Durational Capital Management

Durational Capital Management is a private equity firm founded in 2017 that specializes in concentrated consumer investing across North America. The firm focuses exclusively on the consumer sector, providing flexible investment solutions and active partnership to consumer businesses that demonstrate a clear competitive advantage, or what the firm describes as a "right to win." With over $800 million in assets deployed, Durational has established itself as a differentiated player in consumer-focused private equity through its concentrated portfolio strategy and hands-on operational involvement.

The firm targets investments ranging from approximately $100 million to $400 million, spanning five primary consumer subsectors: Restaurants & Franchisors, Food & Beverage, Consumer Services, Sports and Live Events & Leisure, and Consumer Technology. This deliberate subsector focus allows the investment team to build deep domain expertise and source proprietary deal flow within segments where they have established relationships and operational knowledge.

Durational's investment approach is defined by concentration rather than diversification. By maintaining a carefully curated portfolio, the team is able to dedicate significant time and resources to each portfolio company, working directly alongside management to drive long-term value creation. This active partnership model goes well beyond capital provision, encompassing strategic guidance, operational support, and access to a network of experienced Operating Executives.

In terms of transaction structures, the firm offers flexibility through leveraged buyouts, growth equity, and structured equity solutions. This breadth of deal structures enables Durational to tailor partnerships to the specific circumstances and needs of individual businesses, whether that involves a full buyout, minority growth investment, or a more complex structured arrangement designed to address unique shareholder or balance sheet considerations.

Notable portfolio investments include Bojangles, the prominent restaurant chain, and Garage Beer, reflecting the firm's appetite for both scaled consumer brands and emerging growth businesses. Testimonials from portfolio company CEOs highlight Durational's deep sector knowledge, alignment with management, and meaningful time commitment as key differentiators from traditional private equity sponsors.

The firm was co-founded by Eric Sobotka, formerly a portfolio manager at Eminence Capital, and Patrick Khayat, formerly of The Carlyle Group and Apax Partners, both of whom bring extensive consumer sector investing experience. The broader investment team includes professionals with backgrounds at leading institutions such as The Carlyle Group, J.P. Morgan, Morgan Stanley, and Harvard Business School, further underscoring the firm's institutional pedigree and consumer sector specialization.