In this Episode About Private Equity and You (for CEOs)
- Private Equity Insights: Adam Coffey shares his extensive experience in private equity, focusing on acquisitions, exits, and how private equity firms generate returns through strategies like arbitrage and balanced growth.
- CEO Perspective: Coffey discusses the journey from corporate leadership at GE to becoming a CEO under private equity ownership, highlighting the financial dynamics and decision-making processes involved.
- Wealth Creation: Coffey advises entrepreneurs to view selling their company to private equity as a step in their wealth creation journey, not the end, emphasizing the ongoing growth and value creation post-sale opportunities.
Here is a Glimpse of Private Equity and You (for CEOs)
In this episode of The Lazy CEO Podcast, host Jim Schleckser interviews Adam Coffey, a seasoned CEO, board member, best-selling author, and speaker with extensive private equity experience, particularly in exits and ownership. Coffey, who has led the acquisition of 58 companies and generated over $2.5 billion in exits, shares insights from his career, which includes building three national companies under nine different private equity sponsors.
The conversation delves into the workings of private equity from a CEO’s perspective, explaining how private equity firms operate, including their typical 10-year fund life, the 2% management fee, and the 20% profit share. Coffey explains the concept of arbitrage, where small companies are acquired at lower multiples and later sold as part of larger entities at higher multiples, generating significant returns.
Resources mentioned in this episode:
- Adam Coffey on LinkedIn
- Jim Schleckser on LinkedIn
- The CEO Project
- Great Ceos Are Lazy: How Exceptional Ceos Do More in Less Time by Jim Schleckser
Sponsor for this episode…
This episode is brought to you by The CEO Project. The CEO Project is a business advisory group that brings high-caliber, accomplished CEOs together. Our team of skilled advisors comprises current and former CEOs who have run both public and private sector companies across multiple industries. With our experience and expertise, we guide hundreds of high-performing CEOs through a disciplined approach that resolves constraints and improves critical decisions. The CEO Project has helped high-performing, large enterprise CEOs with annual revenues ranging from $20M to over $2 billion to drive growth and achieve optimal outcomes. If you are an experienced CEO looking to grow your company, visit www.theCEOProject.com.