North Branch Capital - STOC Advisory

NORTH BRANCH CAPITAL

STOCADVISORY

Transaction Advisory | Corporate Development | Growth Enablement

TBD: // North Branch Capital operates platforms in distribution, manufacturing, and industrial services. We've completed over 200 transactions in these sectors and understand how technical sales, supply chains, and field operations work in engineering businesses.

WHY THIS MATTERS FOR YOUR PORTFOLIO

Buy-and-Build in Industrial Markets

Running multiple platforms simultaneously means evaluating add-ons that fit strategically, completing diligence that understands the business model, and supporting portfolio companies post-close. Each sector has different economics, customer dynamics, and operational characteristics that matter for underwriting and integration.

What Generic Diligence Misses

Standard QoE templates flag customer concentration without understanding what's normal in technical distribution. They analyze recurring inspection revenue the same way as software subscriptions. They can't assess whether claims about backlog quality or margin sustainability are reasonable for the specific business model. Post-close, there's no operational support when portfolio companies need help with integration or performance tracking.

Sector Expertise in Industrial Markets

We've completed over 200 deals in distribution, manufacturing, and industrial services. We understand what normal customer concentration looks like in technical markets, how to assess working capital patterns in distribution businesses, and whether recurring service revenue is contractual or habitual. Our team includes former operators who've managed distribution branches and field service teams, so we know what drives performance beyond the financial statements.

Global team of 30+ professionals with primary offices in Baltimore, MD and Edina, MN.

SECTOR EXPERTISE IN YOUR PORTFOLIO COMPANIES

Distribution & Supply Chain

We've completed diligence on distributors serving HVAC, plumbing, industrial MRO, and specialty equipment markets. We understand the economics of branch networks, technical sales, vendor relationships, and working capital dynamics in distribution businesses.

Manufacturing & Engineering Services

Experience with custom fabrication, engineered-to-order products, and technical manufacturing. We can assess production capacity, margin drivers in custom work, and the transition from project-based to recurring revenue models.

Industrial Services & Safety

Background in compliance-driven industrial services, safety equipment, and technical installation. We understand recurring inspection revenue, certification requirements, and the difference between equipment sales and service contracts.

Field Service Operations

We've worked with businesses that dispatch technicians, manage parts inventory in trucks, and coordinate installations across multiple locations. We know the KPIs that matter: technician utilization, first-time fix rates, and parts-to-labor ratios.

CORPORATE DEVELOPMENT, DILIGENCE, AND POST-CLOSE SUPPORT

Target Identification Before Broker Marketing

By the time industrial distributors or specialty manufacturers hit the broker market, you're competing against multiple bidders and paying higher multiples.

We build target lists from trade associations, supplier networks, and public filings. For distribution platforms, that means finding regional players in adjacent markets before they're formally shopped. For manufacturing platforms, identifying custom fabricators or engineered product companies with technical capabilities that fit. You get months of runway to build relationships before competition arrives.

Sector-Specific Financial Diligence

Generic QoE providers flag issues that don't matter and miss things that do. They don't know if customer concentration is normal, whether margins make sense, or if working capital patterns are seasonal.

Our team has completed over 200 deals in distribution, manufacturing, and industrial services. We understand what normal gross margins look like across different business models, how to assess the durability of recurring service revenue, and what customer concentration means in technical markets. We identify what's actually risky versus what's standard for the sector.

Integration and Operational Support

Most advisors complete diligence and disappear. Portfolio companies are left managing integration, tracking performance, and identifying operational improvements without support.

We stay engaged after closing. Integration planning for add-ons, KPI dashboards focused on operational metrics that drive performance, and support from people who understand distribution economics and field service operations. We're there when you need to diagnose why productivity dropped or whether inventory levels are appropriate for the business model.

NORTH BRANCH CAPITAL

STOCADVISORY

Transaction Advisory | Corporate Development | Growth Enablement

THREE CORE SERVICES

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Transaction Advisory Services

Buy-side quality of earnings, working capital analysis, and revenue assessment. We complete thorough diligence that gives you confidence in the numbers and identifies operational risks before closing.

