PRIVATE EQUITY INVESTING

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PRIVATE EQUITY INVESTING
Making Money for Investors

• Growing Niche Businesses

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Client Profile

PRIVATE EQUITY INVESTING

• Who we are
• Experienced investors
• Putting our time and money to work
• What we do
• Buy niche businesses
• Active in Company operations
• Significantly grow the Company

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Client Profile

TARGET COMPANY CHARACTERISTICS

• Niche businesses we can grow
• Good industry fundamentals
• Sustainable competitive advantage
• Strong growth potential
• Internal inefficiencies to improve
• Will consider sick but fixable
• Know their place in a global market

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Client Profile
TARGET COMPANY CHARACTERISTICS

• Specific Criteria include
• Business-to-business sales
• Niche products
• Business Services
• EBITDA lt3M
• Change of control transaction
• Will supplement management
• Midwest

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Client Profile

Immediately Disqualified Deals

• Will not invest in
• Start-ups
• Consumer products
• Retail operations
• Highly regulated industries
• Real Estate
• Oil, Gas, Natural Resources
• Severe turnarounds

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Client Profile

OUR COMPETITIVE ADVANTAGES

• Complementary, not competitive to
  Institutional Investors
• Looking for deals too small for funds
• Flexible deal structure
• No rush to return capital to LPs
• Working Below the radar screen

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Client Profile

OUR COMPETITIVE ADVANTAGES

• We are more attractive to sellers than an
  individual buyer
• Think like an owner
• Ready resources
• Decisive

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Client Profile

WE ARE KNOWN BY OUR PRINCIPLES

• Integrity
• Accountability
• Results

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Client Profile

DIVERSE INDUSTRY KNOWLEDGE

• Prior Experience
• Product Service
• Auto Banking
• Beverage Engineering
• Building Materials Financial Services
• Chemicals Asset Mgmt
• Electronics Insurance
• Metals Real Estate
• Machinery/Equipment
• Plastics
• Semiconductors
• Technology

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Client Profile

WORKING WITH KONA ADVISORS

• Kona runs a streamlined process
• Quick decision-making
• Hands-on approach
• Pragmatic

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Client Profile

SELLERS VIEW

• Buyer is known for
• Tailored, individual solutions
• Hands-on, active investing
• Capital gains or cash flow deals
• Family private company experience
• Understands legacy/culture issues

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PRIVATE EQUITY INVESTING
Making Money for Investors

• Growing Niche Businesses

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