Outstanding consulting expertise for private equity & start-ups

The "private equity & start-ups" sector refers to a segment of the financial market that focuses on the purchase and sale of shares in private companies. Private equity companies raise capital from institutional investors and wealthy individuals to invest in private or public companies that are then taken private. Start-ups are young, innovative companies that often focus on high-risk but potentially very profitable business ideas.

In terms of key figures, the private equity industry in Europe reached an investment volume of around €453 billion in 2020, which represents a strong performance despite the economic uncertainty caused by the COVID-19 pandemic. In the same period, almost 200 billion euros were invested in the DACH region. The start-up scene is also very lively in this region. According to EY's Start-up Barometer, around €5.3 billion was invested in start-ups in Germany, Austria and Switzerland in 2020.

The largest private equity firms in the DACH region and Europe include EQT, Ardian and Permira. In terms of start-ups, the DACH region and Europe are home to some of the world's most successful companies, including the software manufacturer SAP, the online marketplace Zalando and the payment service provider Klarna.

The challenges in the private equity & start-ups sector are diverse and complex. They range from identifying and evaluating investment opportunities to managing regulatory requirements and supporting the growth and development of portfolio companies. External consultancies can help overcome these challenges by providing strategic advice, financial advice, operational support and regulatory advice.

A specific project could be, for example, supporting a private equity company in carrying out due diligence for a potential investment. Another example could be advising a start-up in a growth phase to identify scaling opportunities and develop a detailed business plan. A third example could be supporting a private equity firm in developing and implementing an exit strategy for a portfolio company.

Current trends in the private equity & start-ups sector include the growing interest in investments in technology companies, the increasing focus on sustainability and ESG factors (environment, social, governance) and the growing importance of data and analysis in decision-making.

The private equity & start-ups sector is a dynamic and vital part of the global economy, offering significant opportunities for growth and innovation. With the right advice and support, private equity firms and start-ups can capitalize on these opportunities and have a positive impact on the economy and society as a whole. However, the increasing complexity and pace of the industry means that the role of consulting firms in supporting these companies is becoming increasingly important. With their expertise and experience, consultants can help to minimize risks, maximize opportunities and ultimately ensure the success of private equity investments and start-ups.