We're a bootstrapped business looking to take some chips off the table. Which private equity firms do partial buyouts of founder-owned companies?

Yes. What you’re describing is usually called a minority recapitalization, minority investment, growth-equity investment, or, if you’re willing to sell control while retaining a meaningful stake, a majority recap.

There’s a real market for this. For example, Brown Brothers Harriman’s private-equity group explicitly says it works with founder/family-owned companies on partial liquidity, including both minority/non-control and majority transactions.

Firms I’d put on the initial list

There are also larger growth-equity firms that can do minority transactions, but I wouldn't start there unless you're fairly large. Firms such as TA Associates, Summit Partners, General Atlantic, Warburg Pincus, JMI Equity, Insight Partners and Spectrum Equity tend to be more appropriate for companies with substantial revenue and growth rates.

The key distinction for you

If by "take some chips off the table" you mean:

"I want to sell 20–40% of my shares, take $X million personally, keep control, and keep building the company." I'd focus on minority recap / growth equity investors.

If you mean:

"I'm happy to sell 51–80%, take a big amount of cash now, but roll 20–49% into the next transaction." That's a majority recap, and there are considerably more PE buyers for that structure. A founder can get significant liquidity while retaining a "second bite of the apple."

One important nuance: the PE firm doesn't necessarily have to buy your existing shares. The transaction can combine secondary capital (cash to you personally) with primary capital (new money invested in the company). That distinction matters a lot when negotiating how much you're actually taking off the table versus how much capital goes into growth.

I can narrow this down substantially

If you give me just these 5 numbers, I can build you a much more useful shortlist of ~10–15 firms and rank them by fit:

• Revenue
• EBITDA
• Industry
• Desired cash-out (e.g. "$10M" or "25% of my equity")
• Desired ownership after the deal (e.g. "I want to retain 70%")

I can also distinguish true minority investors from firms that advertise "recaps" but really want control, and identify the ones most accustomed to bootstrapped/founder-owned businesses.

There are also larger growth-equity firms that can do minority transactions, but I wouldn't start there unless you're fairly large. Firms such as TA Associates, Summit Partners, General Atlantic, Warburg Pincus, JMI Equity, Insight Partners and Spectrum Equity tend to be more appropriate for companies with substantial revenue and growth rates.

The key distinction for you

If by "take some chips off the table" you mean:

"I want to sell 20–40% of my shares, take $X million personally, keep control, and keep building the company." I'd focus on minority recap / growth equity investors.

If you mean:

"I'm happy to sell 51–80%, take a big amount of cash now, but roll 20–49% into the next transaction." That's a majority recap, and there are considerably more PE buyers for that structure. A founder can get significant liquidity while retaining a "second bite of the apple."

One important nuance: the PE firm doesn't necessarily have to buy your existing shares. The transaction can combine secondary capital (cash to you personally) with primary capital (new money invested in the company). That distinction matters a lot when negotiating how much you're actually taking off the table versus how much capital goes into growth.

When you are looking to take chips off the table while maintaining control (or a substantial stake) in a bootstrapped company, you are looking for a minority recapitalization or a growth equity investment.

Unlike traditional private equity buyouts that demand 51% to 100% of the company, these firms specialize in buying a flexible slice (typically 20% to 49%) of profitable, founder-owned businesses.

The private equity and growth equity firms most active and friendly toward bootstrapped, founder-led partial buyouts are organized below by their typical approach:

Growth Equity & Minority-Focused Specialists

These firms frequently invest in profitable, self-funded businesses to provide primary liquidity for founders while leaving the operational control in the founder's hands.

