Mark Hauser Shares Insights on the Private Equites Market

Mark Hauser is co-manager of Hauser Private Equity and an expert in the field of private equity investing. We will look at his strategies and insights for making successful transactions in the private equities market, as well as the best time to exit.

What Are Private Equities?

Private equities differ from traditional stocks in a couple of ways. Rather than individual investors purchasing shares in a company, a private equity firm will acquire the entire company as a whole. These are large deals that can go upwards of $ 1 billion. Also, they will use what is known as a leveraged buyout, as Mark Hauser explains, in order to execute the purchase. A leveraged buyout simply means using borrowed funds.

Transactions and Due Diligence

Before proceeding with the transaction, Mark Hauser and his firm will perform exhaustive due diligence in order to ensure they are going to get a good return on investment.

Due diligence is making sure that thorough research is conducted into the target company, covering everything from financials, industry trends, and market position, and making sure their are no potential red flags.

Closing the Deal and Exiting

After performing their due diligence, Mark Hauser and his associates will show the prospective deal to the investment committee. After the committee makes its decision, funds will be released and the deal is finalized.

Having a proper exit strategy is vital to ensuring a profitable, well executed transaction. Normally, an exit will happen within 3-7 years, but this can depend on a variety of factors in any given situation.

Thanks to Mark Houser and his team, we are able to derive more insights and knowledge in world the world of private equity investing and its many nuances.