Looking to Make a Change?
Whether you’re a founder ready to take some chips off the table, a leadership team interested in buying out an existing owner, or a founder seeking a partner to accelerate growth, we’re here to help. With access to both our fund and strategic banking relationships, we have the flexibility to acquire anywhere from 51% to 100% of your company.
We’re Not Your Typical Private Equity Firm
At Traction Capital, we focus on the people, the processes, and the profitable growth of your business. We’re not a big, impersonal PE firm – we are small business owners ourselves, and we understand how to run a company with a hands-on approach. As your partner for growth, we’re committed to building long-term value together.
Take our EXIT READINESS QUIZ to find out.
Criteria |
Details |
|---|---|
| EBITDA | $500k – $3M |
| Enterprise Value (EV) | $2M – $20M |
| Leadership | Key leadership looking to remain |
| Location | Midwest (Preference for Minnesota) |
| Industry Preference | Manufacturing, E-commerce, and SaaS |
Traction Capital follows an 8-step approach inspired by the Traction® EOS® framework to strategically invest in and grow businesses. This process ensures thorough evaluation, structured deals, and continuous development to maximize value and achieve successful exits.
Well-aligned opportunities identified by a trusted network of investors, entrepreneurs, consultants, EOS® implementers and others
Comprehensive analysis including legal, intellectual property, financial, competition, customers/partners and management team
Negotiate deal terms, conditions, valuation and capital structure with post-close initial planning
Define vision, values, mission and strategy (brand) with plan for enterprise-wide implementation; begin EOS® implementation
Execution of plan; EOS® implementation continuation; accelerate top-line growth
Scale business; M&A and strategic growth capital; mentorship of management team and board-level leadership
Bottom-line optimization; market analysis and positioning; preparation for transaction
Identify prospective buyers; manage process; negotiate deal
If you have a qualified opportunity that aligns with our criteria, send a referral our way! Traction Capital values connections to potential investments and offers a competitive referral fee for acquisition opportunities that lead to successful capital deployment.
Fill out our referral form with the business name, what they do, your connection to the business, and roughly the size if you’re aware. Then we’ll set up a first meeting to discuss the opportunity! Feel free to email Justina with any questions.
Scott Litman is a serial entrepreneur, advisor, and investor who brings decades of hands-on startup and growth experience to Traction Capital. With five successful company exits and a long list of accolades, he’s a driving force behind innovation and scale in Minnesota’s business community.
As a Strategic Growth Partner, Scott has an immense level of experience in entrepreneurship that he brings to Traction Capital. He has gone from startup, funding, growth and exit five times (Imaginet Inc, Spot Buy Spot, Imaginet LLC, Magnet 360 & Lucy). In that time, he has received a number of honors & awards including E&Y Entrepreneur of the Year, Business Journal Titan of Technology, University of Minnesota Outstanding Achievement, Smart Business Dealmakers Hall of Fame, Twin Cities Business 100 People to Know / Watch (3 times), Minnesota Business The (Real) Power 50 and Business Journal 40 Under 40. Along the way, Scott has experienced being #1 in The Business Journals Fast 50, made the Inc 500 and has worked with over 25% of the Fortune 500.
Scott founded the Minnesota Cup, the largest state wide business plan competition in the US and has been on the Board of Advocates for Backpack, a student run marketing and communications agency out of the University of Minnesota.
Scott has served on the BOD, Advisory Board or been advisor to a number of startups that have had tremendous success including Enstratus (acquired by Dell), InStereo (acquired by Salesloft), HealthSimple (acquired by J&J), Hollywood Fashion Secrets (acquired by American International Industries), I See Me (acquired by The McEvoy Group) and more.