November 17, 2013 Investment Amount:
$2.5M Type of Investment:
Senior Subordinated Convertible Note Board Representation:
1 Board Seat PF Management Services, LLC, through its affiliated companies, acquires and operates funeral homes and related businesses, primarily in tier 2 and tier 3 markets in the U.S. The company also provides managerial and operational consulting services to acquired businesses and additional funeral homes. Based in the Indianapolis area, the company generally has targeted markets in 17 states, primarily in the Midwest, Southeast and Eastern regions of the U.S. where management has operated death care businesses throughout the team’s careers. Funding Need:
- Capital needed to execute roll-up strategy.
- Premier Funeral Management was formed with the goal of rolling up funeral homes in tier 2 and tier 3 markets in the Eastern, Southern, and Midwestern United States.
- Investing in experienced management team assembled to implement effective roll-up strategy
- Industry is highly fragmented and ripe for consolidation
- Management has demonstrated the concept with their first acquisition, nearly doubling operating margins in the first year
- Multiple exit opportunities likely given high consolidation activity in the industry