• Normalized EBITDA with sector-appropriate adjustment analysis
• Revenue quality assessment and customer concentration analysis
• Working capital trending and target calculation
• Identification of financial and operational risks
• Management representation validation against market data
• Integration of findings with your investment thesis

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Corporate Development Support

Target identification and market mapping that finds companies before they're actively marketed. We research from public sources, validate operational details, and build pipelines specific to each platform's geography and capabilities.

• Platform-specific target identification and market mapping
• Research from public data, trade associations, and industry sources
• Validation of revenue, ownership structure, and competitive position
• Geographic and capability-based filtering
• Pre-LOI coordination and preliminary assessment
• Pipeline tracking with integration into your existing CRM

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Growth Enablement Services

Post-close KPI tracking, integration support, and operational improvement for portfolio companies. Our team includes former operators who understand field service logistics, distribution operations, and manufacturing workflows.

• KPI tracking dashboards with metrics that matter for each business model
• Integration planning and execution support for add-on transactions
• Operational efficiency identification and implementation
• Commercial strategy support for revenue growth
• Financial systems and reporting improvements
• Ongoing support from team members with operator backgrounds

REPRESENTATIVE EXPERIENCE IN YOUR SECTORS

Industrial Distribution

Completed diligence on HVAC/plumbing distributors, hydraulic equipment suppliers, MRO distributors, and specialty industrial equipment companies. Experience with branch economics, vendor rebate structures, inventory management, and the transition from transactional to relationship-based sales models. Understanding of normal gross margins and working capital levels across different distribution segments.

Manufacturing & Custom Fabrication

Work across custom metal fabrication, engineered-to-order manufacturing, and specialty product assembly. Evaluated capacity utilization, labor efficiency, material cost structures, and the challenges of scaling custom manufacturing operations. Experience assessing backlog quality and the shift from one-off projects to standardized product lines.

Field Service & Installation

Supported businesses with mobile technician fleets, parts inventory management, and installation services across residential and commercial markets. Analyzed technician productivity, route optimization, first-time fix rates, and the economics of warranty work versus billable service. Understanding of seasonal revenue patterns and labor management in field service operations.

Safety & Compliance-Driven Services

Experience with fall protection, safety equipment, inspection services, and compliance-related revenue streams. Assessed recurring inspection revenue models, certification requirements, equipment rental versus sales economics, and customer retention in mandated service categories. Understanding of the difference between transactional equipment sales and high-margin recurring service contracts.

SECTOR EXPERTISE AND OPERATIONAL EXPERIENCE

Understanding Normal vs. Risk in Industrial Sectors

Most advisors missed that a hydraulics distributor with 3 major customers serving oil and gas, heavy construction, and mining is actually well-diversified because those end markets don't move together. We've seen enough industrial distribution deals to know what concentration is normal versus risky. That prevents post-close surprises when you realize customer relationships aren't as sticky as management claimed.

Operators Who've Run These Businesses

Our team includes people who've managed distribution branches, run field service operations, and overseen manufacturing facilities. When we're reviewing a fall protection company's financials, we know to ask about technician certification costs, equipment inspection cycles, and whether their "recurring revenue" is actually contractual or just habitual. That's not something you learn from templates.

Capacity for Concurrent Deals

Buy-and-build strategies require evaluating multiple add-ons simultaneously across different platforms. We're staffed to handle concurrent deals without dropping quality. When you're running diligence on a distribution acquisition while also evaluating a manufacturing add-on and supporting an integration, you need a partner with the depth to manage all three well.

Engagement Beyond Closing

After closing, portfolio companies need help with KPI tracking, integration execution, and operational improvements. Not generic consulting that costs $50k per month, but practical support from people who understand field service logistics or distribution branch economics. We stay engaged because that's when you actually create value, not just at closing.