Torrens Capital focuses on businesses that have the potential to undergo a high level of growth. The growth can come through organic growth, operational improvement and through acquisition or a combination of these.
Organic Growth
It is common for small and medium sized businesses to significantly increase performance. For example, through structure and process changes, improved sales and marketing, and the introduction of new skills. We work to identify growth opportunities and set goals with the existing management team.
Follow On Acquisitions
A key driver of investment growth is through roll-up/follow-on acquisitions of businesses that can be integrated and managed effectively. Growth by acquisition is an excellent means of achieving rapid growth and building businesses to a size which places them in an excellent position for a successful exit through sale to a secondary market or trade buyer.
Operational Improvement
Businesses will often benefit through increased scrutiny of their operations including cost controls, recruitment and human resource capabilities, organisational structure and management, budget setting and controls, and critically implementing a culture of setting clearly identified goals that can be attributed to team members who are held accountable for their achievement by empowered management.
We have a proven track record of success through roll-up acquisition strategies and see this as important for business growth, particularly interstate and internationally.
Investment opportunities are sourced as a result of internal research and referrals from our networks. The Investment Committee meets regularly to review the opportunities pipeline, which is continually refined in order to identify the best opportunities for the Fund to pursue.
We maintain an investment committee rule of unanimous agreement on any investment being made and utilise the investment committee to agree all investments including in the case of roll up acquisitions even where funded through the portfolio company.