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A timely succession solution for the German Mittelstand

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A timely succession solution for the German Mittelstand

“Germany’s SME sector (“Mittelstand”) is facing a dramatic wave of retirements — around 231,000 SME owners plan to transfer or close their companies by end-2025, many with no successor in place. This threatens over 50% of the nation’s economic output and 60% of jobs.”

Enter Search Funds — a proven model born in the 1980s at Stanford — where entrepreneurial “searchers” raise capital to locate, acquire, and run a single SME. This model delivers:

🔸 A hands-on, long-term successor who preserves legacy while driving growth
🔸 Investor backing and mentoring for stability and strategic scale
🔸 Customized succession, avoiding rigid PE mandates and bridging the gap left by uninterested heirs

In Germany, the model is gaining traction: about 15–20 search funds have launched since 2009, with several successful acquisitions in 2022–2023. Yet cultural and financing barriers remain — but the momentum is clear.

Why this matters now:

🔸SME owners need thoughtful, legacy-preserving exits
🔸High-potential professionals want operational leadership — not founder-level risk

🇳🇱 Netherlands-based SearchRight Capital Partners is now entering the German Search Fund ecosystem. And so we’re on the lookout for:

🔍 Aspiring Searchers — entrepreneurial leaders ready to search, acquire and grow SMEs in Germany

🔍 Investors — with capital and strategic insight to support ambitious succession-focused ventures

👉 If you’re passionate about keeping German Mittelstand businesses thriving — whether stepping into the CEO seat or empowering others to do so — let’s connect.

www.searchright.capital