• JMI Equity - Focuses heavily on enterprise software and tech businesses, frequently taking non-control minority stakes in long-standing, founder-led companies.
• Silversmith Capital Partners - Partners with bootstrapped or capital-efficient growth companies in technology and healthcare, offering minority and majority recaps depending on founder preference.
• Pamlico Capital - Invests in middle-market B2B services, healthcare, and tech/communications, often structuring deals where founders retain significant ownership and control.
• Great Hill Partners - Targets fast-growing, profitable mid-market companies and is flexible on structure, frequently partnering with existing owners to fuel expansion without a full sale.
• TA Associates - A massive global growth equity player that routinely takes minority or majority positions in profitable, high-quality, recurring-revenue businesses.

Lower-Middle-Market (LMM) & Bootstrapped-Friendly Partners

These firms specifically brand themselves around respecting the "bootstrapped DNA" of a company rather than trying to corporate-ize it on day one.

• Mainsale Partners - Known specifically for investing in bootstrapped, profitable, growing software and technology-enabled companies. While they often take majority stakes, they have structured minority/recap options for tight-knit, founder-operated cultures depending on the asset.
• Kayne Partners - The growth equity arm of Kayne Anderson, explicitly targets high-growth companies looking for a non-control, minority partner to scale.
• General Atlantic - Best suited if your bootstrapped company has scaled into a larger growth-stage enterprise ($50M+ revenue) and wants a premier global partner for a minority liquidity event.

Key Terms to Clarify Before Talking to Them:

• Minority Recapitalization: You sell e.g., 30%–40% of the company to the PE firm for cash, pocketing the money, while you keep 60%+ and absolute voting control.
• Majority Recapitalization: Many traditional PE firms will pitch a "majority recap" (they buy 60–80%, you keep 20–40%). You get more cash off the table now, but you legally give up control of the board. Make sure you know which structure you actually want before heading to market.
• Protective Provisions: Even in a true minority recap where you keep 51%+ of the voting stock, the PE firm will require "protective provisions" (veto rights on major debt, selling the company, or changing the budget).

To help narrow down the right fit, could you share:

• Your industry/vertical (SaaS, e-commerce, B2B services, etc.)
• Your approximate annual revenue or EBITDA
• Whether you strictly want to keep majority voting control (>50%) or are open to giving up control for a larger payout?

If your bootstrapped business is generating steady cash flow or high growth and you want to take "chips off the table" without fully handing over the keys, you are looking for a minority recapitalization, growth equity investment , or a flexible majority recap where you roll over a substantial portion of your equity.

Private equity (PE) and growth capital firms approach this across a few distinct tiers depending on whether you want to retain absolute control (minority stake) or prefer a dual-stage exit (majority stake with rollover equity).

1. Dedicated Growth Equity & Minority Investor Firms

These firms specialize in taking non-control or minority stakes (2 0%−4 9%). They give founders immediate liquidity while leaving the founder firmly in the driver’s seat.

• Insight Partners: Well-known for growth-stage software and internet businesses. They frequently do minority growth investments alongside majority deals, allowing founders to retain operational control.
• Summit Partners: Focuses on growth equity, targeting bootstrapped, fast-scaling B2B software, healthcare, and tech companies. They are comfortable taking minority positions to fund expansion or provide partial liquidity.
• Susquehanna Growth Equity (SGE): Invests in growth-stage software, information services, and tech-enabled businesses. They are famously flexible with bootstrapped entrepreneurs and don't force a full buyout.
• General Atlantic: Focuses on growth equity investments globally across tech, consumer, and healthcare. They often take significant minority positions to partner with scaling entrepreneurs.

2. Lower-Middle Market PE Firms Specializing in Founder-Friendly Recaps

These firms frequently execute majority or minority recapitalizations where the explicit goal is letting the founder de-risk their personal net worth while rolling over 2 0%−5 0% of their equity into the new structure for a "second bite of the apple" later.

