What is a search fund and how does it work?

A search fund is an investment vehicle where an entrepreneur (the “searcher”) raises capital from investors to locate, acquire, and operate a privately held company. Investors fund the search phase and the eventual acquisition; the searcher becomes the CEO to grow the business and share in the upside when the company is scaled or sold.

How do search funds drive growth in acquired companies?

Search funds drive growth through hands-on operational improvements, strategic investments in sales and marketing, professionalizing management, implementing scalable processes, and pursuing add-on acquisitions. The searcher’s active leadership and investor support accelerate revenue and margin expansion.

What are the typical returns and timeline for search fund investments?

Search fund timelines usually span 5–10 years from search to exit. Investor returns vary but historically median internal rates of return have been attractive relative to private equity for successful funds, often driven by value created through operational improvements and multiple expansion at exit. Returns depend on deal selection, execution, and market conditions.

Find the Right Business and Grow It

From first outreach to post-acquisition growth, everything a European searcher needs in one place.

Search Fund Tools

Find the right business, then grow it

Most search fund resources cover one half of the journey. We cover both. The tools to find the right business, and the partner to grow it once you have it.

You are searching

Find the right business

From building your first target list to submitting your final due diligence documents, the road is long and sometimes chaotic.

Most tools and resources out there were built for the US market or for large-scale M&A. We have gathered the right ones for the European search process, so you do not have to start from scratch.

Browse the full directory →

What you will find

European SME databases and marketplaces
Deal sourcing, CRM and outreach tools
Due diligence resources
Country-specific guides for France, Spain and Germany

53+

tools, free, curated for Europe

You have acquired

Now grow it

Closing the deal is a real achievement. Now the real work begins. Most acquired SMEs have strong operations and loyal customers, but rarely the commercial structure underneath: a clear positioning, a real sales process, and the marketing systems to grow sustainably.

We act as the growth team the business does not have in house, alongside the CEO and the existing team. Hands-on operational work, not advice from a distance.

Go to post-acquisition →

What you will find