Key takeaways
- The short answer: independent sponsors raise equity one deal at a time, mostly from family offices, private equity funds and mezzanine funds, and borrow from lower middle-market lenders. Private Equity List lists 38 capital partners for them.
- Firms that name them: 7 of the 38 name independent sponsors in their profiles, among them Monroe Capital, Apogem Capital and Tail End Capital Partners.
- Where they are: 18 of the 38 are in the US and 12 in Europe, 2 of them in the UK.
- Fees in the US: the closing fee is most often 2% of enterprise value, the management fee 5% of EBITDA a year, and fixed carry 20%.
- Fees in Europe: closing fees are lower, most often 1–1.5%. In over 40% of deals the sponsor puts in more than 5% of the equity.
- Deal size: over 75% of US independent sponsor deals buy companies worth $10–75M.
 United States | |
|---|---|
 France | |
 Germany | |
 United Kingdom | |
 Brazil | |
 Singapore |
Source: Private Equity List database
| Family offices that invest directly | 22 | 57.9% |
|---|---|---|
| Firms that name independent sponsors | 7 | 18.4% |
| Search funds and their investors | 5 | 13.2% |
| Lenders to sponsor-backed companies | 4 | 10.5% |
Source: Private Equity List database
One partner each: 
Netherlands, 
Belgium, 
Switzerland, 
Italy, 
Canada, 
Mexico, 
India and 
Australia.
What is an independent sponsor: a dealmaker without a committed fund
Independent sponsor: an investor who buys companies one deal at a time, without a pool of committed capital. It is also called a fundless sponsor.
How it differs from a fund: a private equity fund raises money first and buys later. An independent sponsor finds the company first, then raises equity and debt for that one deal.
Who they are: often former private equity professionals. London law firm Addleshaw Goddard cites estimates of well over 500 independent sponsors in Europe, many of them from mid-market and large-cap funds.
What they buy: mostly smaller companies. In the McGuireWoods survey of nearly 300 US deals, over 75% of targets were worth $10–75M, and about two-thirds were bought for less than 6x EBITDA.
How independent sponsors get paid: closing fee, management fee and carry
Closing fee: paid when the deal closes, for finding and running it. Investors often ask the sponsor to roll part or all of it back into the deal.
Management fee: a yearly fee for overseeing the company, usually paid by the company itself.
Carried interest: a share of the profit, paid after investors get their money back and often a preferred return. It is either a fixed rate or rises in tiers as returns pass set hurdles.
Broken deals: in most US deals the equity providers paid some or all of the costs of deals that did not close. In Europe, investors covered them in 24% of deals.
| Term | United States | Europe |
|---|---|---|
| Company value | Over 75% of targets worth $10–75M | 38% worth €10–75M, 41% above €100M |
| Price | About two-thirds below 6x EBITDA | 58% at 4–8x EBITDA |
| Closing fee | 1.5–2.49% of enterprise value in nearly two-thirds of deals; 2% most common | 1–1.5% in half the deals, on invested capital or on enterprise value |
| Management fee | 5% of trailing EBITDA in 60% of deals | 3–5% of EBITDA in 83% of EBITDA-based deals |
| Carried interest | 61% tiered with hurdles, first tier mostly 10–15%; fixed rate mostly 20% | 50% tiered, 42% fixed; tiers often start at 10% and 15% and rise to 20% or more |
| Sponsor's own money | Often the rolled closing fee | Over 5% of the equity in more than 40% of deals |
Sources: United States, McGuireWoods Independent Sponsor Deal Survey, nearly 300 deals closed in 2018–2021. Europe, Addleshaw Goddard Independent Sponsor Deal Terms Survey 2025, deals completed in 2023 and 2024.
Who funds independent sponsors: family offices, private equity and mezzanine funds
Equity: in the McGuireWoods survey the cheques came from control private equity funds, mezzanine debt funds, family offices and high-net-worth individuals. Deals with many small investors were more often funded by family offices and wealthy individuals.
Debt: senior and unitranche lenders lend against the company's cash flow, and mezzanine lenders fill the gap between the loan and the equity.
