Veritext has become synonymous with the private equity (PE) model. It’s a model of buying, holding, and flipping companies for profit, often on a ten-year timeline, and occasionally loading the company up with debt via a leveraged buyout. Private equity companies seek out fragmented markets, seek a company in that market, and begin consolidating by buying up or merging with other companies in the business.
Court reporting itself is fragmented and the market is worth about $3 billion. Maybe 3,000 or 4,000 firms fight over that $3 billion and most of the money ends up going directly to stenographers. We’re in Jeffrey Hooke’s Myth of Private Equity book. That’s how cookie cutter this PE model is.
Succinctly, many of our agency owners are getting older. There’s nothing wrong with them selling to Veritext or any other company with big money.
What we must realize as a field is that big money only translates so well to big power. Big money is concerned with siphoning more money to the bottom line. People like me support the workers that make that bottom line possible. Put it this way. If you were facing murder charges, would you want $100 or 100 minds working on your case? This is why every dollar donated to me moves mountains versus digital court reporting’s decades-long “investor money bonfire.” Most of our money goes back into reinforcing our education and skills. Most of theirs goes into marketing. This means that any consumer actually looking at the facts is picking stenography.
Selling to Veritext? Enjoy the money. Feel free to shoot lots of information over to the stenographic free press. Contact@Stenonymous.com.