New investment for CVF in the growing Transportation & Logistics Sector
CVF Capital Partners (“CVF”), a Sacramento, CA based private equity firm, announced today that it has made a $6 million investment in Off Spec Solutions, LLC (“Off Spec Solutions” or “the Company”), a leading over-the-road trucking company servicing customers throughout the Pacific Northwest and the Intermountain West. Daniel and Chris Salvador, co-founders and CEO and COO respectively, elected to partner with CVF to help finance Off Spec’s growth initiatives and will continue in their roles as day-to-day management of the Company.
Founded in 2009 and based in Nampa, Idaho, Off Spec Solutions is a leading over-the-road trucking company with tech-enabled enterprise transportation and freight brokerage solutions. The Company currently helps provide the transportation needs of leading food manufacturers and Ag producers throughout the western U.S. Off Spec Solutions’ proprietary technology platform, Dispatch Assistant®, enables the company to optimize their transportation deliveries, reduce transportation costs, ensure on-time deliveries, and effectively manage the complex supply chains of their customers.
The American Trucking Association summarized the role of trucking best, calling it the “literal lifeblood of the U.S. economy”. Trucking is the physical backbone of the food and Ag industries, together with e-commerce and person-to-person shipments accounting for over 70% of total freight tonnage. In the US alone, spending on overland logistics reached over $700 billion in 2017.
Daniel Salvador, Off Spec’s CEO, commented, “The Off Spec Solutions’ team is very excited to partner with CVF as we enter the next stage of the Company’s growth. We believe there is a significant market opportunity available and are positioned to capture it with CVF’s support. We look forward to building our business both organically and through acquisitions, while continuing to deliver best-in-class solutions to our regional and national customers.”
Chris Salvador, Off Spec’s COO and co-founder, mentioned, “We continue to develop deep relationships with our growing customer base. We look forward to growing with them and providing their over-the-road trucking needs long into the future.” He continued, “The Company is well-positioned to benefit from the region’s continued economic expansion, which has fueled the sector’s growth and created increasingly complex supply chains.”
CVF Managing Partner, José Blanco, added, “CVF is the ideal financial partner for the Salvadors and Off Spec given our longstanding interest in the sector and deep expertise in industrials, transportation, and logistics.” He continued, “Our investment in Off Spec Solutions aligns well with our mission to partner with companies that benefit from strong macroeconomic tailwinds and have clear opportunities to achieve above-market growth. We are excited to partner with such a high-quality company led by an exceptional, purpose-driven management team.”
About Off Spec Solutions
Off Spec Solutions was founded in 2009 by Daniel and Chris Salvador to provide food and livestock waste by-product hauling. While the Company continued to grow in that field, it diversified its offering to provide additional transportation services and general over-the-road trucking.
Currently, the business provides general logistics solutions to a variety of businesses throughout the Western U.S. For nearly 10 years, Off-Spec has partnered with customers by offering reliable, safe, and transparent supply chain solutions. This offering is driven by their state-of-art truck fleet and proprietary software program, Dispatch Assistant®, allowing the Company to optimize carrier sourcing, freight tracking, real-time billing, and payment services, and provide a higher level of business intelligence. For more about Off Spec Solutions, visit www.offspecsolutions.com.
About CVF Capital Partners
CVF Capital Partners was established in 2005 to finance later-stage growth, recaps, and buyout opportunities across the lower middle market. CVF invests both mezzanine debt and preferred equity and has raised $375 million in committed capital across its three funds. The fund has offices throughout California – Davis, Fresno, and San Diego – and in the Pacific Northwest in Portland. This geography allows the firm to attend to small businesses seeking capital throughout California and the broader Western United States. For more information, please visit www.cvfcapitalpartners.com.
For more information contact:
President and CEO
Off-Spec Solutions, LLC
CVF Capital Partners
Tel: 530-757-7004 ext. 227