November 4, 2021 • Blog, Company Feed Highlights, News, Scale Community

ScaleCo Capital Origin Story

ScaleCo – 2018

In 2018, Mr. Anderson founded ScaleCo as a spin-out from ECP, initially focused on providing additional direct operational assistance to the ECP portfolio. Soon after, ScaleCo expanded into its own investing activities with an emphasis on a narrower geographic focus, prioritizing opportunities based in the Great Lakes-region which are easily and quickly accessible from ScaleCo’s headquarters in Cleveland, Ohio. The core philosophy revolves around recruiting highly motivated individuals to collaborate closely with our portfolio companies’ management teams. ScaleCo was established to assist Evolution companies and began investing in its first portfolio in 2020.

Evolution Capital – (2006-2018)

To invest in more companies and produce returns for a greater number of investors, in 2006, Mr. Anderson co-founded Evolution Capital Partners (“ECP”). Since inception, ECP has invested in three committed funds in 16 profitable, micro-cap companies throughout the U.S.  This vision was based on finding and supporting entrepreneurially minded individuals by providing a platform for them to transform. The Evolution model provided these individuals with capital and operating expertise to growth companies. Upon reflection of ECP’s performance and the on-going operational support and guidance these companies require, Mr. Anderson found regionally focused platform investments have outperformed those outside of the Great Lakes States.

First Business – (1998-2017)

Mr. Anderson’s entrepreneurial journey traces back to 1998 with the acquisition of Stam, Inc., a Mentor, Ohio-based manufacturing company. Sourced through an advertisement in the Cleveland Plains Dealer, Mr. Anderson partnered with an existing employee, utilized seller financing and bank debt to purchase and operate the business. This marked the initiation of his hands-on involvement in the day-to-day operations.

Chicago – (1988-2001)

ScaleCo’s founder, Brendan Anderson, began investing in 1995, when he was 29 years old. Mr. Anderson credits his start in private equity to a group of entrepreneurs from Chicago who gave him a chance to fulfill his vision by equipping him with the capital he needed to acquire a distressed industrial park through a vehicle called the Heartland Companies. In 1998, Mr. Anderson purchased Stam, Inc., a manufacturing company.

Brendan Anderson’s journey began in Chicago in 1988, where, as a commercial banker, he honed his expertise in financing small businesses. A pivotal moment came in 1996 when a group of bank customers, captivated by energetic entrepreneurs, invested in a platform led by Mr. Anderson. The venture focused on restructuring a bankrupt industrial park in Sugar Grove, IL.

By 2001, the same group established a de novo state-chartered bank in the industrial park, lending crucial support to small businesses. This period marked a collaborative effort where investors shared resources, fostering an environment open to individuals of diverse backgrounds and additional external support.