List of Top Search Funds (2025-2026)

Search funds have become one of the most practical ways for aspiring entrepreneurs to step into ownership and lead established companies.

This guide highlights the top search funds to watch this year, and explains how the model works, plus what makes these organizations stand out in today’s growing search fund community.

What Is a Search Fund?

A search fund is an investment vehicle where an entrepreneur raises capital from investors, family offices, and high-net-worth individuals to identify, acquire, and operate a business. Instead of starting a company from scratch, the entrepreneur, known as a search fund entrepreneur, searches for an established, profitable company that’s ready for succession.

Most funds target medium-sized businesses with steady revenue, recurring customers, and a proven record of success. These companies often lack a clear succession plan, making them ideal for acquisition by a motivated operator.

Read: Search Funds: The Ultimate Guide

Two Common Search Fund Models

Traditional Search Fund

In a traditional search fund, the entrepreneur raises small amounts of equity capital from investors to finance the search process. Once a target business is identified, those same investors often provide the acquisition capital to complete the purchase.

This model allows the searcher to focus on finding the right company while building relationships with seasoned investors who guide the acquisition.

Self-Funded Search

In a self-funded search, the entrepreneur uses personal savings or outside loans to finance the search independently. While this approach carries a higher personal risk, it allows greater ownership and control once the business is acquired.

Here, searchers are often former executives or experienced professionals who value independence and want to maintain a higher share of the acquired company’s equity.

Read: Understanding Traditional Search Fund And How It Differs From Self-Funded Search

Comparison: Traditional vs. Self-Funded Search Funds

Note: The difference between a traditional and a self-funded search fund lies in ownership and risk. Traditional funds rely on investor capital and mentorship, while self-funded models offer independence but require personal financial commitment.

Why This Model Works

The search fund model works because it creates a win-win partnership between entrepreneurs and investors.

For entrepreneurs, it offers a direct path to business ownership without needing to build a company from the ground up. They get the chance to lead a profitable, established business with guidance from experienced investors who provide capital, mentorship, and strategic expertise.

For investors, it’s an opportunity to put capital into stable, cash-flowing lower-middle-market companies that are already proven in the market. Rather than betting on early-stage startups, they invest in businesses with reliable customers, solid earnings, and room for sustainable growth.

According to the Stanford Graduate School of Business 2024 Search Fund Study, the average internal rate of return (IRR) for search funds in the U.S. and Canada is 35.1%. This finding demonstrates how the search fund model consistently delivers strong long-term results for both entrepreneurs and investors.

This model works because:

1. Proven Track Record

Top funds publish real data on their portfolio, investment returns, and acquisition activity. They have completed multiple deals and show clear growth in their portfolio.

2. Strong Support for Entrepreneurs

These funds don’t just invest, they support entrepreneurs with mentorship, operating guidance, and access to experienced board members, deal partners, and peer networks.

3. Industry-Agnostic Focus

Most top firms are industry agnostic, investing across software, manufacturing, healthcare, and service-based businesses. The goal is to identify stable, cash-generating companies rather than chase trends.

4. Long-Term Commitment

Unlike traditional private equity firms that focus on short exits, top search funds often favor long-term growth. Their operators and general partners take an active role in day-to-day operations.

Note: Not all search funds operate the same way. The top-performing ones share a few traits that separate them from smaller groups or one-time operators.

Read: Search Fund vs. Private Equity: Differences & What to Know

List of Top Search Funds (2025–2026)

Below are some of the leading organizations and investment firms active in the search fund space today. Each supports entrepreneurs, funds acquisitions, and helps them operate profitable portfolio companies.

List of Search Funds

1. Pacific Lake Partners

Founded: 2009

Headquarters: Boston, MA

Pacific Lake Partners is one of the most recognized names in the search fund community, known for its deep involvement in entrepreneurship through acquisition. The firm doesn’t just provide capital, it acts as a long-term partner for entrepreneurs seeking to acquire and operate established businesses. Its goal is to help new CEOs succeed by combining funding with hands-on mentorship and operational guidance.

