Tunisian American Search Fund (TASF)
TAEF’s search fund model of entrepreneurship through acquisition addresses two problems:
- SME entrepreneurs that face limited options when they wish to exit a company they have grown and managed and
- Talented business people seeking opportunities to manage and grow businesses.
A search fund solves a problem of a family owned and managed business by offering an exit that provides liquidity and company leadership succession. The search fund also matches a talented entrepreneur to a business with growth potential that would benefit from new management.
For our first search fund, TASF (Tunisian American Search Fund), TAEF partnered with a talented, experienced manager to adapt this investment model to the Tunisian context.
Originally American, the search fund model consists of sponsoring a searcher during his/her search for a company to acquire and manage as CEO. The search fund model aligns the motivations and interests of the entrepreneurs, the SME owners and the investors.
- Experienced managers receive financial and non-financial support throughout a search for a company to acquire.
- Sponsors and owners of family-owned businesses are able to resolve exit, succession and continuity concerns for their companies.
- Investors have access to growth opportunities through backing entrepreneur searchers and equity investment in strong growth companies in the acquisition phase.