what business you are searching for and why.
How we evaluate your application & CV:
We are looking for alignment between your experience and the job description requirements, in addition to ensuring that your search objectives match our program criteria. Think carefully about your industries and sub-sectors, and make sure your past experience is relevant. Please be sure to provide details about where you want to focus, as providing minimal information (or answers like “see CV” or “TBD”) will not help us assess your fit for the Program.
If you are selected to continue after submitting your application, you’ll receive reading materials and an invitation to complete a one-way video recording. You are encouraged to complete the video step as soon as possible so your application is not postponed to the next selection cycle.
How we evaluate your video recording:
Clear communication and enthusiasm are essential when recording your video. We are looking for candidates who can directly answer the question(s) with the right amount of detail, while ensuring they stay within the time limit and don’t go off topic.
DISCUSSIONS WITH THE ASSESSMENT CENTER TEAM
These calls represent your first conversations with the Assessment Center team. The goal of these discussions is to shape your Investment Thesis ideas and receive feedback on how to refine your pitch.
The Orientation Call is designed for us to learn more about you, where you want to invest, and the basis of your Investment Thesis. It is also a chance for us to answer your questions, so you can learn more about us and determine if we are a good partner for you.
How we evaluate the orientation call:
While we will help you refine your ideas, it is important you join this call prepared with research. You will need a clear idea of what you want to do, ensuring your thesis matches our investment criteria and having clearly defined ideas around:
- Your search geography
- Your search industry and sub-sectors
- The approximate number of target companies (minimum of 1,000)
- Initial value creation plan
After this call, you will be expected to use the provided feedback to refine your ideas and build an Investment Thesis deck, which you will present during the next call if you are selected to continue. Please note that your Investment Thesis will be the basis of your candidacy and your primary project for the entire Selection Process - click here for more guidance on how to build a strong Investment Thesis deck.
The second call you have with the Assessment Center team represents the first time we really see your work, your project, and whether it's a fit for the NCA Program, while also examining your profile, experience, and search strategy in more detail.
How we evaluate the second call:
As we provide an outline of what information is expected to be in your Investment Thesis deck, you will be evaluated on your ability to include the requested information in presentation format. This call also focuses on your background and professional experience, specifically your operational skills and people management skills. The goal is to understand the full scope of your experience by having you eloquently discuss what may not be on your resume.
If you are selected to continue, you’ll be invited to an 'open house' Zoom webinar (participation is optional but strongly advised). This is a chance to learn more about the NCA environment, teams, and how we approach the ETA journey. You’ll meet our management team and NCA's department heads (including our Managing Partners as well as the M&A, DDO, and Investor Relations teams). You’ll also be able to ask questions in real time (via the Zoom Q&A function) and learn from other candidates’ questions
BUSINESS CASE
Selected candidates will continue to the Business Case interview, where they will lead a presentation of their case to our M&A and Assessment Center teams. The goal is to approach this assignment as if you were a searcher considering this Target Company and preparing to present your case to an investment committee.
How we evaluate the Business Case assignment:
You will be evaluated on your business and financial acumen while assessing a target. We will examine your ability to understand a company and industry that may not be aligned with your experience, along with your ability to have clear ideas around the deal structure and Value Creation Plan.
While we do not expect candidates to be M&A professionals with flawless financial projections and an exemplary understanding of the balance sheet and P&L, we are evaluating your ability to arrive at a foundational understanding of whether this is ultimately a sound investment.
The quality of your presentation materials will be evaluated as a reflection of your professionalism. We will also evaluate your executive presence and how you would pitch to an investment committee, including your ability to: present well and compile information logically; have clear, confident and convincing communication; convey the right message; manage your time effectively; and directly answer questions concisely.
THESIS PREPARATION CALL + LEGAL DOC REVIEW
In preparation for this call, you will be asked to complete an online assessment to test the most relevant skills we believe are needed for this journey as well as to review your Investment Thesis based on the feedback received during the discussions with the Assessment Center Team. This is an opportunity for us to support you with advice for the next step (a conversation with the Managing Partners) and suggest further revisions to your Investment Thesis that you should implement prior to that call.
You will also receive legal documents outlining the terms and conditions of the program and be invited to a legal webinar, where you will meet the NCA Legal team and Entrepreneur Success Management team and receive answers to any questions submitted in advance.
