PMC’s objective is to realize superior returns through the long term appreciation of investments. Funds managed by PMC invest in small growth companies, a niche which is under served in the Great Lakes region, particularly in Michigan. We generally invest in revenue producing companies with the potential for significant growth through a defined, catalytic event or milestone whose achievement will be financed, at least in part, by PMC managed funds. It is critical that the companies have validated the functionality of their product or service.

PMC managed funds investments are guided by the following criteria:

                1. A strong management team

                2. An established revenue stream;

                3. Positive cash flow in the near future; and,

                4. A clear catalyst for growth that requires funding.

PMC takes a hand-on approach to managing its relationship with the companies in which its funds invest, starting at due diligence, through closing to monitoring the investment. This includes having investor involvement in the company via board seat or board observer roles, and bringing in necessary expertise from the investor pool as issues or opportunities arise. This model has allowed for PMC managed funds to provide superior returns.

PMC managed funds typically commit investments of $500,000 to $2.0 million in each portfolio company. The investment structure will be tailored to each investee. Investments will typically take the form of preferred equity or subordinated debt, or a combination of the two. Initial entry by the funds may be in debt form to provide maximum downside protection and liquidity while preserving optimum entrepreneurial incentives. PMC managed funds provide follow-on financing as appropriate. In many situations, companion bank financing is arranged or facilitated. PMC also syndicates investments with regional investors and limited partners when a larger financing is needed. PMC’s managers have been strong proponents of co-investing with other like minded firms to raise larger rounds of capital, balance risk, and ensure that various perspectives are considered during due diligence and post investment. It is the expectation of PMC that the funds’ financing will allow investee management to develop sufficient value to support a liquidity event within two to five years of initial investment.