HOW KOMPASS KAPITAL SECURED A CHIEF OPERATING OFFICER FOR THEIR PORTFOLIO COMPANY, FOUNDERS HOME SERVICE GROUP IN THE US

October 2, 2024

At A Glance

The new COO will be joining the team based out of the US

THE PRIVATE EQUITY FIRM

Kompass Kapital is a private equity firm that focuses on diversified investments across various industries. Their core values emphasize trust, ethical business practices, and a commitment to evolving and improving over time. They adopt the Entrepreneurial Operating System (EOS) to align teams with clear vision, accountability, and healthy leadership. Since their founding, they’ve grown through both passive and active investments, expanding into global markets, and focusing on sustainable growth in sectors like healthcare, technology, logistics, and real estate.

THE PORTFOLIO COMPANY 

Founders Home Service Group (FoundersHSG) is a platform that invests in and acquires businesses within the home services sector, specifically focusing on plumbing, HVAC, and electrical services. Their goal is to support and scale businesses in these fields through strategic investments and acquisitions, helping them grow and expand while maintaining high-quality service standards in the industry. They focus on creating value by leveraging synergies within their portfolio to drive operational excellence and sustainable growth across the companies they acquire.

WHAT WERE THE PARTICULAR REQUIREMENTS OF THE SEARCH? 

Onboarding a seasoned PE-experienced COO in HVAC Residential Services, adept in M&A integration and driving EBITDA and Revenue growth. The successful candidate was to excel in absorbing acquired entity brands while maintaining buy-in from founders and staff, and setting the platform’s overall direction.

WHAT CHALLENGES WAS THE CLIENT FACING? 

The need arose for a sitting COO due to an aggressive M&A strategy in the roll-up portfolio platform. An operations executive was handling both portco and PE partner roles. The new COO was to drive growth through M&A integration, potentially transitioning to CEO as the platform scales, with an eye on future exits. Finding an experienced PE operator aligned with the board’s vision proved challenging, necessitating someone who can synthesize the investment thesis with modern top-down leadership.

WAS THERE ANYTHING THAT MADE THE SEARCH CHALLENGING? 

The search was challenging due to experience requirements, location requirements, but also finding a subject matter expert executive who had a track record of PE-backed M&A integration success.

HOW DID YOU OVERCOME THESE CHALLENGES? 

Targeted Residential HVAC Services PE Market mapping; extensive interviewing of talent; liaison with client to refine their initial talent spec so that it could reflect what market conditions were demonstrating throughout this particular search mandate.

WITH RAW SELECTION'S 17 STEPS TO FILL A SEARCH, WHAT PARTICULAR STEP FOUND THIS CANDIDATE?

  • Raw Selection Boolean
  • PE Competitor Search
  • Raw Selection Internal Network

WAS THERE A TIME YOU WENT ABOVE AND BEYOND TO SECURE THE CANDIDATE? 

The Client lead for the search (Mo Vali) liaised with the candidate throughout the entirety of the recruitment cycle process. Providing client feedback, aligning all parties’ expectations .

WOULD YOU CLASS THIS SEARCH AS SUCCESSFUL? 

Upon onboarding, the client now has a leader capable of overseeing M&A integration while shaping the strategic vision of the roll-up HVAC services platform. This marks a successful search.

HOW HAVE WE HELPED THE CLIENT SINCE?

The client retains the services of Raw Selection as it’s primary partner for PE backed C-Level appointments.

THOUGHTS ON THE CANDIDATE 

"That Talent is an exception PE experienced HVAC services who has historic replicated success with M&A integration."

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