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Inc. 5000 honoree and Top 100 Logistics
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Montebello, CA – Source Logistics, LLC (“Source”) announced today that it has been named one of Inc. 500/5000 fastest-growing private companies list and now ranks among the top 100 Logistics & Transportation companies in the country. The 2011 list measured revenue growth from 2007 through 2010. To qualify, companies must have been in operation during this period of time, based in the U.S., privately held, for-profit, and employee-based.


Source saw its revenue grow 82% during this period of time and is expected to approach $20 million in revenue by the end of 2011. The company manages over 600,000 sq. ft. in warehouse space across four locations – Los Angeles, Laredo, Houston, and New Jersey – providing a nationwide footprint for its customers, who continue to grow rapidly, demanding expanded services. The company provides valuable logistics solutions to leading Mexican and Latin American consumer product manufacturers exporting to U.S. retailers, who have surpassed most forecasts regarding trade volumes in the last few years.


The source was founded in 1999 by Marcelo Sada, Raul Villarreal, and Fernando Ramirez who established their first warehouse in Los Angeles to provide Mexican manufacturers looking to export into the complex U.S. network of food and consumer product retailers throughout the country, a complete logistics solution, including storage and freight services.


Marcelo Sada, Source’s President, and Chief Executive Officer remarked, “We are pleased to have been able to stick to our business plan and service rapidly growing volumes of customers exporting Latin American products to the U.S. While the U.S. customers saw their volumes drop in 2008 and 2009 we saw substantial growth from large Latin American consumer brands.”


In addition, Mr. Sada commented, “We had bootstrapped the Company with our own capital and in the last four years with our private equity partner The Central Valley Fund (“CVF”), who has helped propel our growth with their capital and resources. To allow ourselves to scale and accommodate the solid double-digit, we have experienced and continue to see in the foreseeable future, it is nice to have an investment partner.”


Jose Blanco, a partner with CVF, stated, “Source’s management team continues to build a very solid company, based on quality products and first-rate customer service.” According to Jose Blanco, “The macro-environment supports the case for continued demand for quality 3PL logistics services – a rapidly growing U.S. Hispanic population, new trade pacts with Colombia and Panama, U.S.-Mexico trade doubled the last 10 years and evolving U.S. tastes and preferences (i.e.- the U.S. consumes more salsa and tortillas than ketchup or sliced bread since 2006).


About Source Logistics LLC


Source Logistics LLC was founded in 1999 to provide third-party logistic solutions for the storage and freight handling of consumer products primarily for Mexican and Latin American manufacturers. The Los Angeles based company utilizes its network of warehouses and a range of value-added services to permit its customers to increasingly expand their sales levels throughout the U.S. For more information, please visit www.sourcelogistics.net.


About The Central Valley Fund


The Central Valley Fund was established by the principals of Gael Partners, LLC to finance later stage growth through mezzanine and preferred equity investments. The fund has offices in Davis, CA and Fresno, CA. It is focused on making investments in California’s Central Valley and throughout the state. For more information, please visit www.centralvalleyfund.com.


For more information contact:


Marcelo Sada, President & CEO

Source Logistics Holdings, LLC

(323) 271-4560

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In Opus Connect's latest Member Highlight segment, Stefan Okhuysen shared his thoughts around building out CVF's pipelines. Stefan highlighted his strategy and key lessons from his 15+ years of deal generation experience.


Lesson #01: Be Broad in Your Search

It is a numbers game. The more deals you see, the more likely you will close a deal. Being broad in your search increases the likelihood of finding an investment prospect that fits your firm’s criteria, he said.


“We’d like calling it internally kissing a lot of frogs to find a prince,” Okhuysen said. “We’re trying to see as many companies as we can, through as many different referral sources as we can to really find the right fit for strategy.”


Lesson #02: Keep Networking

Networking is time-consuming, but it is good for business. As Okhuysen noted in the interview, it’s those relationships that will continue to give you referrals and introductions as well as help close deals.


