Preview case

Click Preview case to review the first page of this case

Main case

ProPay Ltd (A)

By Keith Willey


Rick Stein gazed out at Propay Ltd’s car park where his fifteen-year-old car now languished.A year ago ProPay’s previous owner parked his Maserati in the exact same spot – a contrast that seemed oddly symbolic of Rick’s current predicament. He had bought the payments gateway business after raising a Search Fund from a number of private investors and with a plan to improve what he perceived to be an ‘undermanaged’ business. A few months later it had become apparent that more funding was needed. He returned to his financial model to consider his position…

Learning objectives

  1. Understand how Search Funds, which are used almost exclusively by MBAs from top business schools, work.
  2. Highlight the criteria needed to buy a business using a Search Fund and what drives returns.
  3. Illustrate the factors that might create additional risk for the venture.
  4. Understand how to integrate management action with financial performance and investor returns.


Publication Date: January 2018
LBS Case Code: CS-18-021
Subjects: , ,
Pages: 13
Format: pdf