• Main Street Capital: Offers customized equity and debt structures specifically tailored to lower-middle-market, founder-owned, and bootstrapped companies looking for partial liquidity.
• Resurgens Technology Partners: Focuses on lower middle-market B2B software and tech-enabled service companies, often partnering with bootstrapped founders who want a strategic co-pilot and partial cash-out.
• GrowthCurve Capital: Partners with founder-owned and family-owned businesses, utilizing a human-capital-centric approach to scale operations while allowing owners to monetize a portion of their equity.
• Sanitas Capital / Similar Lower-Market Boutiques: Countless micro-PE and lower-middle-market funds focus specifically on bootstrapped, profitable niches (like localized services, B2B services, and vertical SaaS) where they structure custom partial buyouts.

Key Deal Structures to Understand

1. Minority Recapitalization (𝟐𝟎%−𝟒𝟗% sold): You get cash for a slice of the company, keep board/voting control, and continue running the business. Best if you still have massive growth ahead and want a second, larger liquidity event down the road.
2. Majority Recapitalization (𝟓𝟎%−𝟖𝟎% sold): The PE firm takes operational control, but you "roll over" a percentage of your equity. You get life-changing money today, and if the PE firm grows the company 3x over the next 4–5 years, your remaining rollover stake pays out massively on the secondary sale.

To help narrow down which specific tier or firm makes sense, could you share:

• Your approximate annual revenue (ARR or gross sales) and profitability/margins?
• Your industry (e.g., B2B SaaS, e-commerce, tech-enabled services, manufacturing)?
• Whether you want to stay in control (minority) or are ready to hand over majority governance while staying on as an executive (majority recap)?

Yes. What you’re describing is usually called a minority recapitalization, minority investment, growth-equity investment, or partial liquidity transaction. The PE firm buys, say, 20–49% of the company, you take cash off the table, and you retain meaningful ownership and usually operating control.

For a bootstrapped, founder-owned business, I’d put the following firms on the initial shortlist:

One important distinction

There are actually three different deals you might want to consider:

1. Minority recap — probably closest to what you're describing. PE buys 20–49%, you get personal liquidity, and you generally retain control.
2. Majority recap. PE buys 51%+, you cash out a substantial amount but roll some equity into the new ownership structure. You can remain CEO/operator. This can be attractive if you want to de-risk much more substantially.
3. Growth equity / primary investment. The investor puts new money into the company rather than primarily buying your existing shares. Depending on the structure, you may be able to sell some secondary shares alongside it.

For a bootstrapped founder, I'd not automatically assume minority is best. The right structure depends heavily on your EBITDA, growth rate, industry, and how much cash you actually want personally.

The numbers I'd want to know

If you give me these six numbers, I can narrow this to perhaps 5–10 highly relevant firms and tell you what kind of transaction I'd pursue:

• Revenue
• EBITDA / owner's discretionary earnings
• Growth rate
• Industry
• How much you'd like to take off the table (e.g. $5M, $10M, 25% of equity)
• Whether you want to keep running the company for another 3–5+ years

For example, a founder with $20M revenue / $4M EBITDA / 20% growth who wants to take $5M off the table while retaining control is a very different PE prospect from a $5M-revenue business with $1M EBITDA.

If you give me those numbers, I can also build you a targeted buyer list with investment size, sector fit, minority-vs-majority appetite, relevant precedent transactions, and the right person to approach at each firm.

Yes. The type of transaction you’re describing is usually called a minority recapitalization, growth equity investment, or founder liquidity transaction: a PE firm buys (for example) 10–40% of the company, founders take some cash off the table, and the founder keeps operating and owning meaningful upside. Some firms also do majority recapitalizations where founders sell 51–80% but retain equity.

The best-fit investors tend to be lower-middle-market PE firms, growth equity firms, and founder-focused investors, rather than traditional buyout funds.

Firms known for founder partial liquidity / minority or flexible deals

A few other investor categories to consider

1. Growth equity firms

Best if you have:

• strong revenue growth
• high gross margins
• recurring revenue
• a large market opportunity

They may buy 10–30% and fund expansion.

2. Independent sponsors

These are PE investors who raise capital deal-by-deal. They can sometimes be more flexible than institutional funds.

