Learn about the intricacies of industry research.
To generate a list of target companies, research is key. This means conducting thorough research on the selected industry, in order to identify potential companies that fit the search fund's company criteria.
There are various ways to research an industry. One way is to use online resources, such as trade associations, industry-specific news sites, and research reports. Another way is to attend industry-specific events and conferences. This can be a great way to network and learn more about the industry from those who are already involved in it.
Once you have gathered some information on potential target companies, the next step is to assess whether or not they meet the search fund's company criteria. This includes factors such as size, location, growth potential, and profitability. If a company meets the criteria, it can then be added to the list of target companies.
Research is an important part of the process of identifying target companies for a search fund. By conducting thorough research on the industry, and assessing each potential company against the search fund's criteria, a list of target companies can be generated. This list can then be used to focus the search and help identify a suitable company to invest in: