CNL Strategic Capital

What CNL Strategic Capital does

CNL Strategic Capital, LLC is a publicly registered, non-traded direct participation program (DPP) organized under Florida law and externally managed by CNL Strategic Capital Management, LLC, an affiliate of CNL Financial Group (founded 1973, $37B+ in assets formed or acquired). Sub-management is provided by Levine Leichtman Strategic Capital, LLC, an affiliate of Levine Leichtman Capital Partners, which brings a 40+ year track record and 120+ portfolio company investments. The vehicle offers six share classes (Class FA, A, T, D, I, S) that share a single investment strategy: acquiring controlling equity stakes combined with loan positions in durable, growing middle-market businesses, with portfolio company management teams typically retaining roughly 15% equity ownership to align incentives.

As of March 31, 2026, the fund held approximately $1.5 billion in total assets across 18 portfolio companies spanning insurance consulting (Sill), emergency response technology (TacMed), commercial cleaning (sold: Douglas Machines), retirement plan administration (MAP, ~3,700 plans and 200,000 participants), water and wastewater O&M (USA Water), and franchise services (IFPG, 1,300+ member network), among others. Since inception in February 2018, the fund has raised approximately $1.4 billion and reports an 11.1% annualized return, with the first portfolio realization completed in August 2025.

CNL Strategic Capital distributes shares exclusively through financial professionals via its managing dealer CNL Securities Corp., a FINRA/SIPC member, supported by wholesaler outreach to broker-dealers and registered investment advisors. The company is not listed on any exchange; share pricing is determined by monthly NAV with independent third-party review, and the fund maintains 0% leverage at the fund level with limited third-party debt at portfolio companies. Distribution reinvestment plan proceeds (~$73.9M as of Q1 2026) provide a self-funding growth mechanism, and geographic operation is U.S.-only with an explicit EU restriction.

Name

CNL Strategic Capital

Legal name

CNL Strategic Capital, LLC

Website

https://cnlstrategiccapital.com

Company type

Private

Founded year

2018

Operating status

Operating

Headcount range

251–500 employees

Short description

CNL Strategic Capital is a publicly registered, non-traded investment vehicle that acquires controlling equity stakes in private U.S. middle-market businesses. It serves individual and institutional investors seeking diversified private market exposure and monthly income through six share classes distributed exclusively via financial professionals.

Ownership category

akta.pro rank

Product category

Private Equity Fund

NAICS

Portfolio Management and Investment Advice (523940), Other Financial Investment Activities (5239)

SIC

Security Brokers, Dealers & Flotation Companies (6211)

akta.pro primary industry

Strategic / Balance-Sheet CVC (On-balance-sheet investing) (FSANAHAA)

akta.pro secondary industries

Joint Venture CVC / Consortium Funds (Multi-corporate) (FSANAHAE), Thematic / Sector-Focused Multi-Manager Platforms (FSANAGAH)

Keywords

• Private equity fund
• Middle-market acquisitions
• Non-traded securities
• Alternative investments
• Portfolio company investing

Headquarters

HQ city

Orlando

HQ country

United States

HQ region

North America

Offices1 record

Markets served

GTM type

B2C

Offering type

Services

Cost components

Personnel, Operations, Marketing or Sales, Technology or R&D, Others

Revenue model

1. Investment Returns from Portfolio Companies: CNL Strategic Capital generates returns through acquiring controlling equity stakes combined with loan positions in middle-market businesses. Returns come from interest income on debt investments, dividend income from equity investments, unrealized appreciation on portfolio company valuations, and realized gains upon exit of portfolio companies.
2. Capital Raising and Management Fees: The company raises capital through public offerings of share classes (Class FA, A, T, D, I, S) and earns management fees from the capital raised. Distributions are paid monthly to shareholders from net investment income, with a distribution reinvestment plan available.

Pricing tiers

Go-to-market motion1 record

Distribution channels1 record

Marketing channels3 records

Core offering

CNL Strategic Capital is a non-traded, publicly registered direct participation program that acquires controlling equity stakes combined with loan positions in established U.S. middle-market businesses. Investors gain access through one of six share classes (Class FA, A, T, D, I, S), receiving monthly distributions from net investment income and the potential for long-term capital appreciation as portfolio companies are acquired, grown, and eventually realized.

