Avondale was founded to preserve three core values that we saw as lacking in the financial community. We look for these three traits in all of our partners. Only once these criteria are met do we rely on our own understanding of economics, business valuation and securities markets to gauge the long-term viability of an investment.
Companies with integrity make good partners. Since we are passive investors in all of the investments that we make, we need to be able to trust that the people who are running our companies have our best interests in mind. We seek out individuals who speak honestly, candidly and accurately about the current state of business. We expect companies with integrity not only to treat shareholders this way, but employees and customers too. Business is about relationships, and companies that are focused on building those relationships create lasting value.
Companies with humility are ones who show a propensity to identify weakness and enact change. Companies with humility know that past success will not always lead to future success, that competitors are formidable and to be respected, and that when things are going wrong the worst thing to do is ignore the problem. Companies with humility build sustainable competitive advantages because they know they will always have to compete. Companies with humility are survivors.
Companies with curiosity have an engine which pushes them to achieve extraordinary things. Companies with curiosity pursue a mission above profits and have a desire to understand and serve their customers’ most basic needs. These are the ones who will develop exceptional products and delight their customers. These are the companies that thrive.