INVESTMENT FOCUS

ZeroPaper's business model is focused on acquiring established and profitable records management companies in the UK. We expect to partner with management post-investment to manage the day-to-day operations of the business.

ZeroPaper seeks acquisition candidates that satisfy most of the following criteria:

COMPANY-SPECIFIC CRITERIA

• three or more years of profitable operations
• significant recurring revenue streams from a diverse customer base
• outstanding reputation with customers
• market leadership and strong potential for organic growth and/or industry consolidation
• defensible market position and/or competitive advantage

FINANCIAL CRITERIA

• revenues up to £50 million
• stable and predictable cash flows of £0.5 million to £10 million
• low capital expenditure requirements

TARGET MARKETS CRITERIA

• records management services, physical and electronic archiving, scanning, indexing, destruction, workflow, business process outsourcing (BPO) etc
• relatively mature but growing industries
• significant barriers to entry
• products providing significant value to customers

MANAGEMENT TEAM CRITERIA

• motivated sellers, including retiring owners, family businesses and corporations seeking to divest non-core assets
• owners willing to participate during transition period
• experienced and highly motivated middle management planning to remain with the company

GEOGRAPHY

• generally we focus on companies based in the UK; however, we will consider situations in Europe