Mainstreet Capital Fund I
Mainstreet Capital Fund I is designed to generate strong monthly cash distributions and long-term equity appreciation by acquiring and operating recession-resistant, high-margin small businesses across the U.S.
Our strategy focuses on essential industrial services, legacy founder-led businesses, and B2B companies with recurring revenue, where operational modernization and ownership transition unlock immediate value.
Fund strategy
Mainstreet Capital Fund I is designed to deliver long-term, cash-generating returns from a diversified portfolio of high-margin, recession-resilient small businesses with entrenched B2B customer bases.
The fund primarily invests in industrial and service-based businesses across business-friendly states like Texas and Florida, with a focus on founder-owned companies facing generational transitions. Our strategy targets sectors where operational modernization and centralized platform integration can rapidly unlock value.
- Blue-collar backbone businesses : We target industrial service providers like G&C Contracting—profitable, founder-led companies with skilled labor forces and essential roles in America's energy, infrastructure, and logistics ecosystems. These businesses often fly under institutional radars but offer stable recurring revenue, high EBITDA margins, and strong customer retention through multi-year Master Service Agreements (MSAs).
- Succession-driven acquisitions : Many small business owners are approaching retirement without clear succession plans. We acquire these companies outright and retain institutional knowledge through structured transitions, often with seller financing. This approach minimizes execution risk and preserves client relationships while enabling value creation through professionalized ownership.
- Operational modernization : We improve acquired businesses by centralizing HR, payroll, analytics, and CRM operations, upgrading tech stacks, and optimizing pricing and staffing models. Our operational playbook is designed to compound cash flow while preserving the culture and customer trust these companies were built on.
- Low entry multiples, high cash flow : We seek sub-4x AEBITDA acquisition multiples in markets with limited buyer competition. Our targets typically require minimal ongoing capex, offer working capital self-sufficiency, and allow for strong free cash flow distributions from day one.
- Geographic edge : The fund's initial focus includes underserved regions of Texas and the Gulf Coast, where industrial demand is growing but valuations remain attractive. These areas also benefit from favorable labor pools, logistics infrastructure, and regulatory environments.
- Opportunistic roll-ups : Where strategic, we will pursue vertical consolidation—acquiring adjacent businesses in the same service niche to build regional market share, drive purchasing power, and improve route density.
Mainstreet Capital Fund I is structured as a non-diversified, closed-end fund operated as a pooled NAV vehicle with quarterly liquidity windows and monthly distribution targets.
Hypothetical growth of $10,000
How it works
The Mainstreet Interval Fund is designed to provide monthly income and long-term wealth creation through direct ownership in high-margin, cash-flowing businesses across recession-resistant industries.
We pool investor capital to acquire, operate, and improve small businesses, distributing profits regularly and compounding returns over time.
- Accessible investing: Investors can get started with as little as $500. Funds are pooled into a diversified portfolio of established, privately held businesses—no picking individual companies required.
- Direct ownership in operating companies: We acquire small businesses with strong fundamentals, experienced teams, and retiring owners. Our internal team then oversees operations, modernizes systems, and scales revenue through operational improvements.
- Monthly distributions: As our businesses generate profits, we pay out a portion of free cash flow to investors on a monthly basis—similar to dividends. These distributions are designed to provide consistent, passive income.
- NAV-based structure: The fund calculates Net Asset Value (NAV) monthly, factoring in both operating performance and asset appreciation. This value determines each investor's share of distributions and provides transparency on performance.
- Reinvestment and growth: Investors can choose to reinvest distributions, compounding returns over time. As the fund grows through new acquisitions and business improvements, long-term value appreciation can complement monthly income.
Assets
Acquisition in Progress
We are currently in the process of acquiring our first asset. Due to confidentiality agreements, we cannot disclose specific details at this time. This acquisition aligns with our strategy of targeting essential industrial services and legacy founder-led businesses.
Invest in real businesses. Earn real returns.
The Mainstreet Interval Fund gives you access to the kind of private business ownership once reserved for institutional investors and insiders. Backed by operational expertise, designed for monthly income, and built for long-term growth.