About

Chicago-based Granite Creek Capital Partners, L.L.C. is an active manager of lower middle market debt and equity investments in Business Services, Niche Manufacturing, Food & Agribusiness, Healthcare and value-added Distribution. Granite Creek invests in high-performing businesses to support rock star entrepreneurs, the next phase of growth or a transitional event that is driving the need for additional liquidity. Granite Creek brings decades of experience in private equity, lending, strategy and operations across 80+ deals over the course of 30+ years. The Granite Creek investment team, led by Mark Radzik, Brian Boorstein, Peter Lehman and Jim Clark, brings operational and business development resources to its portfolio companies that are often inaccessible to the typical smaller business. We are more than just money; we are partners to businesses.

Be Entrepreneurial

Think differently, be realistic, be creative, dream, focus, accomplish, don’t give up.

Be Passionate

Be excited about the work, so that it doesn’t feel like work. Have convictions and stick to them.

Be a Leader

Take charge.

Be Prudent

Underwrite the downside, but prepare and work hard for the upside.

Have Character

Be honest, transparent and do the right thing.

 

Our Business

Investment Size:

$7-$20 million

Target Company Profile
  • EBITDA $3 to $15 million
  • Gross Profit margins greater than 30%
  • EBITDA margin greater than 10%
Industries
  • Manufacturing
  • Distribution
  • Business Services
  • Healthcare
  • Food & Agribusiness
Company Attributes
  • Defensible market positions and cost structures
  • Entrepreneurial leadership (existing or new)
  • Reputation for quality products or services
  • Culture of accountability
  • Sales growth-focused orientation
Transaction Types

Senior Debt, Mezzanine Debt with Equity, and Control or Minority Equity investments in growing and attractively-priced lower middle market businesses.

Granite Creek pursues control and minority interests in smaller enterprises in the United States and works as a partner to expand a portfolio company’s base business, optimize operations and leverage its network to fill leadership roles and tap strategic advisors. Granite Creek searches for businesses with defensible market niches, recognized brands, strong intellectual property and/or manufacturing process assets led by entrepreneurial management teams. Often Granite Creek’s equity investments are made in concert with a debt investment, but Granite Creek will consider equity-only investments in certain scenarios, particularly in industries where the firm has had prior experience and success.

Granite Creek makes structured investments in the subordinated debt of US-based small and mid-sized enterprises. Granite Creek invests in high-performing businesses to support rock star entrepreneurs, the next phase of growth or a transitional event that is driving the need for additional liquidity. Rather than taking the full dilution of an equity issuance, a Mezzanine capital investment from GC can provide the needed funding to effect the next phase of a company’s growth while preserving economic upside for entrepreneurs and business owners. Whether a Mezzanine investor, a majority equity owner or any structure in between, Granite Creek is a partner to businesses while bringing its support infrastructure to build businesses and optimize operations. Frequently, Granite Creek is the first institutional investor in a company and helps position the company to further access capital markets when needed.

Granite Creek is licensed by the Small Business Administration of the United States of America (“SBA”) as a Small Business Investment Company (“SBIC”).

As an SBIC, GC must adhere to certain investment restrictions:

  • Companies must be based within the United States
  • GC can only acquire original issue debt and equity
  • Small Businesses: Net worth less than $18 million or average after-tax income less than $6 million over the last two years or NAICS industry code test
  • Investments in project financing, real estate, gaming and businesses that re-lend money are prohibited

In 2011, Granite Creek co-founded Renovo Financial, Chicago's leading specialty real estate rehab and construction lender. For more information, please visit www.renovofinancial.com

Portfolio

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Current
Exited
  • American Diabetes
     
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  • Arnold Defense
     
  • Aspen Earthmoving
     
  • Big Joe
     
  • BSN
     
  • The Iron Horse
     
  • THE CHIA CO
     
  • Cyalume Technologies
     
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  • Fermented Nutrition Corporation
     
  • Globale
     
  • Hughes Telematics
     
  • Mincron
     
  • MobileLife
     
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  • National Direct Packaging
     
  • Red Envelope
     
  • Renovo Financial
     
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  • SMS Assist
     
  • Spiegel
     
  • Symphonix
     
  • Weld
     
 

The Team

  •  
  • Brian Boorstein
     
  • Peter Lehman
     
  • James Clark
     
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Meet the Executive Council

What Our Partners Say

On Partnership

I needed a trusted private equity partner with experience investing in high growth companies with large capital market financing needs, and acting as a counter-party to a multi-billion dollar company. My longstanding association with GC’s Partners made me confident that they were the perfect fit.

Rob Webb President, UnitedHealth Group Ventures
On Operational Support

I have held leadership positions with world class companies, and would rank my experience with GC as one of the best. They have offered unconditional support of my leadership with regards to direction, decision making, and enterprise wide investments.

Norman Young CEO, Weld Racing
On Business Development

GC was the first institutional investor to believe in the opportunity SMS had to revolutionize the facilities maintenance industry through our disruptive technology. The Granite Creek team has supported our growth objectives through trusted counsel as well as introductions to customers, strategic partners, and additional investors. It’s been a great partnership.

Mike Rothman CEO, SMS Assist
On Leadership

Granite Creek was a leader in every sense. They were accessible, open-minded, and supportive of me as the CEO; they gained the respect of the entire Board through their depth of business experience and sound advice; and the quality, quantity, and timeliness of their contributions were extremely valuable.