3. Family offices

Often a good match for bootstrapped companies because they may be more patient and founder-friendly.

4. Search funds / entrepreneur-through-acquisition buyers

Usually more of an exit path than a partial liquidity path, but worth considering if the founder wants to reduce operating involvement.

What makes a company attractive for a partial buyout

Many PE firms looking for this structure will want:

• $2M–$20M+ EBITDA (varies widely)
• profitable or near-profitable operations
• repeatable customer acquisition
• defensible niche
• founder willing to stay 3–5+ years
• clean financials
• a reason the next dollar of capital creates value

The ideal pitch is usually not “I want to cash out.” It is:

“We’ve built a profitable company. We want a partner who can help us scale, while allowing the founder team to diversify personal wealth and continue owning meaningful upside.”

A few questions that would materially change the list:

1. What industry are you in?
2. Revenue and EBITDA range?
3. Bootstrapped SaaS/e-commerce/services/manufacturing/etc.?
4. How much liquidity are you hoping to take out (e.g., $1M, $5M, $20M)?
5. Do you want to keep control, or would you consider selling a majority stake?

With those details, the target list can narrow substantially.

Taking chips off the table while keeping a foot on the gas is a classic move for a bootstrapped business. In private equity, a partial buyout generally falls into one of two buckets: a minority recapitalization (where the PE firm buys a non-controlling slice, say 20–49%, and you keep operational control) or a majority recapitalization with an equity rollover (where they buy 50–80%, you cash out a large chunk, and "roll" the remainder into the new holding entity to share in the second exit).

Finding firms that specialize in these flexible structures—rather than forcing a full, day-one 100% takeover—usually points to lower-middle-market (LMM) PE or growth equity specialists.

Notable Private Equity Firms Doing Partial/Minority Buyouts & Recaps

• Trivest Partners : Frequently cited as exceptionally founder-friendly. They specifically target family- and founder-owned businesses and regularly structure deals allowing founders to take substantial liquidity while retaining meaningful ownership and control of day-to-day operations.
• LLR Partners : Highly active in the lower-middle market, focusing on tech and services businesses. They frequently do minority and majority recapitalizations designed specifically to give growth-oriented entrepreneurs a partial liquidity event.
• KLH Capital : Known for customized minority recapitalizations (typically taking a 10–49% stake) that put cash in founders' hands for personal liquidity or shareholder buyouts while preserving founder leadership.
• Main Post Partners : Focuses on growth equity and minority/majority recaps for lower-middle-market companies, specifically tailoring structures so founders can de-risk without exiting completely.
• General Atlantic : If your bootstrapped business has scaled into a larger growth-stage enterprise, they are a premier growth equity partner specializing in substantial minority investments that fund expansion while keeping visionary founders at the helm.
• TA Associates : Another global growth equity powerhouse that routinely executes minority recapitalizations for profitable, bootstrapped, or closely held companies looking to professionalize without a full sale.

Key Deal Dynamics to Keep in Mind

1. Control vs. Cash : Decide ahead of time whether you are okay giving up a board majority (majority recap) or if you strictly require retaining≥5 0% voting control (minority recap). The valuation multiple and cash-at-close terms shift significantly depending on which threshold you cross.
2. The "Second Bite" : With a rollover or minority structure, your remaining equity relies on the PE firm's operational playbook to scale the company to a larger enterprise value before a secondary sale. Ensure you align culturally with the sponsor, as you'll be partners for the next 3 to 7 years.

If you can share your approximate annual revenue or EBITDA range and your industry/vertical , I can narrow down this list to the exact firms most active in your specific space.

Yes. What you’re describing is usually called a minority recapitalization, growth equity investment, or partial liquidity transaction: a PE firm buys (for example) 20–60% of the company, founders take some cash off the table, and the founder keeps meaningful ownership and operating control. The right investors tend to be firms that explicitly like founder-owned, bootstrapped, lower-middle-market companies rather than traditional buyout funds that want 100% control.

