A Mutually Supportive Relationship
Hermitage Equity Partners prefers to buy companies with strong management teams already in place. The firm will provide its management teams with not only capital and strategic and operational support, but also a vehicle for accelerating career growth and the building of personal wealth. Hermitage Equity Partners wants its management teams to share in the success of their labors, so key executives of each portfolio company are invited to participate in the ownership of the newly acquired entity. In addition, our management teams have incentive plans that tie annual operating performance to long-term value creation.
Hermitage Equity Partners prefers to work with management teams that are self-starters and appreciate the value of hard work. Management’s interaction with the firm occurs at the board level, meaning that we do not intend to interfere with the management’s daily activities of running their businesses. Moreover, Hermitage Equity Partners intends that its interactions with management be impactful and value-added. Our goal is to assist management in growing and improving their businesses, not to introduce an additional layer of scrutiny or oversight for its own sake.
We understand that the foundation for the eventual success of our investments is built upon a close working relationship between the firm and the managers of our portfolio companies. Given the fundamental importance of these relationships, Hermitage Equity Partners pledges to build partnerships with our portfolio company executive teams, based upon the following core principles:
- A commitment to professionalism, hard work and personal integrity.
- A pledge of transparent and complete disclosure of information.
- A commitment to supporting our portfolio company executive teams by respecting their autonomy and providing them with “room to run.”
- A receptiveness to both giving and receiving feedback, delivered positively and constructively.
- A shared vision and alignment of interests with management.
- A willingness to listen and consider different perspectives before making important decisions.
- A commitment to owning our decisions and winning (or losing) as one team.
- A perspective of not forgetting to have fun.