M&A Advisors to Top Managed Service Providers

Overview

FOCUS’ Managed Service Provider (MSP) Team is one of the most active and successful in North America.

In 2020 alone, FOCUS closed MSP transactions with 22 parties including serving as advisor to 5 of the 10 MSP private equity platforms that were created in America as announced by Channel E2E.

FOCUS’ MSP Team executes on a customized strategy tailored to meet each client’s objectives. We work with equal ease on the sell-side and the buy-side, bringing deep industry expertise and years of transaction experience to every engagement.

Sell Side Services

Working closely with senior management, FOCUS positions its client in the market to highlight strengths and attract optimal valuations. FOCUS bankers will discreetly contact only selected qualified buyers in order to maximize price, improve terms, and quickly complete the M&A transaction.

  • We are the catalyst for preemptive offers between large strategic buyers and first generation private equity-backed MSP platforms (formed between 2014-2017)
  • We are a catalyst for private equity groups making their initial investments into Top 25 ranked founder-owned MSPs with $2 – $10 million in EBITDA
  • We help MSPs decide whether to accept an unsolicited offer, and when necessary introduce alternatives

Buy Side Services

  • We help strategic buyers and middle market private equity groups acquire first generation private equity-backed MSP platforms (formed between 2014-2017)
  • We help lower-middle market private equity groups make their first platform investment
  • We help MSP platforms find ‘off-market’ targets in the $1 – $20 million EBITDA range

Recently Publicly Announced Deals

The MSP Team

Photo: Abe Garver

Abe Garver

MSP Team Leader & Managing Director

(646) 620-6317

Photo: Evans Love

Evans Love

Principal

Testimonials

General Informatics Engaged FOCUS on the Sell-Side to Help it Become a PE-backed Platform

Photo: Mohit 'Mo' VijMohit ‘Mo’ Vij, Founder/CEO, General Informatics, a portfolio company of Rosewood Private Investments

I hired FOCUS’ MSP Team on May 28, 2020. In the first 24 hours after signing the engagement letter, Abe presented me with three (3) preemptive offers & introduced me via Teams to four (4) of the top MSP investors in the country.

Forty days later I signed an LOI with Rosewood Private Investments (RPI) and we closed the transaction on October 28. We plan to work with FOCUS in 2021 to find bolt-on opportunities for the Platform.

I recommend FOCUS’ MSP Team and will serve as a reference.

ICS Engaged FOCUS on the Sell-Side to Help it Become a PE-backed Platform

Photo: Kevin BlakeKevin Blake, Founder/President, ICS, a portfolio company of ClearLight Partners, LLC

FOCUS’ MSP team has been extremely helpful in assisting us to our M&A growth goals.

Abe has really made an investment to understand our industry and assist either from the buy or sell side with all aspects of a transaction.

I highly recommend working with FOCUS.

Dataprise Engaged FOCUS on the Buy-Side to Find Proprietary Bolt-on Opportunities

Photo: Chris SousaChris Sousa, Chief Financial Officer, Dataprise, a portfolio company of Trinity Hunt Partners

We hired FOCUS’ MSP Team in March of 2020. Over the next eight (8) months FOCUS shared 58 target profiles with us, we signed 23 NDAs, submitted three (3) IOIs, issued two (2) LOIs, and went into exclusivity with our top pick.

FOCUS’ MSP Team has been a key part of our M&A strategy in 2020. Abe’s knowledge of the industry and ability to think outside the box to solve problems is second to none.

I recommend FOCUS’ MSP Team, and will serve as a reference.

Engaged FOCUS on the Sell-Side

CONFIDENTIALName available when transaction is announced: Founder/CEO

I could not have chosen a better partner than Abe and his team at FOCUS Investment Banking.

In all my years in business I have never experienced this uniquely powerful combination of customer centric focus, deep industry and financial knowledge, availability, integrity, likeability, and selflessness.

With them negotiating the deal I was able to get a price almost 50% higher than I thought likely, and with a buyer who is a great cultural fit.

AKUITY Engaged FOCUS on the Sell-Side

Photo: Steven CariglioSteven Cariglio, CEO, Akuity Technologies, a portfolio company of ClearLight Partners, LLC

I received three (3) unsolicited letters of intent to acquire my company in Q3 of 2020, and after 32 years in the business was at a crossroads on whether it was the right time to sell. During this period I developed a relationship with Abe and the team at FOCUS.

When their buy side client stepped away, FOCUS’ MSP Team immediately shared eight (8) bolt-on and nine (9) merger-of-equal ideas with me. They then asked for an opportunity to introduce me to their top pick, which they believed was a perfect cultural and financial fit, and I agreed. Within seven days of meeting FOCUS’ top pick, I hired FOCUS to represent me, and signed a letter of intent with the acquirer. With guidance and counsel from FOCUS we closed the transaction in just over three (3) months.