Jim Iversen Chairman of the Board, Mincron
On Strategy Acumen

Granite Creek was a true partner in giving us the resources and insights we needed. We have more than tripled revenues over the past six years and we certainly could not have done it without their partnership, financial acumen and overall support.

Dan Rosskamm President, Big Lift
On Governance

Granite Creek was a great thought partner that created long term value for all stakeholders. Their contributions at the board level were numerous, and on multiple occasions they went out of their way to be a sounding board and resource for management.

Jamie Schleck Director, Cyalume

News

  • October 24, 2019
    Granite Creek Capital Partners, L.L.C. and Red Arts Capital Announce Acquisition of Sunset Pacific Transportation (Globe Newswire)
    Granite Creek’s investment in Sunset Pacific Transportation was made from its $200 million fund, Granite Creek FlexCap II, L.P. (“FlexCap II”). Within FlexCap II, Granite Creek expects to invest in a total of 15-20 companies engaged in manufacturing, business services, healthcare and agribusiness. Granite Creek plays an active role with the leadership of its portfolio companies and serves as a trusted advisor and partner. Sunset Pacific Transportation is the first California-based company in its current portfolio.
    Read More
  • August 7, 2019
    Granite Creek Backs Corporate Services Provider Morrow Sodali (WSJ)
    Granite Creek Capital Partners invested $15 million in Morrow Sodali, which provides strategic advisory and other services to corporate clients, the Chicago firm said Wednesday. The firm’s investment is for a minority stake in the New York-based company, alongside family offices Holding Pallavicini and Fidia Holding, which invested earlier.
    Read More
  • June 19, 2019
    Granite Creek Capital Partners, L.L.C. Announces an Investment in Royal Biologics (Globe Newswire)
    Granite Creek Capital Partners, L.L.C., a private investment firm based in Chicago, today announces its investment in Royal Biologics, a medical device company focused on the growing regenerative medicine sector. The company, a leading manufacturer and distributor of devices used in stem cell and other surgical procedures, develops, licenses, produces and distributes biologics, orthobiologics and orthopedic implant products. Royal is the first healthcare investment of Granite Creek’s FlexCap II private investment fund.
    Read More
  • June 18, 2019
    Granite Creek Invests in Royal Biologics (WSJ)
    Less than a month after closing its second fund, Granite Creek Capital Partners has struck its first deal out of the vehicle for medical-device and biologics producer Royal Biologics LLC. The private-equity firm will invest $7.5 million in Royal Biologics, with the option to invest another $7.5 million, according to Mark Radzik, a partner at the Chicago firm. In late May, the firm—which targets lower middle-market deals—closed Granite Creek FlexCap II LP with $200 million in commitments. Granite Creek initially targeted about $150 million, WSJ Pro has reported.
    Read More
  • May 22, 2019
    Private-equity firm Granite Creek raises $200 million (Crain's)
    Chicago private-equity firm Granite Creek Capital Partners, an early investor in fast-growing Chicago-based SMS Assist, said it closed this week on its second investment fund after raising $200 million. The firm has already made two investments with the new fund, said co-founder Mark Radzik, though he declined to be more specific. Overall, the firm now has $400 million in assets under management. Granite Creek, founded in 2005, invests in manufacturing, agribusiness, health care and business services companies in the lower middle market. Typically, the firm makes equity investments of between $10 million and $20 million, but also sometimes extends credit to companies. It will take majority or minority stakes.
    Read More
  • May 22, 2019
    Granite Creek Closes Second Fund at $200 Million (WSJ)
    Granite Creek Capital Partners LLC has finished raising its second fund to invest in the debt and equity of lower midmarket companies. Granite Creek FlexCap II LP closed with $200 million, the Chicago firm said Wednesday. The fund’s final tally exceeded an initial target of about $150 million, said firm co-founder and Managing Partner Mark Radzik. The firm’s prior fund closed in 2006 with $85 million. Granite Creek aims to invest $10 million to $20 million per deal from the new fund, backing companies in the business-services, manufacturing, agribusiness and health-care sectors, according to a news release.
    Read More
  • April 29, 2019
    SMS ASSIST NAMES LONGTIME LEADER MARC SHIFFMAN CHIEF EXECUTIVE OFFICER
    CHICAGO, April 29, 2019 — SMS Assist, a leading facilities management technology company, announced today that Marc Shiffman has been named chief executive officer, effective immediately. With nearly a decade of experience leading SMS Assist, most recently as president and chief financial officer, Shiffman has been a driving force behind SMS Assist’s rapid revenue and profitability growth, and has overseen the development of market‐leading solutions for customers and affiliates. He succeeds outgoing CEO Taylor Rhodes, who is departing the company to pursue a new opportunity.
    Read More
  • April 10, 2019
    5 Key Ways To Better Engagement With Boards (Morrow Sodali)
    Morrow Sodali has released its fourth annual Global Institutional Investor Survey which includes feedback from a third of the world’s assets under management representing $33 trillion gathered from 46 respondents, including several domestic funds. The results confirm that 2019 will be another year of transformative change as investors step up engagement to better understand the alignment between board composition and business strategy, especially in the way the board oversees corporate culture and the ‘tone from the top’.
    Read More
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Contact Us

Chicago

Granite Creek Capital Partners
222 W Adams Street, Suite 1980
Chicago, IL 60606

Map It

Phone 312.895.4500

Email info@granitecreek.com

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