patterns / partner_squeeze

credit thesis

Partner buyout squeeze

a ≥25% partner ceased within ~2.5 years and cash fell ≥30% — the company likely bought the partner out of its own pocket; fundamentally sound, drained by the exit — refinance the buyout

the signature — what the register must show
a ≥25% individual owner ceased within ~2.5 years
cash ≤70% of the prior year
staff ≥5

Why it matters

The company most likely bought a partner out of its own pocket — the ownership history shows the exit, the balance sheet shows the drain. Fundamentally sound, temporarily bloodless.

The play

Refinance the buyout: replace the cash the exit consumed with structured debt. The remaining owner just proved they want the business.

How it's kept honest

The badge is recomputed nightly across the whole index, and re-evaluated live the moment a company files — so a match is always a statement about the current register, not a stale list. Like every signal on the radar: a prompt to look closer, never a verdict.