Here’s what sets Pacific Lake Partners apart:

• Works with both traditional and self-funded searchers.
• Has a portfolio of more than 100 acquired companies.
• Offers hands-on coaching and direct access to board members and partners.
• Known for its educational programs and long-term approach to business success.

2. Relay Investments

Founded: 2011

Headquarters: Boston, MA

Relay Investments stands out as one of the few firms fully devoted to the search fund model. Unlike many traditional investors, Relay focuses exclusively on helping search fund entrepreneurs succeed on a global scale. Its broad international reach allows it to fund entrepreneurs and small businesses across multiple regions, creating a strong, interconnected search fund community.

Here’s why Relay Investments has become a leading name in ETA:

• Provides both acquisition capital and long-term operational support, helping entrepreneurs from deal sourcing to company growth.
• Holds one of the largest search fund portfolios worldwide, proving its experience and consistency in the field.
• Invests across industries such as technology, healthcare, logistics, and professional services to diversify opportunities.
• Partners closely with searchers post-acquisition, offering mentorship that drives real, measurable growth.

3. Search Fund Accelerator (SFA)

Founded: 2015

Headquarters: Boston, MA

Search Fund Accelerator (SFA) combines investment with hands-on training, mentorship, and peer learning. Unlike most funds, SFA acts as both a capital source and a structured development program for new entrepreneurs. Its mission is simple: to guide first-time operators through every step of entrepreneurship through acquisition, from identifying a target business to running it successfully.

Here’s what makes SFA unique:

• Provides a full advisory team of analysts, operators, and mentors.
• Delivers structured education and peer-learning sessions.
• Acts as a central network hub for first-time searchers looking to acquire and operate medium-sized businesses.
• Promotes collaboration among entrepreneurs and investors.

4. Anacapa Partners

Founded: 2010

Headquarters: California

As one of the earliest firms in the U.S. focused on backing entrepreneurs through acquisition, Anacapa Partners has played a major role in shaping the modern search fund ecosystem. The firm combines patient capital with deep operational involvement.

Here’s why Anacapa Partners remains a respected name in the space:

• Invests in small businesses with stable cash flow and growth potential, creating reliable opportunities for long-term ownership.
• Works directly with CEOs to improve operations and strategy
• Encourages steady, data-driven management over risky short-term gains.
• Maintains an open-door approach for new searchers seeking capital, mentorship, and practical guidance.

5. Broadtree Partners

Founded: 2017

Headquarters: Charlotte, NC

Broadtree Partners operates as a hybrid between a search fund and a private equity firm, bringing the best of both worlds to its entrepreneurs. The firm’s structure allows searchers to leverage shared operational systems, expert advisors, and financial support.

What makes Broadtree Partners effective for entrepreneurs:

• Supports operators who want to own and lead established businesses, not just manage them.
• Specializes in service and manufacturing sectors.
• Provides both acquisition capital and post-acquisition frameworks.
• Fosters collaboration and process improvement.

6. Chenmark Holdings

Founded: 2015

Headquarters: Portland, ME, and Canada

Chenmark takes a long-term approach to small business ownership, operating as a permanent-hold company rather than a traditional fund. Its philosophy is simple: build a family of great businesses that will last for generations. By focusing on steady growth and operational excellence, Chenmark has earned a strong reputation in both the U.S. and Canadian search fund community.

Here’s what defines Chenmark’s success:

• Focuses on long-term growth instead of short-term exits, prioritizing lasting value.
• Operates across industries, including landscaping, marine services, and hospitality.
• Helps leaders build careers in small business management.
• Maintains a close internal network of partners and operators who share knowledge and resources across the organization.

7. Endurance Search Partners

Founded: 2019

Headquarters: New York, NY

Endurance Search Partners bridges the gap between capital and education. The firm’s mission is to empower both self-funded and traditional search fund entrepreneurs through access to knowledge, networks, and investor introductions. Endurance focuses on building confidence and capability in new operators before and after they acquire a business.

