Turning Rock Partners, a New York City-based shop that closed its debut fund earlier this year at more than $400 million, plans to expand its nine-person payroll over the next 24 months by adding up to two investment professionals and a client services professional.
Managing Partner Maggie Arvedlund (pictured, second from right) said that the investment hire or hires would likely be at the junior or mid-level, although the firm is flexible. “We like to meet exceptional talent, and we can often flex up or down for the right individual,” Arvedlund said. The firm is committed to building a team with varied backgrounds. “We are a woman-owned business, and we take [diversity] seriously,” she said.
Arvedlund founded Turning Rock Partners in 2017 and was joined by two former colleagues of money-manager Fortress Investment Group. Arvedlund had been a managing director responsible for private equity and debt investments for the Fortress Partners Fund; Partner David Markus had been a managing director responsible for credit and event-driven investments; Partner, COO and CFO Saba Ahmad had been managing director and COO at the Fortress Partners Fund.
Turning Rock Partners, which is more than halfway through investing its first pool, targets what Arvedlund calls “special situations.” These are opportunities to provide structured debt and equity to lower-middle-market companies generating $10 million to $20 million of EBITDA in less cyclical industries.
“We see a persistent need for capital across the lower middle market,” said Arvedlund, pointing to the retrenchment of banks from small-company lending, as well as to the population of companies whose shareholders aren’t necessarily prepared to support plans for growth. In evaluating targets, Arvedlund said, the firm looks for such characteristics as a discounted purchase price, assets that provide adequate collateral, and a “highly defensible” source of cash flow.
What would it be like working at Turning Rock Partners? Arvedlund offered a few insights:
Corporate Culture: Collaboration, creativity and integrity–these are the three pillars of the firm’s ethos. The firm embraces them in part by hosting regular volunteer outings for employees. This summer, for example, the firm teamed up with Summer Search New York to teach local high school students from low-income families skills for succeeding in school and in their careers (see picture above).
In annual performance reviews, the firm ties compensation not just to job performance but also to how well employees support the corporate culture, such as by pitching in on projects outside of their typical scope of duties. “We promote responsible policies and practices at Turning Rock and in our portfolio companies,” added Arvedlund. “We seek to create a dynamic professional environment that attracts exceptional talent to our firm.”
Qualities Needed for Success: “We look for very disciplined and hard-working professionals who have a high degree of personal and professional integrity,” said Arvedlund. “We also look for candidates that have a commitment to collaboration across the firm, and a regard for diverse thoughts and points of view.” She added: “We encourage debate and intellectual curiosity across our team.”
Perks: The firm likes to be accommodating when employees have personal issues that require flexibility in hours or work location. Because the firm is new, junior professionals get to work directly with senior partners, advisors and members of the management teams.
How to Get on Turning Rock Partners’s radar: You can reach their executives via their Web site portal or by visiting their corporate page on LinkedIn. The firm is active in such associations as 100 Women in Finance and Girls Who Invest. It posts job opportunities on a variety of industry and association job boards, and also works with financial recruitment firm Robin Judson Partners.