Editor’s Choice: My Favorite MMG Content of 2018

In our year-end Middle Market Growth weekly newsletter, we’re highlighting our most popular articles and podcasts of 2018. We used objective metrics—clicks, downloads, social media shares—to compile the list. Here I’m adding to those data-driven selections with a purely subjective take on my favorite podcast episode and MMG story of the year.

Both were originally published in July, but they remain relevant five months later. If you missed them this summer, now’s your chance to catch up. And if there’s an MMG story or a podcast episode you think we overlooked, I’d love to hear about it.

Favorite Podcast

Dr. Ronit Molko on Investing in the Autism Services Industry
July 31, 2018
Also available in Apple Podcasts and Google Play

Of the 29 episodes of the Middle Market Growth Conversations podcast we released this year, one that stands out for me is my interview with Dr. Ronit Molko, a clinical psychologist and the founder and principal of Empowering Synergy, which advises private equity investors about the autism services industry.

I learn something new from everyone I speak to, but this particular conversation delved into an industry I knew very little about and shined a light on the impact private capital can have on people’s everyday lives.

Demand for autism behavior services is increasing as the number of autism spectrum disorder diagnoses continues to rise. Investors have an opportunity to support this relatively young industry—one in need of capital and operational expertise. “There’s a huge need to improve the quality and outcome of services,” Dr. Molko told me.

Leveraging technology to improve efficiency and prevent against fraud—a rampant problem in the industry—and consolidating a fragmented market are among the ways that PE investors can help provide better services to autistic clients and their families.

Favorite Magazine Story

Succession Planning: The Thorny Conversation No GP Wants to Have
By Bailey McCann
Featured in the July/August issue of MMG

A discussion on the sidelines of the Kayo Women’s Private Equity Conference was the spark for my favorite MMG story of the year. A principal at a private equity firm remarked that she was curious to hear more about LPs’ perspectives on succession planning in the middle market.

The topic was a natural fit with our July/August 2018 print issue themed around “Serving the Aging Demographic.” Middle-market private equity is a relatively young industry and it’s only starting to face an age-old dilemma: how to transfer control to the next generation.

In her article, writer Bailey McCann explored the specific challenges that middle-market PE shops face when planning for succession, and limited partners’ perspective on transitioning leadership.

Firms that fail to outline a clear succession plan risk losing talented professionals, a consequence with a historical precedent, Bailey noted. “Many middle-market firms were established by founders who left large leveraged buyout firms because there wasn’t an opportunity to take on a leadership role. Today, many junior partners in the middle market may feel the same way.”