Capital Alignment Partners Research
CRITICAL CLASSIFICATION NOTE
Capital Alignment Partners is a private equity firm, NOT an M&A advisory firm. This entity has been incorrectly classified in the database as an M&A advisor. Capital Alignment Partners provides debt and equity capital to companies (investments), whereas M&A advisors advise business owners on selling their companies for success fees. This research captures accurate information about the firm, but users should understand this is a BUY-SIDE investor, not a sell-side advisor.
Investment Approach
Capital Alignment Partners is a lower middle market private equity firm founded in 2009 that provides flexible debt and equity capital to companies with $10M-$100M in revenue and $2M-$20M in EBITDA. The firm's thesis centers on providing tailored capital solutions to support management teams through growth initiatives, recapitalizations, consolidation strategies, and shareholder liquidity events.
Unlike traditional M&A advisors who represent sellers in transactions, Capital Alignment Partners is a capital provider that takes equity positions in portfolio companies. They currently invest out of Fund IV, a $375 million vehicle raised in 2023, bringing total assets under management to approximately $590 million across four funds.
The firm's investment philosophy emphasizes "lasting partnerships" with a consultative approach to identifying exceptional management teams and facilitating growth. Their investment professionals have over 125 years of combined experience navigating multiple economic and credit cycles.
Sector Focus
Capital Alignment Partners concentrates on three primary sectors: Business Services, Healthcare Services, and Industrial Services. Within these verticals, they seek companies with defensible market positions, recurring revenue characteristics, and opportunities for operational improvement and strategic tuck-in acquisitions.
In Business Services, the firm has invested across executive search (Buffkin/Baker), media and information services (HW Media), logistics and distribution (Quick Pick Express), IT services (Zumasys, Information Transport Solutions), and marketing services (Eastport Holdings, Envoy).
In Healthcare Services, their portfolio includes home care platforms (Avenues Home Care, Aging with Comfort, Vital Health Care Group), behavioral health (Generations Behavioral Health, Centerline Healthcare Partners), hospice (Care Hospice), and specialized healthcare services (High Five Healthcare endodontics).
In Industrial Services, they focus on construction and building services (Allied Siding & Windows, Highway Signing, Pavement Preservation Group), environmental services (High Tec industrial cleaning, Adcamp asphalt paving), and specialized manufacturing (ADMO injection molded plastics, BMH material handling equipment).
Investment Track Record
Since inception in 2009, Capital Alignment Partners has completed 30+ platform investments and facilitated 75+ tuck-in acquisitions on behalf of portfolio companies. The firm has realized 20+ investments through successful exits.
Recent platform investments include:
- Allied Siding & Windows (2026): Residential repair and replacement services in Texas, partnered with Holleway Capital Partners and Juniper Street Capital
- HW Media (2025): Dallas-based business media and information services company serving housing industry leaders
- Buffkin/Baker (2025): Nashville-based executive search firm serving healthcare, private equity, technology, and other end markets
- Avenues Home Care: Expanded into Alabama through acquisition of As Close As Family (2025), consolidating home care services across the Southeast
Notable exits include:
- Pavement Preservation Group (2025): Successfully sold after building through multiple add-on acquisitions including Southwest Slurry Seal, Viking Construction, and Cactus Asphalt
- Atlantis Fire Protection (2025): Fire protection platform backed jointly with Lynch Holdings, exited after rapid acquisition roll-up across the Southeast
Earlier significant investments:
- ADMO, Inc. (recapitalization): Elgin, Illinois-based manufacturer of injection molded plastic components for blue-chip customers in HVAC, transportation, and industrial end markets
- Highway Partners Inc. (2023): Platform formed by merging Highway Signing Inc. with additional traffic control and pavement marking businesses
- Atlantis Fire Protection (2023): Fire protection services platform launched with acquisitions of Keller's Inc. (North Carolina) and McCoy Fire & Safety (Alabama)
Transaction Types & Process
Capital Alignment Partners provides capital for:
- Management buyouts (MBOs) and leveraged buyouts (LBOs)
- Strategic consolidations and roll-ups
- Balance sheet restructuring
- Recapitalizations (partial and full)
- Shareholder liquidity events
- ESOP formations
- Growth capital for expansion
The firm specializes in structured subordinated debt and equity investments, allowing flexible capital structures that traditional senior lenders may not provide. This flexibility is particularly valuable in tighter credit environments.
Portfolio Company Support
Beyond capital, Capital Alignment Partners supports portfolio companies through:
- Strategic tuck-in acquisition sourcing and execution
- Operational improvement initiatives
- Management team recruiting and development
- Access to extensive network of industry relationships
- Support for organic growth initiatives
Geographic Coverage
Headquartered in Nashville, Tennessee with additional offices in Des Moines, Iowa and Newport Beach, California. The firm's portfolio companies operate across the United States with particular concentration in the Southeast, Midwest, Texas, and Southwest regions.
Team & Experience
The firm has 9 investment professionals with 125+ years of combined investment experience. Key team members include:
- Burton Harvey: Founder and Managing Partner
- Mark McManigal: Managing Director
- Lee Ballew: Managing Director, leads many industrial services investments
- John Pontius: Partner and Managing Director, joined in 2019, serves as 2026 Board President of ACG Tennessee
- Drew Healy: Principal
- Sloan Taylor: Principal
- Carson Baker: Analyst (joined 2024)
- Murray Wilson, Kristina Bergdahl: Additional team members
Not a Fit For
Capital Alignment Partners typically does not invest in:
- Companies below $10M in revenue or $2M in EBITDA
- Start-ups or early-stage ventures requiring significant development capital
- Turnaround situations without a clear path to stabilization
- Industries outside their core sectors (business services, healthcare, industrial services)
- Real estate development or pure asset plays
- Founders seeking limited partnership without meaningful equity ownership transition
Summary
Capital Alignment Partners is an established lower middle market private equity firm with a 15+ year track record of partnering with management teams to build value through both organic growth and strategic acquisitions. With $590 million under management across four funds, the firm has completed 30+ platform investments and 75+ add-on acquisitions since 2009. Their focus on business services, healthcare services, and industrial services, combined with flexible capital structures and operational support, makes them a relevant capital source for business owners seeking growth capital, recapitalization, or partial liquidity—not for owners seeking traditional M&A sell-side representation.