Private Equity Firm Sydney

The private equity firm Sydney businesses can trust to realise real-world growth potential.

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Leading investment partner for software, brands, and enduring businesses with large growth plans.

Teoh Capital is Sydney’s leading investment partner for businesses that are looking to scale. Specialising in investments across technology, software, and enduring businesses, Teoh Capital also provide private equity partnerships for companies that have long-standing brands or family-owned operations. With a multi-decade track record of success, Teoh Capital are passionate about transforming Sydney businesses and their respective industries.

Family based private investment without layers of red tape

At the foundation of our success is our experience, and the long-standing partnerships that we have facilitated with Sydney businesses.

First established by David Teoh, the founder responsible for Australia’s telecommunications giant TPG, Teoh Capital is now committed to partnering with Sydney businesses that have large growth ambitions. It’s our technological expertise that drives value and facilitates integral growth within businesses that we partner with. The best bit? This growth can occur without the stress, limitations, and bureaucracy of traditional corporate models.

Teoh Capital are the private equity firm Sydney businesses can turn to for growth through continuity, confidence, and experience.

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Why choose Teoh Capital as your private equity partner?

Our technological expertise drives value and facilitates integral growth without the stress, limitations, and bureaucracy of corporate models.
We’re flexible. Capital out, capital in, majority and minority investments, solutions that are suited and can be customised to a wide range of transactions.
Teoh Capital is a family-run business with decades of experience. We offer assurance, confidence, stability, and consistency.
What you see is what you get. We’re accountable only to ourselves. The team making the investment and decisions today are the same people you’ll work with for years to come.
More certainty & transparency of funding. Given our history, structure, and funding base, we can offer more confidence than any other private equity firm Sydney.

Does your Sydney business meet these requirements?

Revenues of $1m+

SME and/or enterprise customers

At least cash flow break-even

Great product + strong unit economics

Do you have an investment opportunity?
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Frequently Asked Questions

How do day-to-day operations work with Teoh Capital invested?

Before partnering with Teoh Capital, we’ll begin with a highly personalised acquaintance and consultation protocol so that we can come together to determine whether or not the partnership is going to be a good fit. During this consultation, we’ll generally discuss and work out how much support your business will require with operations and how we can best facilitate a successful environment.

As a private equity firm Sydney businesses can rely on for transparency, we’re completely upfront and flexible in the way that our private funding may support your business. That means that we can work together to determine how little or how much our team may influence your general operations.

Generally speaking, we will choose to partner with companies that have a strong leadership, or large growth ambitions. Whatever your current leadership structure or operations, we want to help your business by meeting on your terms to ensure we can continue to support what you do best.

Why would a business look to be acquired or funded?

There are many different reasons for a business to seek private funding from a private equity firm in Sydney like Teoh Capital. For many, acquisition is a viable way to scale the business, adopt new leadership, or simply secure finance to continue growing.

Generally, a business may be looking for opportunities to be acquired or raise capital from private investors as they do not have the resources, network, funding to grow to their full potential alone.

Another common reason for businesses seeking this kind of support is that the company itself may lack a leadership team who have the experience, knowledge, resources, and skills to guide the company in the right direction as it grows.

This is where a private equity firm in Melbourne like Teoh Capital step in – we can provide the necessary funding and operational support to take your business to the next level.

What are the types of businesses that Teoh Capital invest in?

We provide private funding to a wide range of Sydney businesses that operate in the tech and Saas space. However, we also work with long-standing brands with large growth ambitions. Here’s a list of the kinds of businesses that we typically work with:

• Transport & logistics
• Health & community
• Fintech
• Construction, Proptech & Asset maintenance
• Retail & hospitality
• Manufacturing & agriculture
• Education
• Sales & marketing
• Security, networking & telco
• Business processes & project management
• Government, risk & compliance
• Blockchain, Crypto & NFT

We also invest in long-standing family owned brands and consumer focused businesses with EBITDA of at least $5 million.

What are your investment criteria?

We look to invest in industry-specific software and technology companies that have annual revenue of $2m – $50m, and are profitable (at least cash flow break-even). We also invest and partner with long-standing enduring companies in Sydney that tick the following boxes:

• Revenues >$10 million
• EBITDA $5-50 million (prefer $10m+)
• Long-standing business (>10 years)
• Recognised/ sector leading brand or mode of distribution (preferred)
• Often family owned businesses
• Transaction EV $20-250 million

How we support our Sydney partners

Our private equity team have a multi-decade track record of success in operating and growing Sydney and Australian businesses. Here’s how it works:

1. Flexible, permanent capital
2. Efficient, agile decision making
3. Direct access to our founding family and experienced talent

How does private equity work?

Private equity funds (PEFs) are investment vehicles that enable companies to invest in businesses or assets. The primary goal of private equity investment is to purchase existing, profitable business entities or acquire a large stake with the intention of increasing their value over a period of time.

Sydney Private equity firms like Teoh Capital add value to businesses by improving business operations and financial performance. Private equity firms have an active role in managing the company and providing access to talent, resources, and IP protected processes that facilitate expedited growth opportunities.

Private equity firms will typically have a pre-defined timeline for investing in and exiting their portfolio companies – this is referred to as a “holding period”. The timeline for this period will depend on the stage of growth that a company is at and the growth plan that has been laid out by investors. During the holding period, private equity firms will seek to increase the value of the company by investing in new assets, pursuing mergers and acquisitions, increasing operational efficiency, or expanding into new markets.

How is private equity different to venture capital?

Private Equity and Venture Capital investing are two different types of investing. Often, these terms are (incorrectly) used interchangeably to describe equity investment into a company. While there are some similarities, there are some important differences that set them apart that are worth noting.

To begin, there is a difference in the level of risk involved in private equity and venture capital investments. In general, venture capital is a high-risk investment in a young, cash-flow-negative company that is in the early stages of development and growth. Conversely, private equity investment (the type that we do here at Teoh Capital) is an investment into established companies with a proven track record of sales and profitability.

Private Equity investment profile

• Investment in an established, cash-flow positive company
• A large or majority stake is acquired in the business
• Focus on operational efficiency and improved profitability

Venture Capital investment profile

• High risk investment in a young, emerging company
• Companies are typically not profitable and require capital to operate
• Usually focussed on start-ups and young companies
• VC profitability models are geared towards IPO or merger/acquisition

Is my company the right fit for private equity investment?

At Teoh Capital, we assess each company on a case-by-case basis to determine whether they are the right fit for private equity funding. We do not have a checkbox criteria, however, there are a number of things that you should review to make an initial assessment.

For private equity investment, our team will assess important factors such as company stability, value proposition, and a proven track record of success. Financial metrics including profitability, cash flow, debt levels, and liquidity ratios are carefully examined to determine if a company is in a strong enough position to benefit from private equity investment.

Based on the outcome of an initial financial assessment, our team will consider your company’s competitive advantage and long-term potential. Your unique value proposition will be carefully assessed to gauge growth prospects and to understand how your product or business offering stacks up against your competitors.