Mindful Investors Fund I

Mindful Investors is a growth stage private equity fund focused on investing in healthy and sustainable consumer companies based in North America. We source and invest in scalable investment opportunities in the leading companies in the $60 billion natural, organic, and sustainable consumer products space. Our emphasis is on natural and organic food and beverages, personal care and household products and sustainable lifestyle companies. We expect to deploy our capital within 2-3 years of the Fund’s closing and realize liquidity from our investments within a 7-10 year timeframe. The structure of our investments are preferred equity or convertible securities with a senior position. The active role we take with our companies engages us as an owner and manager of the business with Board representation. We do not use leverage to enhance fund returns and prefer to invest in companies with limited debt. Our target IRR is 20%.

Financial description

We seek to provide growth capital for businesses that have demonstrated strong consumer traction, the ability to generate cash flow, and a commitment to sustainable business practices. Consumers’ growing preference for natural and organic products represents a long term secular trend in the American economy. Mainstream packaged goods companies and retailers alike seek new brands that incorporate the values of sustainability in order to meet the needs of these consumers. Brands that can authentically represent these values have the potential to rapidly capture market share and become highly desired by global CPG companies.
Mindful Investors targets businesses with annual revenues of $20-100 million, break-even or positive cash flow, experienced management teams, and a unique value proposition for consumers. Our valuation approach is highly disciplined: we expect to invest at Enterprise Values equal to 0.5x-to-1.5x Sales or 4.0-to-7.0x EBITDA. We look for businesses that will be attractive acquisition targets.