•  
• Tweet
•  
•  
• 

Specialist finance and advisory firm Florida-based TCA Fund Management Group Corp. has spent the past 10 months working on a new fund that will lend to small companies. The fund will invest in companies ranging in size from $25 - 100 million in the US and the UK. TCA Opportunities Fund I, LP, registered with the Guernsey Financial Services Commission will seek just to target 15 to 20 companies, using a US Dollar based vehicle as well as having a US based feeder. The target size for the fund was not disclosed.

According to the US census, there are more than 28 million small businesses with revenues between $25-$150 million who fall short of capital requirements from banks, peer-topeer lending, traditional private equity and crowdfunding.

“We feel like with the lack of liquidity available to small businesses today, that we can put together something that offers really transformational capital to the companies we partner with,” explains Bob Press, Founding Partner and CEO of TCA in an interview. TCA already has a $400M+ Credit Master Fund that will continue to invest in opportunistic credit transactions.

Some investors from the Credit Master Fund will sign on to the new vehicle as well. TCA will use its origination platform, as well as synergies with their existing TCA Global Credit Master Fund, to make strategic and controlling investments in the $5 to $15 million range. The fund will be industry agnostic but Press says that they will be looking for companies in industries that have high barriers to entry and are likely to sell.

“There have been tremendous developments in small business financing for growth companies at the level of $1 million and below, but access declines greatly once the need for capital rises beyond that threshold,” Press adds. “We’re saying, what can we do to take these companies to the next level?"