“You might talk to somebody today who may have nothing to offer in terms of a new deal,” he said. “But that person may remember you for any particular reason, a couple of months down the road, or maybe a year down the road, and they can refer you a deal that is actually a good fit for you.”


In other words, genuinely be interested in people and remember to follow up.


Lesson #03: Pipelines Need Nurturing

Okhuysen pointed out how important it is to strike a balance between cultivating and maintaining existing relationships as well as nurturing new ones. At his company, he said they have their own approach of how to keep pipelines filled.


“We all do a little bit of everything,” he said. “I know some firms have people who are solely dedicated to deal flow. At our firm, we all tried to do a little bit of pipeline generation and being out there.”


A significant advantage of this approach is that the firm is not dependent on one person for its referrals.


“That also means that when somebody in the team is busy, the other person can step in and continue doing business development. We kind of see the pipeline like this thing that’s alive and needs to be nurtured and taken care of and continuously growing.”


About Opus Connect

Opus Connect is a lower middle market and middle market M&A; focused professional organization with members in fields of private equity, banking, finance, and other transactional professions. As an Opus Connect member, you will expand your professional network with like-minded, high caliber professionals, while increasing your sector expertise and deal-making opportunities.

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Davis, CA and Modesto, CA – February 17, 2011 – The Central Valley Fund, a private investment fund focused on middle-market Central Valley companies, today announced a preferred stock investment of $3.5 million in Paleteria La Michoacana, LLC (“PLM” or the “Company”). The capital will be used to support management as it continues to capitalize on growing demand across a wide variety of food and grocery retailers for its uniquely flavored Mexican-style frozen novelties and related ice cream products.


Founded in 1991, the Company’s roots trace back to a modest manufacturing facility in Turlock, CA. The central product then and now in the Company’s growth is its paleta, an all-natural ice cream bar with higher butterfat content than many other well-known novelty offerings. These bars come in traditional, Hispanic-oriented flavors, as well as those designed to appeal to a broader consumer set, including Coconut, Arroz con Leche (Rice Pudding), Guava, Walnut, and Cookies n’ Cream.


Ignacio Gutierrez and his wife, Patricia, have successfully built the Company over its twenty-year history into a premier ice cream manufacturer and marketer by focusing on producing high-quality paletasand complementary products such as containers of ice cream. Beginning with Hispanic-oriented grocery stores in the Central Valley, PLM’s direct-to-store and third-party distribution network now cover both local and mainstream grocers and warehouse club stores in California, the InterMountain West region, and Texas.


According to the International Ice Cream Association, sales of ice cream and related frozen desserts were over $21 billion in the U.S. in 2008. Segmenting the market further, supermarket sales (excluding convenience stores, big-box retailers, etc.) of frozen novelty products accounted for approximately $2.4 billion of the “at home” total, up approximately 1.6% versus the prior year, providing the Company with a positive tailwind to continue to increase year over year sales.


Jose Blanco, a partner with CVF, emphasized, “We are impressed by management’s ability to cater to its primary customer base, the Hispanic consumer while capturing other markets due to the strong crossover appeal of the Company’s products. We will support management at all levels as they continue to expand and refine their marketing and distribution infrastructure in order to execute on existing and new market opportunities.”


Ignacio Gutierrez, Founder, and Chief Executive Officer stated, “As a husband and wife team that lives and breathes our business, we believe CVF to be an important resource as we guide the Company through its growth plans. We are looking forward to having CVF as both a financial and strategic partner.”


About The Central Valley Fund


The Central Valley Fund was established by the principals of Gael Partners, LLC to finance later stage growth through mezzanine and preferred equity investments. The fund has offices in Davis, CA and Fresno, CA; it is focused on making investments in California’s Central Valley and throughout the state. For more information, please visit www.centralvalleyfund.com.


About Paleteria La Michoacana


Paleteria La Michoacana is a leading producer, marketer, and distributor of premium ice cream and other fine desserts. The Company is known for its fine quality and methods used to produce its paletas, using natural fruits and ingredients of the highest quality. For more information, please visit http://www.ytupaleta.com.

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