Case Study: South Cypress Growth Capital Funding
South Cypress offers first quality tile, stone, glass, wood, laminate and vinyl flooring products via a virtual showroom that provides customers with the benefits of shopping in a physical store while offering the convenience and broader selection available from shopping online. Founded in 2005, the Company aims to provide an excellent customer experience through detailed images and information on each product, prompt customer service, knowledgeable staff, and fast delivery.
While the Company had built a solid foundation for growth, Drew Goneke, South Cypress’ President and Founder, knew that he needed additional capital to secure a leadership position in the online flooring space. With rapid growth potential in the coming years, the timing was too early for a strategic acquisition. This led Drew to utilize Founders Investment Banking as a consultant in his efforts to pursue the next phase of South Cypress’ growth.
Founders Investment Banking consulted South Cypress in its growth capital funding round with Fidelis Capital. Founders Investment Banking assisted South Cypress in evaluating its strategic options. Fidelis, an SEC registered investment advisor based in Birmingham, Alabama, focuses on growth equity investing in the southeastern United States.
By partnering with Fidelis, South Cypress was able to accomplish the following:
- Growth capital to fill key leadership roles in the technical and marketing groups, and also to launch brand building initiatives.
- Team up with a value-added financial partner who would was willing to work alongside the South Cypress team to execute their growth strategy.
- Extend their network of partnerships given the deep relationships Fidelis brought to bear.
Founders Investment Banking (Founders) is a merger, acquisition & strategic advisory firm serving middle-market companies. Founders’ focus is on oil and gas, industrials, software, internet, digital media and healthcare companies located nationwide, as well as companies based in the Southeast across a variety of industries. Founders’ skilled professionals, proven expertise and process-based solutions help companies access growth capital, make acquisitions, and/or prepare for and execute liquidity events to achieve specific financial goals. In order to assist Founders Investment Banking with securities related transactions certain Principals are registered investment banking agents of M&A Securities Group, Inc., member FINRA/SiPC. M&A Securities Group and Founders are not affiliated entities. For more information, visit www.foundersib.com.