Nextgen Growth Partners
Nextgen Growth Partners is a company.
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Leadership Team
Key people at Nextgen Growth Partners.
Nextgen Growth Partners is a company.
Key people at Nextgen Growth Partners.
Key people at Nextgen Growth Partners.
NextGen Growth Partners (NGP) is a Chicago-based private equity firm founded in 2016, specializing in partnering with family- and founder-owned businesses in the lower middle market for growth and succession planning.[1][5][6] The firm's mission centers on providing flexible operational transitions by deploying Entrepreneurs-in-Residence (EIRs) who assume full-time leadership roles post-acquisition, enabling owners to exit while preserving legacy and driving long-term value through professionalization and expansion.[2][3][5] NGP's investment philosophy emphasizes mission-critical B2B services with recurring revenue, including facilities services (e.g., landscaping, HVAC), niche contracting, professional/technical services, and business process outsourcing, targeting companies with $5M–$50M revenue and $2M–$8M+ EBITDA.[6] Having closed Fund III at $165M+ (as of early 2025) after prior funds around $50M–$100M, NGP influences the startup and small business ecosystem by countering traditional PE stigmas through operator-led continuity, fostering growth in fragmented, resilient sectors.[1][3][7]
NGP was founded in 2016 in Chicago by Brian O'Connor (Founder and Managing Partner), rooted in the belief that small businesses hold untapped potential unlockable through trusted partnerships rather than disruptive takeovers.[5][7] Early backers provided capital, guidance, and relationships that shaped its operator-focused model, evolving from a debut $50M fund (closed ~2018) to a second ~$100M fund (~2021) and the recent $165M+ Fund III (2024–2025).[1][3][7] Key partners include Eric Wilson (Partner and Head of Portfolio Operations) and advisors like Jim Bland, alongside a network of EIRs who transition into CEO roles.[1][7] The firm's focus sharpened on "entrepreneurship through acquisition," building a BUILD process (Build relationship, Understand & add value, etc.) to humanize transitions for owners facing succession needs.[5] Pivotal early traction came from deals like Condata (2018) and DAWGS (2019), expanding to 12+ transactions by 2025, including Premier Property Services (Feb 2025).[1]
NGP stands out in private equity through its hands-on, legacy-preserving approach:
NGP rides the wave of "search funds" and entrepreneurship through acquisition (ETA), a growing trend addressing the "silver tsunami" of baby boomer retirements in family-owned businesses, where 70%+ lack succession plans amid fragmented lower middle markets.[3][5] Timing aligns with resilient B2B services demand—recession-proof due to recurring needs in facilities, infrastructure, and compliance—fueled by urbanization, regulatory pressures, and outsourcing shifts.[6] Market forces like PE dry powder ($2T+ globally) favor operator-led models over pure financial engineering, positioning NGP to consolidate niches with high barriers (relationships, expertise).[1][4] The firm influences the ecosystem by normalizing patient capital for non-tech SMBs, mentoring EIRs into CEOs, and enabling add-on M&A, thus professionalizing sectors often overlooked by VC/PE giants.[2][5]
NGP's operator-centric model positions it for scaled impact from Fund III, likely pursuing 5–10 deals in core B2B services amid ongoing succession waves and economic cycles favoring essentials.[1][6] Trends like AI-driven efficiency in facilities/professional services and infrastructure spending (e.g., U.S. IIJA) will amplify growth, with EIR networks enabling faster add-ons and exits. Influence may evolve toward larger funds or sector roll-ups, solidifying NGP as a go-to for legacy-preserving PE—unlocking value in businesses much like its founding vision promised.[5][7]
