Emsco Partners announces the launch of its fund to address the UK’s growing SME succession gap. Tens of thousands of profitable small and medium-sized businesses are owned by ageing founders, many without clear succession plans. Research indicates that around 41% of UK business owners plan to step away from their companies within the next ten years*. Emsco Partners is a long-term investment firm that seeks to acquire and actively manage high-quality UK businesses, providing thoughtful ownership transitions for retiring owners.
Founded by tech entrepreneurs Emma Margetts and Scott Winship, Emsco Partners provides sellers with an alternative to private equity and trade buyers through long term, operator-led ownership in the UK’s lower mid-market.
The fund attracted strong investor interest and reached almost three times oversubscribed within three weeks. The capital base comprises a group of top-tier international investors. Among the backers are Orca Equity Partners, Ambit Partners, Vonzeo Capital and Miramar Equity Partners, as well as prominent entrepreneurs including Will Thorndike and Simon Webster.
“We backed Emma and Scott for many reasons, amongst them were their hands-on operating experience, clear vision for value creation, coachability and sharp focus on execution excellence,” said Jan Simon, Managing Partner at Vonzeo Capital.
The opportunity Emsco Partners is addressing sits within the lower mid-market, where many high-quality businesses fall into a structural gap. Often overlooked by traditional private equity due to their size and seller fit, yet too large or complex for individual buyers, these businesses remain underserved. This creates attractive opportunities for focused acquirers who have the time and capability to grow them.
Partners in life and business, Margetts and Winship first met at Investec Asset Management 15 years ago and have since spent the past decade building, scaling and selling businesses together.
“Having sold two businesses ourselves, we know that selling is as much an emotional decision as a financial one. We want to make that transition as seamless as possible for sellers, employees and clients,” said Margetts, Founding Partner of Emsco Partners.
“For many business owners, the prospect of selling to private equity fills them with dread. We’re focused on long-term value creation, not quick flips, with a strong emphasis on preserving legacy and culture.” said Winship, Founding Partner of Emsco Partners.
Emsco Partners is sector agnostic and is actively pursuing its first platform acquisition, targeting UK-wide businesses with £1–10 million of EBITDA.
For more information, visit www.emscopartners.com or contact enquiries@emscopartners.com
*Research from wealth manager Charles Stanley