The FFL Approach Two fast-growing sectors One specialized synergistic strategy

True industry insight doesn’t happen overnight. At FFL, we have an unwavering focus on two complementary and synergistic sectors—healthcare and tech-enabled services—not because these are the only sectors with great opportunities, but because we believe that maintaining world-class expertise in a sector is what it takes to consistently find great investments, recognize them when you do, have the broad network to access them, and truly know how to grow them.

A patient approach to acting decisively

We are exclusively dedicated to our proprietary sourcing and value creation strategy called Sector Exploration and Expertise Development (SEED), an intensive multi-year approach that allows us to identify, follow, and select the best investments within our sectors. We engage with dozens of companies, executives, and advisors within our carefully selected SEED sub-sectors, building an unmatched ecosystem of knowledge and relationships over time.

Through our ongoing SEED efforts, we develop a unique ability to understand what determines the gold standard in each industry niche and then actively engage with those best-in-class companies. When the time comes to seriously consider and pursue an investment, we are fully prepared on Day One of discussions to add value to founders, management teams, and other stakeholders. Many say they have not experienced this level of readiness before.

Our sectors: healthcare
and tech-enabled services

We apply our rigorous SEED process to two complementary sectors with attractive growth tailwinds and muted cyclicality: healthcare and tech-enabled services. Within these large, complex spaces, our disciplined focus on an evolving range of specific sub-sectors (SEEDs) means we can become experts without diluting our efforts across a vast universe of possibilities.

There are no barriers within FFL. Our investing and operating professionals work cross-functionally and across sectors as a unified team, and our longstanding experience in both healthcare and tech-enabled services—two sectors with common aspects—gives us unique insights into the opportunities, challenges, and risks found within each sector and at their intersection.

A POWERFUL EDGE

FFL’s proprietary sourcing and value creation strategy is called Sector Exploration and Expertise Development, or SEED, and “SEEDs” are what we call our pre-identified target subsectors within healthcare and tech-enabled services.

There are approximately 20 active SEEDs at any given time, and we refine these choices over time based on our conviction around thesis, how FFL can add value, and actionable pipeline.

A representative cluster of FFL subsectors or “SEEDs”

Value-creation synergy of complementary sectors

Example:

Improving tech enablement of healthcare providers

Example:

Expanding healthcare-focused offerings of an HR services business

Investment parameters

FFL invests in healthy, growing North American businesses in healthcare and tech-enabled services. We generally commit $50-200 million to each transaction, with larger commitments in select circumstances. Given our emphasis on strategic guidance and operational involvement, we always seek board representation, but we are flexible investors with experience across a wide range of investment structures.

We seek to partner with companies that feature…

A record of above-market performance
Strong reputation for high-quality service
Talented, scalable management
Effective approach to human capital
Potential for tech-enablement
Opportunity to accelerate growth in partnership with FFL

Shared wins through sustainable growth

FFL is proud to invest in high-quality businesses whose growth is the primary driver of our investment returns. We work collaboratively with management teams to prioritize growth areas and deploy our extensive operating resources to help them realize their full potential.

We aim to accelerate company growth through sustainable improvements to business performance, and we understand that this often requires patience. We are energized by the opportunity to partner with companies at an inflection point where our support can make a real difference.

Outside experts with insider chops

FFL takes the idea of sector-specific operational expertise very seriously. We have meticulously assembled a network of outside industry veterans who integrate with our in-house operating resources to help our businesses succeed. Our portfolio companies have access to this suite of vertical and functional experts who can…

Serve as independent board members or on-site executives

Create data-driven approaches for aspects like go-to-market or site expansion

Evaluate and implement purpose-built technology solutions

Help execute and integrate strategic acquisitions

Guide founders and CEOs through organizational design and succession planning

Spearhead or assist with many other growth-focused initiatives

Responsible investment

FFL believes that in the long run, superior investment returns are best achieved with a responsible approach to environmental, social, and governance issues. We have been a UNPRI (United Nations Principles for Responsible Investment) signatory since 2018, and we are committed to considering financially material ESG issues throughout the investment, ownership, and divestment process.

See FFL’s environmental, social, and governance policy