My guest today is Brent Beshore. For those that don’t know Brent from his frequent appearances on this podcast, he runs Permanent Equity Fund and has been a close personal friend for the past five years. Brent and I revisit our conversation from the heart of COVID to touch on key lessons learned and where that leaves us today. Brent sits at a unique touchpoint of the economy, so I particularly enjoyed his anecdotes on inflation and how to operate around these dynamics. I hope you enjoy my conversation with Brent.
For the full show notes, transcript, and links to mentioned content, check out the episode page here.
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[00:03:52] - [First question] - Why last year ended up being so bullish
[00:07:14] - Deal dynamics of the current landscape
[00:09:54] - Lessons learned about managing a team through the pandemic
[00:14:39] - Observations on the housing market and the pool industry
[00:18:56] - Current labor force dynamics of trades
[00:21:18] - Considering labor dependency when investing in new businesses
[00:23:10] - His perspectives on the future of tech through his investment lens
[00:25:50] - Seeking out traditional businesses that reinvent age-old frameworks
[00:27:50] - Key stages of the art and science of evaluating and acquiring a company
[00:31:45] - How much information he wants to know before making an initial offer
[00:34:25] - Psychology of structuring and aligning incentives post-acquisition
[00:37:41] - What defines a great deal negotiator
[00:40:05] - His most creative act when structuring a deal that didn’t work out as well
[00:42:17] - Hist most creative structuring act that proved useful for the upside
[00:43:34] - Notable changes in large-cap private equity markets
[00:45:41] - Skills he feels he can improve on over the coming five years
[00:48:30] - Coaching small companies on how to recruit top tier talent
[00:52:49] - How to effectively get people to say yes to job offers and openings
[00:54:19] - Absolute and relative changes in the opportunity set of small to mid-cap markets
[00:57:40] - Lessons learned from strong support networks and onramps of upward mobility