Private Equity Branding Guide for New Firms

Starting a new private equity firm, whether a start-up or a spin-out, is most commonly initiated by a person or a group of people leaving their current employment to branch out independently.

Drawing lessons from the history of private equity, many of today’s renowned firms were born from such departures from investment banks or industry giants like Blackstone.

Firms such as these, which began as ventures of ambitious individuals, have now grown to be among the world’s largest.

Over the years, we have had the privilege of partnering with 20 to 30 of these firms, playing a small part in their early stages of maturation.

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Private Equity Branding Challenges for Start-Ups and Spin-Outs

Typically, individuals striking out independently face immediate challenges when they approach branding.

They often dive straight into their first fundraiser, a considerable task whether or not they already have anchor investors lined up.

Without a demonstrable track record or financial backing, a first fundraiser is typically more challenging than the second, third, or fourth.

Many founders at this stage are bootstrapping, handling every expense out of their own pockets as they work from a blank slate regarding branding and materials.

The tasks can be daunting, from framing their brand message to producing critical documents like fundraising and marketing materials, creating a website, and developing a visual brand identity.

Not to mention, human resources tend to be scarce at this stage.

Private Equity Branding Opportunities for Start-Ups and Spin-Outs

While private equity marketing and branding present challenges for new firms, this fresh start has advantages, too.

Smaller Team Structure

Working with private equity start-ups and spin-outs can be both exciting and challenging.

A smaller team structure often means that decision-making is faster, and there is less need for consensus-building among various departments or stakeholders.

Most of the time, the key executives, perhaps one to three individuals, are our primary contacts.

They generally have a solid idea of what they want, often having settled on a name for the firm and a vision for the next three to five years.

Our role is to help them articulate their vision, establish messaging, and develop a visual brand identity.

Brand Flexibility

Start-ups or spin-outs may not have the same content options as larger firms. For example, they may not have a portfolio or a large team to feature on their website.

Track record is always a question:

How do you describe a pre-fund track record?
Has attribution been granted from a prior firm?

A spinout’s visual brand expression often takes on a more abstract direction, relying on custom-created visual assets or stock imagery to communicate the firm’s philosophy or purpose through a visual metaphor.

This flexible approach allows the brand identity to evolve as the firm grows and matures. It also avoids the need for assets such as portfolio company imagery, which may not exist at this stage.

Customized Support

Our partnership brings to light numerous opportunities for start-ups and spin-outs.

We offer comprehensive support in their foundational phase, addressing the critical needs for brand development, marketing strategy, and support toward workflows that typically fall under investor relations.

We also provide bespoke private equity branding services tailored to each company’s unique situation and objectives.

Our expertise helps these firms navigate initial challenges, streamline processes, and position themselves strongly in the competitive landscape.

When they leverage our resources and experience, these new ventures can focus more on their core business activities and less on the challenges of building a strong market presence.

The Process: Private Equity Branding for New Firms

Next, let’s take a closer look at the steps involved in the private equity branding process that are unique to new firms.

1. Logo Design

Creating a brand identity is a big part of the new firm's journey.

Branding starts with logo design. Your logo should give viewers an immediate sense of who the firm is and what it stands for.

It should also be versatile enough to accommodate various website layouts and other marketing materials.

These marketing materials include:

Brochures
Business cards
Signage

2. Consistent Brand Identity

Brand identity should be consistent across all marketing materials.

A style guide is created to ensure the private equity firm's website and other collateral use the same colors, fonts, logos, and other visual elements.

This maintains a level of uniformity that establishes trust with stakeholders.

Expanding Brand Identity

Brands also need room to grow and evolve. As a firm matures, brand identity should reflect this progress.

This could include new messaging or visual elements and changes to an existing logo design. Firms must consider how branding can continue to develop over time and how it can communicate their progress.

Brand Identity: More Than Aesthetics

Finally, creating a brand identity is not just about making something aesthetically pleasing – it’s an exercise that impacts all aspects of a firm’s business.

Branding provides direction on how to communicate information effectively, how to position a company in the market, and even how certain decisions are made.

Private Equity Branding for New Websites

Every new manager needs a website, which should differ from a long-tenured manager's.

For a new manager:

The website usually doesn’t feature a comprehensive portfolio or a large team
The history and news sections are usually minimal

With that in mind, we often recommend a single-scroll website for newer managers.

This approach for new private equity websites is faster, less expensive, and takes less time to build than a full-fledged site with multiple internal pages.

A splash page can be a good alternative for managers needing an even quicker solution.

This is a single pane of branded information featuring the firm's name, logo, image, and contact information. It provides a valuable online presence, while more comprehensive website development can happen later.

Branding for New Private Equity Investor Presentations

Investor presentations are a critical fundraising component for all funds, including start-ups and spin-outs. They are the first formal introduction of the private firm’s vision, strategy, and business model to potential investors.

These presentations must be crafted with careful consideration and an understanding of the firm’s unique selling propositions.

In the early stages, private equity start-ups and spin-outs often lack a comprehensive portfolio or a substantial track record.

As such, these presentations must illustrate the firm’s future potential and the team’s prowess and experience. They should explain how the firm plans to create value for investors.

The presentation should be:

Visually appealing and easy to understand
Avoiding excessive jargon—focus on key messages
Full of credibility and professionalism—this is the firm’s first opportunity to earn investors’ trust and confidence.

A well-crafted presentation can significantly aid in securing crucial funding to propel the firm toward strategic goals.

Empowering New Private Equity Firms with Branding: Darien Group’s Mission

Starting (and growing) a private equity firm is an exciting and sometimes challenging journey. With a unique understanding of the needs of start-ups or spin-outs, we equip them with the right tools to succeed on their path.

Darien Group strives to bring these new ventures one step closer to reaching their goals and redefining the private equity branding industry.