FOCUS’ MSP Team was sensitive to my history with the company and did a great deal to educate me on the acquisition process. I am very impressed with their knowledge, transparency and connections in the MSP marketplace. I recommend FOCUS’ MSP Team, and will serve as a reference.

Testimonials

General Informatics Engaged FOCUS on the Sell-Side to Help it Become a PE-backed Platform

Photo: Mohit 'Mo' Vij

Mohit ‘Mo’ Vij, Founder/CEO, General Informatics, a portfolio company of Rosewood Private Investments

I hired FOCUS’ MSP Team on May 28, 2020. In the first 24 hours after signing the engagement letter, Abe presented me with three (3) preemptive offers & introduced me via Teams to four (4) of the top MSP investors in the country.

Forty days later I signed an LOI with Rosewood Private Investments (RPI) and we closed the transaction on October 28. We plan to work with FOCUS in 2021 to find bolt-on opportunities for the Platform.

I recommend FOCUS’ MSP Team and will serve as a reference.

ICS Engaged FOCUS on the Sell-Side to Help it Become a PE-backed Platform

Photo: Kevin Blake

Kevin Blake, Founder/President, ICS, a portfolio company of ClearLight Partners, LLC

FOCUS’ MSP team has been extremely helpful in assisting us to our M&A growth goals.

Abe has really made an investment to understand our industry and assist either from the buy or sell side with all aspects of a transaction.

I highly recommend working with FOCUS.

Dataprise Engaged FOCUS on the Buy-Side to Find Proprietary Bolt-on Opportunities

Photo: Chris Sousa

Chris Sousa, Chief Financial Officer, Dataprise, a portfolio company of Trinity Hunt Partners

We hired FOCUS’ MSP Team in March of 2020. Over the next eight (8) months FOCUS shared 58 target profiles with us, we signed 23 NDAs, submitted three (3) IOIs, issued two (2) LOIs, and went into exclusivity with our top pick.

FOCUS’ MSP Team has been a key part of our M&A strategy in 2020. Abe’s knowledge of the industry and ability to think outside the box to solve problems is second to none.

I recommend FOCUS’ MSP Team, and will serve as a reference.

Engaged FOCUS on the Sell-Side

CONFIDENTIAL

Name available when transaction is announced: Founder/CEO

I could not have chosen a better partner than Abe and his team at FOCUS Investment Banking.

In all my years in business I have never experienced this uniquely powerful combination of customer centric focus, deep industry and financial knowledge, availability, integrity, likeability, and selflessness.

With them negotiating the deal I was able to get a price almost 50% higher than I thought likely, and with a buyer who is a great cultural fit.

AKUITY Engaged FOCUS on the Sell-Side

Photo: Steven Cariglio

Steven Cariglio, CEO, Akuity Technologies, a portfolio company of ClearLight Partners, LLC

I received three (3) unsolicited letters of intent to acquire my company in Q3 of 2020, and after 32 years in the business was at a crossroads on whether it was the right time to sell. During this period I developed a relationship with Abe and the team at FOCUS.

When their buy side client stepped away, FOCUS’ MSP Team immediately shared eight (8) bolt-on and nine (9) merger-of-equal ideas with me. They then asked for an opportunity to introduce me to their top pick, which they believed was a perfect cultural and financial fit, and I agreed. Within seven days of meeting FOCUS’ top pick, I hired FOCUS to represent me, and signed a letter of intent with the acquirer. With guidance and counsel from FOCUS we closed the transaction in just over three (3) months.

FOCUS’ MSP Team was sensitive to my history with the company and did a great deal to educate me on the acquisition process. I am very impressed with their knowledge, transparency and connections in the MSP marketplace. I recommend FOCUS’ MSP Team, and will serve as a reference.

Thought Leadership & Publications

Graphic: Managed Service Providers 1Managed Service Providers: Part 1

M&A Opportunities for Managed Service Providers

Small and medium-sized businesses (SMBs) have historically relied on in-house IT support, but there is an emerging trend of these companies outsourcing their IT functions to Managed Service Providers, or MSPs. The MSP sector is large, highly profitable and growing rapidly, with the market expected to reach more than $300 billion in five years.

Managed Service Providers: Part 2

Strategic M&A Initiatives & Trends for MSPs

While the MSP sector is large, highly profitable and growing rapidly, it’s also highly fragmented, with more than 20,000 companies in North America offering a wide variety of IT services. That creates M&A opportunities for MSPs looking to expand their menu of services, increase market share and diversify revenue streams.