Bishop: Private Equity Rarely Acquires Companies Under Three Years Old
Cameron Bishop · It Was Printing Money But Every Buyer Walked Away · Apr 8, 2025 · at 23:57
Cameron Bishop of Raincatcher addresses founder desires to start and flip companies within two to three years.
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“And a lot of buyers, private equity in particular, they're very reticent to buy a two or three year old company. They, In fact, we recently sold a five-year-old company, and that was a barrier to selling because buyers didn't see the company as being established long enough and at their current financial run rate, they couldn't look back two or three years, which is typical, and see consistency of that same scale of run rate that the company has when they're trying to sell. So in most markets two or three years is a disadvantage or the company is going to sell at a discounted.”
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