Frameworks
Ownership Pathways
Acquisition isn't the only path. These four structures unlock ownership for operators across the capital spectrum.
Seller Financing
- Best for
- Buyers with strong operating experience and partial capital
- Structure
- Owner finances 20–50% of purchase price; buyer pays balance at close.
- Benefits
- Lower upfront capital
- Seller stays aligned through note period
- Faster close than third-party financing
Sweat Equity
- Best for
- Operators without capital but with proven execution
- Structure
- Equity vests over 3–5 years based on revenue, EBITDA, or role-based milestones.
- Benefits
- No upfront capital required
- Founder retains stewardship
- Performance-aligned outcomes
Earn-In Ownership
- Best for
- Senior operators seeking transition into ownership
- Structure
- Phased ownership transfer over 24–60 months alongside operational handoff.
- Benefits
- Reduced execution risk
- Built-in transition mentorship
- Predictable founder exit
Management Buy-In
- Best for
- Executive teams ready to lead and acquire
- Structure
- External management team acquires control, often with founder rollover equity.
- Benefits
- Continuity for employees & customers
- Founder rollover preserves alignment
- Institutional capital eligible