This brochure describes the advisory business of L Squared. L Squared was founded in May 2014
by Managing Partners Robert Healy and Jeff Farrero and began sourcing deals in July 2014.
Currently, L Squared provides day to day advisory services to commingled private investment
funds (the “Funds” or the “Clients”), subject to the discretion and control of L Squared Capital
Management LLC, a Delaware limited liability company and the general partner of the Firm (the
“General Partner”). L Squared is filing a single Form ADV together with its relying adviser and
General Partner, L Squared Capital Management LLC, in reliance on the position expressed in the
2012 ABA No-Action Letter. Together with the General Partner, L Squared operates as a single
Managing Partner, and Partners Sean Barrette, Randall Hunt, and Adam Kimura own the
remaining equity of L Squared. The General Partner is owned by Mr. Healy and Mr. Farrero.
L Squared seeks to invest in high-margin, high-growth companies in its target sectors which
include, but are not limited to, technology enabled services and software, industrial technology
and education. These investments are in the form of long-term private equity interests that are
typically held by special purpose vehicles that are in turn held by the Funds directly.
L Squared’s services to the Funds include engaging in the business of making, managing,
supervising and disposing of investments and engaging in such other activities incidental or
ancillary thereto, including sourcing investment opportunities and negotiating investments. The
Firm primarily invests in non-public entities but reserves the right to invest in public entities
subject to the limitations set forth
in the governing documents of the Funds. L Squared or its
affiliates generally serve on a portfolio company’s board of directors or otherwise act to influence
control over management of portfolio companies held by the Funds.
The Firm’s advisory services to the Funds are further described in their respective governing
documents and are also generally described below under “Methods of Analysis, Investment
Strategies and Risk of Loss.” Each investment for a Fund will generally be made through a
separate series of the Fund. Each series is treated as a separate and distinct legal entity having
separate assets, investment portfolios, investors and terms. The Funds and the Firm may enter into
consulting arrangements, side letter arrangements or other similar agreements with investors that
have the effect of establishing rights under or altering or supplementing a Fund’s governing
documents with respect to such investors, including provisions relating to specific investments, as
well as provisions relating to the Firm’s compensation. For more information regarding provisions
that allow an investor’s investment to be altered or varied in certain circumstances, investors
should refer to the relevant Fund’s governing documents.
For purposes of this brochure, references to a Fund or Client will be deemed to include a single
series of a Fund, or a Fund itself, as the context requires. The Firm provides its services to the
Funds but may also offer customized investments to meet the individual needs of an investor.
As of December 31, 2023, L Squared managed $1,404,920,000 (rounded to the nearest thousand)
in Client assets, all managed on a discretionary basis. The Firm does not currently manage any
non-discretionary assets.