Here’s how Endurance Search Partners supports the ETA ecosystem:

• Offers mentorship and business coaching to help searchers navigate every step of the process.
• Connects entrepreneurs with investors and lenders.
• Provides curated resources, data, and community tools.
• Encourages career growth in entrepreneurship through acquisition.

8. NextGen Growth Partners (NGP)

Founded: 2016

Headquarters: Chicago, IL

NextGen Growth Partners (NGP) is a professionalized investment platform designed to back talented entrepreneurs who want to acquire and operate medium-sized companies. By combining private equity expertise with ETA flexibility, NGP gives searchers the structure, resources, and mentorship needed to scale their businesses successfully.

Here’s why NGP stands out:

• Integrates capital, training, and operations into one program.
• Collaborates with experienced business leaders and independent sponsors.
• Guides entrepreneurs through acquisition, evaluation, and integration.
• Promotes diversity and inclusion within the next generation of ETA leaders, expanding opportunities across backgrounds.

Read: Top 20 Search Fund Investors (And What You Need to Know)

How Top Funds Support Entrepreneurs

Leading funds do more than write checks. They also support entrepreneurs through every stage of their journey. Here’s how they help searchers turn into successful operators:

Mentorship and Guidance

The best search funds believe that success starts with strong mentorship. They connect entrepreneurs to seasoned board members, deal partners, and general partners who’ve already built and managed businesses successfully. This kind of support helps searchers avoid common mistakes, improve decision-making, and develop the leadership skills needed to acquire and operate small businesses effectively.

Capital and Access

Raising acquisition capital is one of the biggest challenges for new operators, and top funds make that process easier. They introduce entrepreneurs to family offices, private investors, and institutional backers interested in search fund deals. These relationships open the door to better financing options, stronger partnerships, and access to existing portfolio companies that can serve as valuable examples for growth.

Operational Support

Once a company is acquired, execution becomes the priority, and that’s where operational guidance comes in. Leading funds provide practical resources such as financial management frameworks, HR systems, and customer success playbooks that help entrepreneurs scale confidently. Many also offer shared data dashboards for performance tracking and assist with recruiting leadership teams, ensuring that new operators can focus on long-term growth and stability.

Trends in the Search Fund Community

The search fund community is expanding faster than ever. A few clear trends define the current stage:

Self-Funded Growth: More operators are funding their own searches to maintain independence.

Cross-Border Deals: Activity is increasing in Canada and Europe as networks expand.

Family Office Partnerships: More family offices are collaborating with independent sponsors on direct acquisitions.

Long-Term Ownership: Operators now prioritize long-term growth and sustainable business operations over rapid exits.

Broader Access: Programs and accelerators are making ETA accessible to more diverse and first-generation entrepreneurs.

How to Get Involved in the Search Fund Model

Becoming a Search Fund Entrepreneur

To start your own search fund, you'll need to secure acquisition capital, either through an investment firm, family office, or independent sponsor. After that, the focus is on identifying suitable businesses that align with your vision for long-term growth. Here's a step-by-step guide:

1. Secure Capital: Start by raising funds from investors who are interested in supporting your acquisition. This could involve presenting your plan to family offices, investment firms, or high-net-worth individuals.
2. Search for Companies: Once you’ve secured funding, the next step is to search for businesses that match your criteria. Focus on medium-sized businesses with growth potential.
3. Acquire the Company: After identifying a suitable target, negotiate the terms of the acquisition and finalize the deal.
4. Operate the Business: Take on the role of the operator and work towards growing the business through strategic acquisitions, operational improvements, and market expansion.

Investment Opportunities for Business Leaders

For investors, there are various ways to get involved in the search fund model. Whether you're a high-net-worth individual, a family office, or an investment firm, search funds offer an attractive way to deploy capital into businesses that have strong growth potential.

Investment Roles: Investors can take on the role of limited partners (LPs), where they provide funding for deals, or general partners (GPs), where they become involved in the operations and management of the acquired company.

