Canal Partners Investment Criteria

Canal Partners is a Venture Capital firm that provides professional investor services and capital to B2B Software and Internet Technology companies that have market-proven products & services. Canal Partners is looking to create and increase value for highly scalable, revenue-generating, growth-oriented companies that are seeking an investment commitment of $1 to $3 million.

To be considered for investment, companies should meet the following criteria:

  • A minimum of $500k in trailing 12-month revenue (typical portfolio companies are over $1M at time of investment).
  • Companies should own 100% of their Software-as-a-Service code or Internet Technology product.
  • The company’s product is being sold to commercial (business-to-business) customers.
  • Customers use the product on a daily basis.
  • Demonstrable and consistent quarter-over-quarter sales increases.
  • Enterprise Value (“Valuation”) under $10 million.
  • Headquartered in the Southwestern, Southern CA, Northwestern, Southeast, or Midwest regions of the United States.
  • Zero or limited-debt.
  • Operating at or near break-even cash flow.
  • A desire to professionalize Board of Directors.
  • A Management Team that is willing to work with Canal Partners to maximize sales growth and shareholder value.