Tracy Britt Cool, a former protege of Warren Buffett at Berkshire Hathaway, has embarked on a new venture with her private equity firm Kanbrick. Kanbrick focuses on acquiring midsize companies with earnings between $5 million to $50 million in various industries. Cool’s approach mirrors that of Buffett’s, with an emphasis on family or founder-owned businesses with a competitive advantage and long-term potential. However, unlike Buffett’s hands-off management style, Cool takes a more involved approach in guiding company leaders through strategic decision-making.
Recognizing the lack of resources for midsize companies looking to grow, Cool established a community program at Kanbrick. This program brings together outside CEOs twice a year to work through challenges and refine their business strategies. With a focus on sharing resources and knowledge, the program aims to support CEOs and owners in taking their companies to the next level. Participants in the program have included CEOs from companies like Elite Roofing Supply, Ring Concierge, and Evoke Medical.
Buffett Influence and Investment Philosophy
Cool’s time working closely with Warren Buffett undoubtedly shaped her investment philosophy. Drawing inspiration from the Oracle of Omaha, Cool seeks out companies that align with Kanbrick’s values and growth strategy. Despite her departure from Berkshire Hathaway, Cool continues to maintain a close relationship with Buffett but prefers to keep the details private. Cool’s annual letter to her partners not only discusses Kanbrick’s business but also provides insights into the broader market environment.
One of Kanbrick’s notable acquisitions was JM Test Systems, a third-generation family business specializing in calibrating industrial equipment. This acquisition exemplifies Kanbrick’s approach to partnering with families committed to growing their business while seeking additional support. Cool’s strategic vision for Kanbrick involves identifying opportunities for growth and collaboration within the midsize business landscape.
Tracy Britt Cool’s journey from Berkshire Hathaway to founding Kanbrick showcases her commitment to supporting midsize companies on their path to growth and success. By building a close-knit community and drawing on lessons learned from her time with Warren Buffett, Cool is reshaping the way midsize businesses approach investment and strategic development. With an eye toward long-term sustainability and partnership, Kanbrick is poised to make a lasting impact on the midsize business landscape.