Prudent Capital

About Us

Prudent Capital is currently investing from its third committed fund for mezzanine debt to operating businesses. All investment decisions are made by Prudent Capital’s Portfolio Manager with consultation with its Advisory Board. As such, prospective portfolio companies receive quick, flexible, informed responses to their requests.

Prudent Capital is happy to provide pre-transaction advice regarding structuring tips and recommended capital structure to help acquirers avoid any unwelcome financing issues as their deal progresses. For vetted, prospective portfolio companies, a form Letter of Intent for acquisitions is also available. Also, our detailed Term Sheet covers all of the major issues related to our financing in a completely transparent manner.

All Prudent Capital portfolio companies become family and every effort is made to establish a lasting relationship, not just a one and done transaction. This philosophy appears to be working since many CEO’s have used Prudent Capital multiple times to finance their businesses and many members of the management teams are now investors.

In addition, Prudent Capital invests significant other funds as equity in operating businesses, in real estate secured loans, ground leases, sale-leasebacks, and, occasionally, as principals in either an operating business or real estate transaction.

Portfolio Manager

Steven Schwartz Prudent Capital’s Founder and Portfolio Manager is Steven J. Schwartz. Mr. Schwartz is a CPA and an attorney with diverse and robust experience. For over 35 years, Mr. Schwartz has been chief financial officer and general counsel to a diversified group of companies involved in general contracting, construction, real estate development, property management, broadcasting, telecommunications, software development and wholesale distribution.

Mr. Schwartz served as a Director of a community bank from 1995 until its sale in 1998. In addition, since 2002, Mr. Schwartz has served on the Board of Capital Bank, NA. As of January 1, 2020, Mr. Schwartz has assumed the role as Chairman of the Board of Directors of Capital Bancorp, Inc. (CBNK).

Prior to these activities, Mr. Schwartz practiced law for 3 years with the firm of Tucker Flyer (now merged into Venable) and practiced public accounting for 5 years with the firm Aronson and Company. He received a Bachelor of Arts degree in economics from the University of Maryland and a law degree with honors from the University of Maryland School of Law.