From Angel To Exit

Lee Minkoff, Managing Director,  Renovus Capital Partners In this episode of From Angel to Exit, host Bruce Eckfeldt speaks with Lee Minkoff, Managing Director at Renovus Capital Partners, about how private equity buyers approach founder-led, service-based companies in the lower middle market. With a focus on businesses under $10M in EBITDA, Lee shares how Renovus uses a sector-focused strategy to transform these often-overlooked firms into premium platform companies. Lee outlines Renovus’s “RCP playbook,” which emphasizes thematic investing across knowledge and talent industries: education, healthcare, IT, and professional services. Rather than relying on arbitrary platform definitions, they invest behind a thesis, starting small and building scalable companies that are attractive to up market buyers. Many of their most successful add-ons have outgrown the original acquisition, highlighting their agility and commitment to compounding value. The conversation dives into deal sourcing (mix of proprietary and brokered), the importance of founder alignment, and why relationship fit matters as much as price. Lee also explains why some founders struggle post-transaction—often due to a mismatch between expectations and post-sale roles—and how Renovus evaluates intangible metrics like delivery capacity, value per head, and team utilization in service-based models. Founder-CEOs considering an exit will benefit from Lee’s candid insights on valuation expectations, how to avoid common prep mistakes, and the importance of getting mentally and operationally ready for sale. This episode is a rare glimpse into the mind of the buyer—and a blueprint for those hoping to be bought. Key Takeaways Founder-led firms often overestimate EBITDA value by ignoring missing infrastructure costs Renovus focuses on investing in theses, and not the perfect first platform company – prioritizing industry tailwinds The best time to sell is when both growth and transformation potential align Fit and transparency are crucial: founders must envision working with buyers post-close Lower-market deals require strategic hands-on support, not heavy operational control Relationships drive deal flow: most deals emerge from vertical-specific networking Founders often underestimate the post-sale emotional impact and role transition Having a clear five-year vision pre-close improves execution and alignment post-close Timestamps: 00:00 – Introduction to Private Equity and Lee Minkoff's Background 02:50 – Understanding Renovus Capital's Investment Strategy 05:24 – Identifying Ideal Investment Opportunities 08:19 – The Process of Sourcing Deals 11:00 – Evaluating Potential Investments 13:48 – Navigating the Sale Process for Founders 16:24 – Differentiating in a Competitive Market 19:17 – Market Trends and Future Outlook 22:17 – Conclusion and Key Takeaways   Links & Resources Lee Minkoff Email: lee.minkoff@renovuscapital.com Website: renovuscapital.com LinkedIn: Renovus Capital Subscribe to the Podcast: Find From Angel to Exit on Apple Podcasts, Spotify, Google Podcasts, or wherever you listen. Be sure to hit “Subscribe” so you never miss an episode. Newsletter & Exclusive Content: Sign up for the free newsletter at eckfeldt.com/podcast for episode transcripts, bonus insights, frameworks, and community updates. Connect with Bruce & the Community: LinkedIn: Bruce Eckfeldt Instagram: @bruce_eckfeldt Email: podcast@eckfeldt.com bruce@eckfeldt.com