NCA PARTNER CALL + ASSESSMENT CENTER
This discussion with one of NCA’s Managing Partners is designed to challenge your Investment Thesis and confirm it is aligned with our Program, as well as to answer any questions you may have. It is also an opportunity for you to seek feedback from our Managing Partners that will improve your chances of being successful in the final step of our Selection Process, the Assessment Center.
How we evaluate the NCA Partner Call:
During this call your professional experience will be evaluated, specifically your leadership and operational experience in your search industry, your entrepreneurial background, and your appetite for risk.
The ability to fundraise and speak with investors is very important, so we also look for strong communication skills and strong engagement with the audience. Your presentation should be smooth, practiced, energetic and confident, and you should manage your time effectively to ensure you complete your pitch in 15 minutes or less.
If you are selected to continue, the final step is the Assessment Center (AC) panel, where your professional and personal fit will be evaluated by an experienced jury. This is your opportunity to present your Investment Thesis to three professionals (typically one NCA Department Head, one NCA Entrepreneur, and one investor/advisor) who will assess you from different perspectives. The AC is the culmination of the Selection Process, which has been meticulously designed as a collaborative process to prepare you for this moment. We encourage you to approach the Assessment Center as if it was an investment committee presentation.
How we evaluate the Assessment Center:
The evaluation criteria here are similar - yet amplified - to the discussion with the Managing Partners. At this stage of the Selection Process, you should have a strong case that you’ve practiced presenting. Be comfortable discussing how your experience, network, and vision are relevant to your search and aligned with our Program. A decision as to whether you will be invited to join the Program will be made after the full evaluation is complete.
We hope this overview of our Selection Process has been helpful. Below are a few common FAQs, and if you’d like additional guidance on preparing your Investment Thesis, click here for recommendations from our Assessment Center team.
SELECTION PROCESS FAQs
1. How long does the Selection Process take?
Our Selection Process takes around 15 weeks, plus another 4-8 weeks dedicated to the onboarding process, so please plan accordingly. You will be expected to attend calls and meetings during the Selection Process period and will also need to allow yourself time to prepare all of your materials (One-way Video, Investment Thesis, Business Case, etc).
2. When can I submit my application?
Candidates may apply at any time however applications are only reviewed by NCA three times per year to align with our selection cycle processes.
3. Would you consider an industry agnostic search?
No. While all of our searchers have a small percentage of their search which is considered “opportunistic,” it is important to have 1-2 focus sectors in order to maximize your chances of success.
4. Which industries or sectors have you seen have significant success within the program?
We are open to many industries, so long as they meet the investment criteria discussed on our website. Industries in which we’ve seen large success are typically B2B models, manufacturing, business services, healthcare, distribution / logistics, etc. However, that is just a short list and non-exhaustive. Again, we consider a variety of industries that check the boxes for our program criteria.
5. Why don’t you want to invest in startups?
Our model's primary aim is to solve succession issues by bringing an accomplished operator and entrepreneur into an established business. By their very nature, startups are not succession issues. In addition to this simple fact, they are typically a different risk profile in terms of type of investment, with a different world of investors allocating capital to their success. Our investors are specifically interested in the model due to its exposure to an asset class that has historically been difficult to access, which are SMEs at scale.
6. Is it possible to do add-ons or roll-ups?
Yes, however, this is not typically our primary value creation driver for our operators/entrepreneurs and their targeted businesses. We typically seek out primary targets that have large addressable value creation plans utilizing the existing platform. We have successfully and actively sought acquisitions to add on to the primary portfolio companies when there are clear synergies, and the acquisition can be largely done without a secondary equity investment.
7. Do you accept duo searchers?
Yes, we are open to considering duo searchers as long as both searchers meet the requirements outlined in the job description. If you are conducting your search as partners, you will need to go through the entire journey together, including the application, selection process, onboarding, search, acquisition and company operation. Please note that the overall search budget will remain the same as the solo-search budget.
8. Do I need to identify a target company to apply for the program?
No, our process is designed to guide you through the steps to find a potential target and acquisition. To apply, you will need to bring an investment thesis (i.e. your preferred sector, industry, company profile and geography).