Firms that say so: seven firms in Private Equity List name independent sponsors as partners. Tail End Capital Partners is built around them: it writes deal-by-deal equity cheques of $10–50M for companies with $5–50M of EBITDA.
| Firm | Headquarters | Cheque size | What it provides |
|---|---|---|---|
 Monroe Capital | Chicago | $50–100M | Private credit to private equity and independent sponsors in the US and Canada |
 Apogem Capital | New York | $10–50M | Private equity, direct lending and GP stakes; part of New York Life |
 Tail End Capital Partners | Pittsburgh | $10–50M | Deal-by-deal equity structured around independent sponsors |
 Source Capital | Atlanta | $10–50M | Equity and debt for lower middle-market companies |
 Prospect Capital Management | New York | $100M+ | Listed business development company lending to middle-market companies |
 Charter Capital Partners | Grand Rapids | $100M+ | Junior capital for lower middle-market companies in the Great Lakes region |
 Avante Capital Partners | Los Angeles | $10–50M | Private credit and equity for companies with at least $3M of cash flow |
 Golub Capital | New York | $100M+ | Unitranche loans to sponsor-backed middle-market companies |
 Deerpath Capital | New York | $50–100M | Senior debt of $25–150M per lower middle-market borrower |
 Gladstone Capital | McLean | $50–100M | Unitranche facilities for lower middle-market companies |
 Breakaway Capital | Los Angeles | $5–10M | Debt and equity for companies with up to $5M of EBITDA, sponsored or not |
New funds from independent sponsor capital partners, 2024–2026
| Monroe Capital Private Credit Fund V | |
|---|---|
| Deerpath Fund VII | |
| Golub Capital GEMS Fund 6 | |
| Apogem Secondary Fund VII | |
| Apogem Private Equity Fund XI | |
| Avante SBIC Fund IV | |
 Pritzker PAS Fund | |
| Source Capital SBIC Fund V | |
 Peterson Partners Fund X | |
| Charter Growth Capital Fund II | |
| Tail End Strategic Equity II |
Source: Private Equity List fund data
- Monroe Capital recorded Private Credit Fund V at $2.8B in January 2026. It lends across direct lending, technology finance and structured credit.
- Apogem Capital closed its eleventh private equity fund at $597M in September 2026. Its targets include emerging fund managers and independent sponsors.
- Deerpath Capital recorded Fund VII at $2B in December 2025 for senior loans to lower middle-market companies.
- Avante Capital Partners recorded SBIC Fund IV at $400M in May 2026, a fund licensed by the US Small Business Administration.
- Pritzker Alternative Strategies raised nearly $385M for its first fund in March 2026. The money goes to lower and middle-market private equity funds and co-investments, backed by the Pritzker family.
- Tail End Capital Partners recorded Strategic Equity II at $60M in March 2025 for its deal-by-deal cheques.
All 38 independent sponsor capital partners by region
United States: 18 capital partners
The US is where the model is most developed. In the McGuireWoods survey about 75% of the equity cheques were $5–50M, before debt and seller rollover.
| Firm | City | Cheque size | What it does |
|---|---|---|---|
| Monroe Capital | Chicago | $50–100M | Private credit; names independent sponsors |
| Apogem Capital | New York | $10–50M | Private equity and direct lending; names independent sponsors |
| Tail End Capital Partners | Pittsburgh | $10–50M | Deal-by-deal equity for independent sponsors |
| Source Capital | Atlanta | $10–50M | Equity and debt; names independent sponsors |
| Prospect Capital Management | New York | $100M+ | Listed lender; names independent sponsors |
| Charter Capital Partners | Grand Rapids | $100M+ | Junior capital; names independent sponsors |
| Avante Capital Partners | Los Angeles | $10–50M | Private credit and equity; names independent sponsors |
| Golub Capital | New York | $100M+ | Unitranche loans to sponsor-backed companies |
| Deerpath Capital | New York | $50–100M | Senior debt to lower middle-market companies |
| Gladstone Capital | McLean | $50–100M | Unitranche loans, works with private equity sponsors |
| Breakaway Capital | Los Angeles | $5–10M | Debt and equity for sponsored and non-sponsored deals |
| Pritzker Alternative Strategies | Chicago | $10–50M | Family capital for smaller private equity funds and co-investments |
 Blue 9 Capital | New York | $1–5M | Family office: buyouts, growth and venture |
 RLG Capital | Park City | $10–50M | Controlling stakes in privately held companies |
 True Blue Partners | Campbell | $10–50M | Buyouts and growth equity in enterprise software |
| Lakeside Companies | Coeur d'Alene | $10–50M | Family firm with direct private equity, industrials and agriculture |
| Peterson Partners | Salt Lake City | $10–50M | Private equity, venture and search fund investing |
 Jamestown Capital | Austin | Under $1M | Minority stakes in search fund acquisitions |
Europe and the UK: 12 capital partners
Addleshaw Goddard cites estimates of well over 500 independent sponsors in Europe, and their deals run larger than in the US: 41% of those it surveyed were above €100M. In the UK, West Coast Capital and LSG Holdings invest directly in companies.
