Opus8 specializes in middle-market buyouts, private equity and venture capital investments.Opus8 seeks buyout investments in the BPO (business process outsourcing) and nutraceutical industries. They look for companies with the potential for growth through off-shoring labor, improvements in CRM (customer acquisition, retention and lifetime value), the addition of talented management, business process outsourcing and reengineering and the sale/licensing of intellectual property and other assets. BPO and business services companies should have $20 million or more in revenues. Nutraceutical companies should have revenues of $5 million or more. Companies should have a concentrated customer base with the largest customer making up no more than 15% of total revenues and the top 10 companies making up no more that 40% of total revenues. Investments are structured as direct private equity investments and mezzanine debt. Opus focuses on investments in the Eastern US. They invest with a 10 year investment horizon.Opus8's venture capital investments focus on the Internet, direct marketing, nutraceuticals, business process outsourcing, information services, database management, business services and publishing sectors. They look for strong management teams that have a substantial cash investment in the company. Companies should have the potential to grow aggressively in a very large market. Opus8 prefers to invest in companies seeking capital to grow by expanding their sales and marketing efforts and by hiring exceptional people. They are not looking to invest in companies engaged in the development or testing of a new product. Opus8 is not interested in pre-revenue opportunities or investments in companies in highly technical industries. The firm has no revenue requirement for these investments, but companies should be billing revenues with existing products and services. The firm focuses on investments in the Mid-Atlantic region of the US and in the coastal regions of China. Investments range up to $1 million per transaction. Opus8 does not require a Board seat, but they do expect Board observation rights. Their investment horizon is 7 to 10 years.
