At the core of Novastone Capital Advisors lies a mission that resonates with the challenges faced by family-owned businesses dealing with succession complexities. The company's goal is clear – to facilitate the seamless transition of these businesses to a new generation of leaders.
Unlike traditional models, NCA's Entrepreneurship Through Acquisition (ETA) program stands out by providing mid-career professionals with the support, tools, and expertise to identify, acquire, manage, and grow established small to medium-sized enterprises (SMEs).
What sets NCA apart is its robust business model, strategically designed to cater to a specific group of mid-career professionals. With operational experience and a genuine desire for entrepreneurship, participants embark on a journey to lead their businesses.
While alternative options exist in the market, such as traditional Search Funds or joining private equity funds, NCA's program combines the best of both worlds. Participants search for and acquire substantial stakes in family-owned businesses and receive support similar to a private equity fund.
The Selection Process: Turning Mid-Career Professionals into Successful Entrepreneurs
Novastone's rigorous selection process ensures that only the most qualified candidates become part of the ETA program. With over ten touchpoints and a three-month evaluation period, only around 1% of applicants make the cut. Andrea Gaia Botton, who leads the Assessment Center team highlights the significance of this process, "Our recruitment process goes beyond simply seeking individuals with credentials, it's about pinpointing those who truly embody the entrepreneurial mindset and are dedicated to preserving small to medium enterprises " she explains. Once accepted, candidates gain access to unique resources, tools, and ongoing support, increasing their chances of success in the complex landscape of business acquisition
The ETA process unfolds systematically, comprehensively evaluating candidates based on the skills and industry experience needed for entrepreneurial success. This careful selection process ensures that participants have the necessary qualifications and align with the program's mission of preserving family-owned businesses.
Addressing Succession Challenges: A Win-Win Solution for Business Owners
The heart of NCA's impact lies in its ability to address the emotional and financial challenges faced by business owners looking to retire and pass on their legacy. For these entrepreneurs, the NCA ETA program offers a compelling alternative to selling to competitors or traditional private equity funds.
With a successful track record of acquiring 16 companies driven by the need for a successor, NCA provides a solution that resonates with the emotional significance of these transitions. As Christian Malek, the Group CEO & Managing Partner, emphasizes, "The selling price of their businesses is crucial, along with the terms of acquisition and who the new owner will be. This is an emotionally charged event for them. The NCA ETA program offers an appealing solution to these entrepreneurs, allowing them to transition their business to a new owner rather than selling to competitors or a traditional private equity fund."
Success Stories: From Acquisition to Sustainable Growth
One of the most compelling aspects of NCA's success lies in its ability to acquire businesses and ensure sustainable growth. The impact extends beyond the initial acquisition phase, with 94% of the acquired companies successfully handed over to program participants. For those instances where the transition is not as smooth, NCA actively collaborates with the company's board of directors to find a new CEO, ensuring continuity.
Notable success stories include acquiring IAR Group Holding AG, a testament to the program's efficacy in securing profitable transactions. Sébastien Perroud, the first NCA CEO, provides a video testimony showcasing the tangible results of the program in action.
Leadership, Culture, and Innovation: The Pillars of Novastone's Success
The success of NCA is intricately woven into the fabric of its leadership team, with key members like Daniel Gaertner, Taylor Perry, and Christopher Meier playing pivotal roles. The company's organizational structure and culture are centered around long-term compensation plans tied to the success of program participants, fostering innovation, collaboration, and growth.
In a short time span, NCA has achieved remarkable milestones, acquiring over 16 portfolio companies and supporting roughly 40 qualified NCA Entrepreneurs or "Searchers" who are searching to acquire companies with succession challenges. NCA's impact on mid-career professionals, business owners, and the broader community is evident. Not only does the program contribute to individual success stories, but it also safeguards the legacy of family-owned businesses, ensuring their preservation and growth.
Mark Pfeiffer, a US- based business founder who sold his business to a NCA Entrepreneur, looks back on the shift, "When I sold my business to NCA, one of my most important factors was how my company was going to carry on...After selling I was able to get financial freedom from my financial obligations and at the same time stay involved in what I enjoyed doing."
As NCA continues to redefine the landscape of entrepreneurship and succession planning, its influence extends beyond industry recognition. The company's achievements are a testament to its commitment to transforming challenges into opportunities and securing the future of businesses that form the backbone of communities.
Navigate Success with Novastone Capital Advisors
In the dynamic world of entrepreneurship, Novastone Capital Advisors serves as a guide in navigating the intricate challenges of succession planning with unparalleled expertise. Through its ETA program, the company addresses the immediate needs of family-owned businesses and paves the way for a new generation of successful entrepreneurs.
As NCA continues to expand its reach and impact, it reaffirms its position as a leader in the private equity industry. The stories of successful acquisitions, the transformative journeys of program participants, and the unwavering commitment to preserving the legacy of family-owned businesses paint a compelling picture of success.
For those looking to embark on a journey of entrepreneurship through acquisition or seeking innovative solutions to succession challenges, Novastone Capital Advisors stands apart, guiding entrepreneurs and business owners toward a future defined by success and sustainability.