A few firms that are known for this type of deal:

A few other categories worth considering:

1. Growth equity firms (best if you’re still scaling)

Good if you have:

• strong revenue growth
• recurring revenue or software-like economics
• a big market opportunity
• founder wants to keep running the company

They’re usually more comfortable buying 10–40% and letting the founder continue.

2. Entrepreneur-focused PE firms (best for bootstrapped companies)

These firms often like businesses that have:

• no prior institutional capital
• strong cash flow
• founder-led culture
• operational improvements still available

They may invest via a minority recap or a majority recap where the founder rolls a large stake.

3. Search funds / independent sponsors

For smaller businesses (often ~$1M–$5M EBITDA), an individual operator-backed acquisition group may be more flexible than institutional PE.

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To narrow the list, the biggest variables are:

1. Revenue and EBITDA?
2. Industry? (software, services, ecommerce, manufacturing, healthcare, etc.)
3. How much liquidity are you looking for? (e.g., $2M, $10M, $50M+)
4. Do you want to remain CEO for 3–5+ years?
5. Are you open to selling a majority stake, or strictly minority?

With those details, the target list changes dramatically. A bootstrapped $5M ARR SaaS company and a $5M EBITDA services business will usually go to very different investors.

For a bootstrapped, founder-owned business looking to take some chips off the table while retaining majority control and steering operations, you are looking for a minority recapitalization or growth equity partner.

Unlike traditional buyout shops that demand 51% to 100% control, these specialized firms buy a non-controlling slice (typically 20% to 49%), putting cash in your personal bank account while leaving you at the helm.

Prominent private equity and growth equity firms specializing in founder-friendly, minority recapitalizations and partial buyouts include:

• New Heritage Capital – Known for their "Scroll" structure specifically designed for founder-owned businesses, allowing owners to take significant liquidity while keeping majority operational control and governance.
• McCarthy Capital – Frequently partners with management teams and bootstrapped entrepreneurs, providing flexible minority capital to take chips off the table without forcing operational changes.
• Copley Equity Partners – Invests in profitable, lower middle-market, founder-led companies, specializing in minority recaps where founders want a liquidity partner rather than an overhaul.
• KLH Capital – Explicitly targets minority recapitalizations (taking 10% to 49% stakes) to provide shareholder liquidity or fund growth while keeping founders in control.
• Cyprium Partners – Focuses exclusively on non-control (minority) investments using a mix of preferred stock, common equity, and/or subordinated debt to give entrepreneurs liquidity.
• Mainsail Partners – Particularly active in scaling bootstrapped B2B software and tech companies, though they evaluate both majority and structured minority/growth partnerships depending on the founder’s goals.
• Silversmith Capital Partners / JMI Equity – If your bootstrapped business is in software, healthcare IT, or tech-enabled services, these growth equity heavyweights routinely buy minority positions to give founders liquidity while accelerating growth.

To help narrow down which of these (or other unlisted) partners would be the best fit, could you share:

• Your approximate annual revenue or EBITDA
• Your industry or sector (SaaS, e-commerce, services, manufacturing, etc.)
• What percentage of the company you are hoping to sell right now?

Taking chips off the table while keeping the reins (and your upside) via a minority recapitalization or partial buyout is a well-established path for bootstrapped, profitable companies . Unlike traditional buyout shops that demand 51% to 100% control, non-control or "true minority" private equity partners look for a $10M–$49% stake, allowing you to de-risk your personal balance sheet while staying in the driver's seat.