Why Invest: Search funds offer opportunities to invest with a proven management model and the potential for significant long-term returns.

The Future of Search Funds

Trends and Emerging Opportunities

The search fund model continues to evolve. More entrepreneurs are exploring this model as a way to acquire businesses in industries such as healthcare, technology, and consumer goods. As the model becomes more mainstream, the future of search funds looks promising for both entrepreneurs and investors.

Search Fund Growth and Investment Forecasts

As more investors and entrepreneurs understand the value of search funds, we can expect to see more capital flowing into this space, especially in North America and Europe. Data shows that search funds are attracting more high-net-worth individuals and institutional investors, which will further drive the growth of the search fund model.

5 Expert Tips for Aspiring Search Fund Operators

Master the Search Fund Basics

Before starting a fund, learn how the search fund model works. Understand how entrepreneurs raise equity capital, source deals, and acquire and operate a business. Your first search should be more than a transaction; it’s your training ground for long-term growth.

Build a Strong Support Network

Join the search fund community and connect with investors, deal partners, and operators. Collaboration opens doors to better acquisition opportunities, mentorship, and industry insight that can shape your career and future business success.

Treat the Search Phase as Real-World Training

The search period is where you learn the most. Study industries, speak with owners, and analyze each business carefully. Every conversation improves your ability to identify and lead the right company for acquisition.

Prioritize People and Operations Post-Acquisition

Your results depend on leadership, not spreadsheets. After buying a business, focus on your team, build trust, and strengthen operations before chasing growth. A motivated workforce and stable systems are key to long-term stability.

Think Like a Long-Term Owner

Top search fund entrepreneurs build companies for the future, not for quick exits. Whether backed by family offices or investment firms, focus on creating durable value for all stakeholders. Real success comes from stewardship, not short-term profit.

The Bottom Line

Search funds have become a part of the entrepreneurial landscape, offering aspiring entrepreneurs and investors a unique way to acquire and operate small to medium-sized businesses. Whether you're interested in starting your own search fund or investing in one, the opportunities for growth and success are substantial.

The search fund community continues to expand, with more platforms, investors, and entrepreneurs joining the model every year. By staying informed and connected with the search fund community, you can position yourself for success in this exciting field.

Ready to Take the Next Step in Exploring Search Funds?

If you’re serious about entering the world of entrepreneurship through acquisition, now’s the best time to start. Contact our expert coaches to connect with mentors, investors, and experienced search fund entrepreneurs. Get personalized coaching, insider resources, and step-by-step guidance to help you launch and grow your acquisition career.

You can also download our proven cold outreach templates designed specifically for search fund roles. These are the exact frameworks top candidates use to secure interviews with investors and operators.

• The Ultimate Cold Outreach Template
• Cold Outreach Template
• Email and LinkedIn Networking Templates for Outreach

Read next:

• How to Start a Search Fund — The Ultimate Guide
• The Top 10 Search Fund Accelerators (2025)
• How to Run a Self-Funded Search Fund (2025)
• Independent Sponsor vs. Traditional Search Fund: Differences & What to Know
• Search Fund vs. Private Equity: Differences & What to Know

FAQs

What are the Big 3 hedge funds?

• The Big 3 hedge funds are Bridgewater Associates, Renaissance Technologies, and Man Group, all known for their scale, investment expertise, and high-value global deals.

What are the top 100 hedge funds?

• The top 100 hedge funds include large firms like Bridgewater, Citadel, BlackRock, and Millennium Management. They manage billions in assets and specialize in complex investment deals across global markets.

How much money do you need for a search fund?

• Starting a search fund usually requires $300,000 to $500,000 in capital to cover the search phase, with total acquisition deals often ranging from $5 million to $30 million, depending on the industry and investor expertise.

What is an example of a search fund?

• A good example of a search fund is Pacific Lake Partners, which helps entrepreneurs find, acquire, and operate established businesses through investor-backed deals and ongoing mentorship expertise.