Spectrum Equity Fund portfolio companies enjoy the benefit of direct equity investment, primarily from our own private funds. Depending on the risk and size of the investment, Spectrum may elect to bring in additional outside investment capital or other professional co-investors to assist with the capital injection or buyout funding requirements. Due to total control of our private funds, we are able to make quick and effective decisions regarding our interest level and subsequent involvement with selected portfolio companies. Spectrum’s investment process follows a simple three step process:

1. Initial Review

• High level financial and business analysis
• Creation of investment criteria report for shareholder consideration
• Board approval for further review

2. Due Diligence

• Review readily available business financials and supporting documentation
• Industry research and trend analysis
• SWOT and risk analysis
• Our own internal valuation metrics

3. Issue LOI

• Written offer provided

Spectrums’ Board of Directors has been involved in over one hundred equity investments, buyouts, acquisitions and direct business ownerships in a broad range of industries. We have a thorough and deep understanding of the closing, funding and capital allocation processes. With company valuation expertise, the ability to provide financing and necessary working capital, shareholder entry and exit strategy and access to over 3,700 private equity groups worldwide, makes partnering with Spectrum a unique business proposition and the ideal structure for obtaining rapid and sustainable growth.

In short, Spectrum Equity Fund not only invests in outstanding business opportunities, but also provides direction and pathways for these portfolio companies to become leaders in their industries. Our focus is on delivering outstanding returns to shareholders.