Introducing Galaxi Group
In the world of small business acquisitions, finding the right capital partner can make or break your deal. While large private equity firms dominate the headlines, a growing number of family offices and independent sponsors are quietly funding some of the most compelling SMB transactions in the country. Galaxi Group, a family office based in San Rafael, California, is one of these under-the-radar players that deserves your attention.
Galaxi Group operates as both a family office and an independent sponsor, focusing on acquiring good companies and pairing them with capable people. Their approach is rooted in a simple belief: when you combine a solid, well-run business with a talented, motivated operator, great things happen.
For acquisition entrepreneurs — especially self-funded searchers looking for equity partners to help close SBA-financed deals — Galaxi Group represents exactly the kind of flexible, aligned capital partner that can turn a promising opportunity into a closed transaction.
What Is a Family Office, and Why Does It Matter?
Before diving deeper into Galaxi Group, it is worth understanding what a family office is and why they are increasingly important in the SMB acquisition space.
A family office is a private wealth management firm that manages the investments and financial affairs of a single wealthy family or a small group of families. Unlike institutional private equity funds, family offices have several distinct advantages:
- Patient capital: Family offices are not bound by the typical 5-7 year fund lifecycle. They can hold investments indefinitely, which aligns perfectly with the “buy and hold” philosophy of most search fund entrepreneurs.
- Flexible deal structures: Without the rigid mandates of institutional LPs (limited partners), family offices can structure deals creatively — exactly what you need when putting together an SBA-financed acquisition.
- Relationship-driven: Family offices tend to invest based on relationships and trust, not just spreadsheets and financial models. For a first-time buyer, this personal approach can be invaluable.
- Fewer bureaucratic hurdles: Decision-making is faster and more streamlined. When you are racing to close a deal before your SBA loan commitment expires, speed matters.
Galaxi Group embodies all of these family office advantages while bringing additional expertise as an independent sponsor with a track record of successful SMB acquisitions.
Galaxi Group’s Investment Philosophy
Galaxi Group’s investment philosophy centers on two core principles: good companies and capable people.
Good Companies
Galaxi Group looks for businesses that share common characteristics of durability and value:
- Essential services or products that customers need regardless of economic conditions
- Recurring revenue or highly predictable customer demand
- Strong competitive positioning within their local or niche market
- Proven track record of profitability over many years
- Loyal customer bases built through years of excellent service
Capable People
Equally important to Galaxi Group is the operator — the person who will run the business day-to-day after the acquisition. They look for:
- Leadership experience: A track record of managing teams and driving results
- Industry knowledge: Either direct experience in the target industry or transferable skills that apply
- Entrepreneurial drive: The hunger and determination to grow a business, not just manage it
- Integrity and character: The kind of person that employees, customers, and partners want to work with
This dual focus on business quality and operator quality is what makes Galaxi Group an effective partner for search fund entrepreneurs. They are not just evaluating a spreadsheet — they are evaluating you as a future business owner.
The Independent Sponsor Model
Galaxi Group also operates as an independent sponsor, which is an increasingly popular model in the lower middle market. An independent sponsor is essentially an acquisition entrepreneur who identifies and sources deals without a committed pool of capital. Instead, they raise capital on a deal-by-deal basis from investors like family offices, high-net-worth individuals, and institutional partners.
This model offers several advantages for all parties involved:
- For the searcher: You gain access to a experienced deal-making partner who has been through the process before and can help navigate the complexities of structuring and closing an acquisition.
- For the investor: You get to evaluate each deal on its own merits rather than committing capital to a blind pool. This deal-by-deal approach reduces risk and provides more control.
- For the seller: You benefit from working with a buyer who has both the capital and the operational expertise to preserve your business’s legacy.
How Galaxi Group Fits Into Zero-Down SBA Deal Structures
Now let us talk about the most exciting application of a partner like Galaxi Group: enabling zero-down SBA loan acquisitions.
The SBA 7(a) loan program allows qualified buyers to finance up to 90% of a business acquisition with government-backed debt. The remaining 10% typically needs to come from a combination of equity injection and seller financing. Here is how a typical zero-down structure works with a family office partner like Galaxi Group:
- SBA 7(a) Loan — 90% of the purchase price. The SBA-preferred lender provides the bulk of the financing. These loans feature competitive interest rates, long repayment terms (up to 25 years for real estate, 10 years for business acquisitions), and no balloon payments.
- Seller Note — 5% of the purchase price. The seller agrees to finance a portion of the deal as a subordinated note. This note is typically placed on full standby for 24 months, meaning no principal or interest payments are due during that period. This is a standard SBA requirement.
- Equity Injection from Galaxi Group — 5% of the purchase price. Galaxi Group provides the remaining 5% as an equity investment. In exchange, they receive a minority ownership stake in the acquired business. This equity injection satisfies the SBA lender’s requirement that the buyer have “skin in the game” without requiring the buyer to use personal savings.
The result? You acquire a business with zero dollars out of your own pocket. The SBA loan covers 90%, the seller note covers 5%, and Galaxi Group’s equity investment covers the final 5%.
For a detailed breakdown of this strategy, read our comprehensive guide: How to Buy a Business with Zero Down Using an SBA Loan.
Why Choose a Family Office Like Galaxi Group Over Traditional PE?
If you are comparing potential equity partners, here are the key reasons to consider a family office like Galaxi Group over a traditional private equity fund:
| Factor | Family Office (Galaxi Group) | Traditional PE Fund |
|---|---|---|
| Hold Period | Indefinite / patient | 3-7 years, then exit |
| Decision Speed | Fast, fewer approvals | Slow, committee-driven |
| Deal Size | Flexible, SMB-focused | Often too large for SMBs |
| Operator Alignment | High — values people | Variable — values returns |
| Fee Structure | Typically simpler | Management fees + carry |
| Post-Acquisition | Supportive, hands-on | Board-level, often distant |
For most self-funded searchers, a family office partner provides a better cultural fit, more flexibility, and stronger alignment of interests.
Finding Galaxi Group and Other Equity Partners on VerSquare
Galaxi Group is one of many investor firms profiled on VerSquare.com, a platform that connects acquisition entrepreneurs with equity capital providers. VerSquare makes it easy to browse investor profiles, understand their investment criteria, and identify potential partners for your specific deal.
Whether you are looking for a family office like Galaxi Group, a dedicated search fund investor, or a deal-by-deal equity platform, VerSquare is an excellent starting point for your capital search.
How GoSBA Loans Completes the Picture
Finding the right equity partner is critical, but it is only one piece of the acquisition puzzle. You also need the right SBA lender — and that is where GoSBA Loans comes in.
GoSBA Loans is a completely free service that connects business buyers with a network of 50+ SBA-preferred lenders. With more than $320 million in funded deals, GoSBA has the experience and lender relationships to find the best financing for your acquisition.
When you work with GoSBA Loans, you get:
- Access to 50+ SBA lenders competing for your deal, ensuring you get the best rates and terms
- A free business plan worth $2,500 to $5,000 — a requirement for SBA lending that GoSBA provides at no charge
- Expert deal structuring advice to ensure your equity injection, seller note, and SBA loan all work together seamlessly
- Completely free for borrowers — you pay nothing for GoSBA’s services
Take the First Step Toward Business Ownership
If you are ready to acquire a small business using a zero-down SBA loan structure with an equity partner like Galaxi Group, the next step is clear: contact GoSBA Loans today.
Our team will help you understand your SBA financing options, structure your deal for maximum success, and connect you with the right lenders from our 50+ lender network. Whether you are just starting your search or you are under LOI and ready to close, GoSBA Loans is here to help.