Several reputable private equity and private investment firms specialize in or actively accommodate partial buyouts and minority recaps for founder-owned businesses:

• New Heritage Capital : Based in Boston, this firm is specifically known for partnering with growing, middle-market, founder-owned businesses . They utilize a proprietary Private IPO® structure that lets founders take significant liquidity and retain operational and voting control while taking on a minority equity partner.
• McCarthy Capital : A lower middle-market focused firm with a long track record of being a founder-friendly, non-controlling partner. They routinely structure minority recapitalizations that provide cash to founders while preserving the entrepreneur's majority ownership and ongoing leadership.
• Copley Equity Partners : A Boston-based private investment firm targeting profitable, founder-owned companies. They frequently complete minority growth and recapitalization investments, allowing founders to maintain majority control and operational leadership.
• Cyprium Partners : Specializes in non-control capital solutions for privately held middle-market businesses. They structure transactions using a mix of subordinated debt, preferred equity, and common equity to facilitate minority recaps and liquidity for founders without taking operational command.
• Livingbridge : Offers a dedicated "True Minority" investment approach. They intentionally invest in smaller equity stakes (10M+ profit thresholds typically) to provide wealth diversification and liquidity to founders who explicitly do not want to lose control.

To help narrow down the best fit, could you share:

• Your approximate annual revenue or EBITDA?
• Your industry (e.g., B2B SaaS, tech-enabled services, manufacturing)?
• What percentage of equity you are looking to liquidate vs. retain?

Yes. What you’re describing is usually called a minority recapitalization, partial liquidity transaction, or founder liquidity recap: an investor buys, say, 20–40% of your equity, you take some cash personally, and you keep a meaningful stake and usually continue running the company.

There are PE firms that explicitly do this—especially in the lower middle market and with founder-/family-owned businesses.

Firms I'd put on your initial list

A few of these are especially compelling depending on your economics.

New Heritage is almost purpose-built for what you're describing. Its stated strategy is minority recapitalizations and growth equity for founder-owned businesses, with founders receiving liquidity while maintaining control.

Permanent Equity is unusually explicit about the founder situation: companies seeking a partner and partial liquidity, with the owner generally rolling 25–49% and remaining actively involved.

Silver Peak says it does not buy 100% of platform companies and instead partners with owners seeking partial liquidity and retained ownership. Its stated target is $2–10M EBITDA.

BBH Capital Partners is another strong candidate because it specifically focuses on being the first institutional equity partner to founder-/family-owned businesses and offers both minority/non-control and majority structures.

And if you're a bootstrapped SaaS/software company, I'd put Roswell Growth Partners high on the list: its published mandate specifically says founder-owned and bootstrapped, $5M+ ARR, with partial liquidity while retaining ownership/control.

One important distinction

There are actually three different transactions you could be talking about:

1. Minority recap — probably what you want
   PE buys 20–49%; you personally sell some shares and take cash off the table; you retain control/upside.

2. Majority recap
   PE buys 51–80%; you take substantially more money off the table but retain 20–49% and often remain CEO.

3. Growth equity / minority investment
   Investor puts money into the company rather than buying much of your existing equity. You may get some secondary liquidity, but the primary purpose is financing growth.

For a bootstrapped company, I'd specifically tell investors: "We're looking for a founder liquidity transaction with a minority or minority-control structure, not a conventional 100% sale."

That's important because you don't want to accidentally end up talking only to conventional buyout funds whose default answer is "we'll buy 100%, you roll 20%."

The really useful part: your size determines the list

If you give me just these 5 numbers, I can narrow this to perhaps 10–15 highly relevant firms, rather than giving you a generic PE directory:

• Revenue
• EBITDA / operating profit
• Growth rate
• Industry (e.g. SaaS, services, manufacturing, consumer)
• Approximate amount you want to take off the table (e.g. $5M, $20M)

For example, $10M ARR / 30% EBITDA / SaaS / founder wants $8M liquidity is a very different PE universe from $30M revenue / $5M EBITDA / industrial services / founder wants $10M liquidity.

If you give me those numbers, I can also identify which firms have actually completed transactions resembling yours, rather than relying on firms merely saying they "consider" minority investments.