| Firm | City | Cheque size | What it does |
|---|---|---|---|
 West Coast Capital | Mansfield, UK | $100M+ | Family office: buyouts, debt and growth capital |
| LSG Holdings | London | $10–50M | Family office: direct private equity, venture and real estate |
 Florac | Paris | $100M+ | Family office: control and minority stakes in mid-market companies |
 Paluel-Marmont Capital | Paris | $5–10M | Management buyouts and buy-ins of €5–15M per deal |
 Platina Partners | Paris | $10–50M | Buyout and growth equity, including quasi-equity |
 Forum Family Office | Munich | $1–5M | Holds private companies long term; a $114M buyout fund |
 VM Capital | Düsseldorf | $10–50M | Mid-cap buyouts with €5–50M of equity |
 Schneider Family Office | Alfter | $1–5M | Real assets and selective private equity co-investments |
 Nedvest Capital | Amsterdam | $10–50M | Family office with a software buyout fund |
 De Eik | Dilbeek | $10–50M | Direct stakes in medium-sized unlisted companies |
 Winterberg Group | Zug | Under $1M | Mature-stage buyouts and early growth capital |
 H14 | Milan | $10–50M | Family office: direct growth and permanent capital |
Canada, Latin America, Asia and Australia: 8 capital partners
Outside the US and Europe the closest model is often the search fund. Belth Capital Partners runs one in north-east Mexico, and Spectra Investments in São Paulo describes itself as a fundless sponsor.
| Firm | City | Cheque size | What it does |
|---|---|---|---|
| SouthPac Partners | Vancouver | $10–50M | Private operating businesses with real estate assets |
 Belth Capital Partners | San Pedro Garza García | $10–50M | Search fund buying family businesses without a successor |
 Spectra Investments | São Paulo | $10–50M | Fund of funds and fundless sponsor, including search funds |
| Paraty Capital | São Paulo | $1–5M | Private equity, venture and search funds |
 Premji Invest | Bengaluru | $100M+ | Family office: growth equity and buyouts |
 LionRock Capital | Singapore | $10–50M | Family office with direct stakes in over 25 private businesses |
 August One | Singapore | $10–50M | Family office: private equity, buyouts and venture |
 Light Warrior Group | Melbourne | $10–50M | Family office with direct stakes in operating businesses |
Independent sponsor vs private equity fund vs search fund
| Independent sponsor | Private equity fund | Search fund | |
|---|---|---|---|
| Money | Raised for each deal after the company is found | Committed by investors before any deal | Raised first to search, then again to buy one company |
| Deals | One company at a time | A portfolio of companies | One company |
| Who runs the company | Management, with the sponsor on the board | Management, with the fund on the board | The searcher, usually as chief executive |
| Sponsor's own money | Over 5% of the equity in more than 40% of European deals | About 1–2% of the fund in the mid-market | Little; the searcher earns equity in stages |
| How the sponsor earns | Closing fee, management fee and carry on each deal | Management fee on the fund and carry | A growing equity stake as the company performs |
Sources: sponsor commitment figures from the Addleshaw Goddard survey.
How an independent sponsor deal works, step by step
Find the company: the sponsor sources a target and signs a letter of intent before any money is committed.
Raise the equity: the sponsor takes that one deal to equity partners, such as the family offices and private equity firms listed above.
Add the debt: senior or unitranche lenders such as Golub Capital, Deerpath Capital and Gladstone Capital lend against cash flow; mezzanine funds can add junior debt.
Close: the sponsor takes a closing fee, often rolls part of it into the deal, and signs a management agreement with the company.
Own and exit: the sponsor sits on the board and earns carry at exit, once investors have their money back.
How to find capital partners for an independent sponsor deal
Start with the firms that name independent sponsors: the seven in the first table, from Monroe Capital to Avante Capital Partners.
Add family offices: the family office list can be filtered by country and cheque size. Look for those that invest directly in companies, like the 22 above. The biggest names are in our guide to top family offices.
Add private equity co-investors: the private equity list holds firms that take part in deals they do not lead.
Line up the debt: see private equity lenders and private credit funds and firms for senior and unitranche lenders and mezzanine lenders for junior debt.
Check who just raised: a partner with a new fund has money to put to work. The new funds tracker lists each fund as it is announced.
Reach the team: in search, filter by type, country, cheque size and sector. Profiles list partners and investment staff; CSV export comes with the Pro+ plan.
Selling instead of buying: owners looking for a buyer rather than a partner can start with private equity buyers, the firms with new buyout funds in 2026.
Data and methodology
Firms: 38 independent sponsor capital partners from Private Equity List profiles, as of 31 October 2026. Every profile was searched for independent sponsors, fundless sponsors and search funds, and each match was checked by hand.
Groups: 7 firms name independent sponsors in their own profiles. The other 31 are grouped by what their profiles say they do: lend to sponsor-backed companies, invest family money directly, or run and back search funds.
Sizes and funds: headquarters, cheque sizes and fund sizes come from the profiles and fund records. Two funds link to their announcements.
Deal terms: fees, carry and deal sizes come from the McGuireWoods survey of US deals and the Addleshaw Goddard survey of European deals, both linked above.
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