Lower Middle Market Companies

Are you a lower middle market company?

These companies typically have between 100-500 employees and are privately or family-
owned. They usually don't have outside funding and rely primarily on bank debt. Personal
guarantees required to secure debt may be a key issue.

They may have a formal Board though it is often made up mostly of insiders. They may have private equity potential. Revenues are above $100 million, the traditional lower boundary of the middle market, and may range up to $500 million.

What are typical challenges that Newport's solutions are designed to assist with?

  • Coping with debt covenant compliance.

  • Weighing near-term plans to acquire capital to fund capacity expansion or aquisitions.

  • Developing a more professional management team and assessing whether current home-grown executives have the capability to lead the company through its next phase of growth.

  • Developing consistent processes while keeping as many costs variable as possible.

  • Developing formalized Finance, HR, IT and other functions. Vacancies in key management positions may require interim executives to step in quickly to run operations, while designing the role to fit the business strategy going forward and assist with selection and onboarding of the permanent hire.