Red Door Capital Partners Opens Private Equity Doors To Individual Investors
Private equity firm Red Door Capital Partners is to roll out access to private equity deals to individual, accredited investors by offering investment opportunities on a deal-by-deal basis through various Registered Investment Advisory Groups.
"This allows Red Door to focus solely on building and exiting transactions, without the conflict of interest of being more focused on deploying committed funds to access more fees," said Richard Wolpow, Red Door Capital Partners LLC Managing Director.
Red Door secures partnerships with company founders seeking to build collaborative relationships, deploy strategic oversight, and implement investing governance for private funding projects. In many instances, Red Door will pre-position funds to monitor operations prior to its permanent financing, which helps to reduce investor risk and shorten exit horizons. Red Door is often able to invest side-by-side with institutional funds and family oﬃces where negotiated terms and safeguards are typically only provided to institutional investors.
"This allows Red Door Capital Partners to get involved in the company and establish governance and reporting protocols, in an effort to oversee management and the business model to ensure they are able to achieve the established goals," added Wolpow.
Wolpow recruited a management team of experts from private equity, operations, investments, wealth management, and legal services to help Red Door identify, create, and manage funding opportunities in markets such as education, health care, and technology.
"Having compassion for the entrepreneur is one important success factor for small-cap investing and I wanted Red Door to have a solid team of like-minded individuals," said Wolpow.
Investing directly in individual deals enables the investor to realise a quicker exit than they would if they were invested in a pooled fund with a 10-year lock up, and gives greater control to the investor over where their capital is deployed..
© The Sortino Group Ltd
All Rights Reserved. No part of this publication may be reproduced, stored in a retrieval system or transmitted in any form or by any means, electronic, mechanical, photocopying, recording or scanning or otherwise, except under the terms of the Copyright, Designs and Patents Act 1988 or under the terms of a licence issued by the Copyright Licensing Agency or other Reprographic Rights Organisation, without the written permission of the publisher. For more information about reprints from AlphaWeek, click here.