Investing in the “strip” alternative

Linx and its management partners invest in substantially all of the remaining securities below the senior lender at the start of a transaction. These securities typically include current-pay subordinated debt and equity. By investing in this manner, Linx and its management partners are able to control the balance sheet, distribute capital back to investors throughout the investment period, and give sellers higher surety to close.  This investment structure also enables the business to execute its professionalization initiatives with a streamlined balance sheet.

Conservative Senior Leverage

We execute these structures starting with a conservative use of senior leverage. We understand that as companies grow and scale, they will need a flexible and conservative balance sheet so that people and capital investments can be made. We believe in protecting our companies and creating value through growth and operational improvement, not purely through financial engineering.

Wealth creation opportunities for management teams

We create true partnerships with entrepreneurial management teams by instituting meaningful equity ownership and incentive plans that align the management teams with the equity investors. We all win together.

Financing Partners

We maintain close relationships with senior and mezzanine lenders who value partnerships the same way we do.  We have executed transactions with various lending partners, but are always looking for new partners for future investments.