Product overview

CNL Strategic Capital is a single, unified investment offering structured as a non-traded limited liability company that provides investors access to private middle-market business ownership. The company offers six distinct share classes (Class FA, Class A, Class T, Class D, Class I, and Class S) that share a common investment strategy—acquiring controlling equity stakes combined with loan positions in durable, growing middle-market businesses—while differing in fee structures, minimum investments, and distribution characteristics. All share classes are externally managed by CNL Strategic Capital Management, LLC and sub-managed by Levine Leichtman Strategic Capital, LLC, with the investment thesis centered on providing current income and long-term appreciation through portfolio company acquisitions.

Differentiator

Problem solved

Functional benefit

Products and services

• CNL Strategic Capital Non-Traded Investment Offering A non-traded, publicly registered limited liability company that provides individual and institutional investors access to private middle-market business ownership through controlling equity stakes and debt positions, with monthly distributions and the potential for long-term capital appreciation. The offering is externally managed by CNL Strategic Capital Management, LLC and sub-managed by Levine Leichtman Strategic Capital, LLC.

Quantifiable outcome

• 11.1% annualized return since inception (year-end 2025)
• +4 more outcomes

Named customers6 records

Segments2 records

Ideal customer profiles2 records

Technology focussed No

API detail

Has API

No

API docs

API detail

Core technology

AI maturity

App detail

Partnerships

Three partnerships are on record, tiered core.

• CNL Financial GroupcoreStrategic or Co-development Partner · 7 February 2018Parent company and manager affiliate. Founded 1973 with $37B+ in assets formed or acquired. CNL Financial Group provides alternative investment management expertise and is the ultimate parent of CNL Strategic Capital Management, LLC.
• Levine Leichtman Capital Partners (LLCP)coreStrategic or Co-development Partner · 7 February 2018Sub-manager affiliate with 40+ year track record investing in middle-market companies. Manages $12.6B+ in assets across 20+ funds. Utilizes differentiated Structured Private Equity strategy combining debt and equity capital. Has invested in 120+ portfolio companies.
• CNL Securities Corp.coreChannel Partner/ Reseller/ Distributor · 7 February 2018Managing dealer and exclusive distributor of CNL Strategic Capital shares. Member FINRA/SIPC. Manages wholesaler network and provides investor materials to broker-dealers and registered investment advisors.

Scale indicators8 records

Recent moves8 records

Expansion highlights5 records

Direct peers

• Hercules Capital: Largest publicly traded specialty finance company focused on providing senior secured loans to high-growth venture-backed and middle-market companies. Comparable in providing structured capital solutions to middle-market companies, though with greater technology sector focus.
• Carlyle Credit Income Fund: Non-traded, perpetual-life BDC managed by Carlyle Global Credit that invests primarily in middle-market first-lien loans. Directly comparable as a non-traded middle-market credit vehicle with similar distribution structure for individual investors.
• Blackstone Private Credit Fund: Non-traded BDC managed by Blackstone Credit that invests primarily in directly originated loans to private U.S. companies. Directly comparable to CNL Strategic Capital as a non-traded alternative investment vehicle offering individual investors access to middle-market private credit/equity with similar distribution structure and minimum investments.
• Golub Capital BDC: Publicly traded BDC focused on senior secured loans to middle-market companies sponsored by private equity sponsors. Directly comparable in middle-market focus, structured capital approach, and sponsor-backed underwriting.
• Ares Capital Corp: Largest publicly traded BDC providing growth capital to middle-market companies through debt and equity investments. Comparable to CNL Strategic Capital in middle-market focus and structured capital approach, though publicly traded rather than non-traded.
• Sixth Street Specialty Lending: Publicly traded specialty finance company that provides senior secured loans to middle-market companies. Comparable structured capital approach and middle-market focus to CNL Strategic Capital.
• FS KKR Capital Corp: Publicly traded BDC jointly advised by FS Investments and KKR Credit that provides customized credit solutions to middle-market companies. Similar middle-market focus and structured debt/equity approach to CNL Strategic Capital.
• Blue Owl Capital Corp (Owl Rock): Publicly traded BDC managed by Blue Owl Capital that invests in senior secured loans to middle-market companies. Similar middle-market lending and equity strategy to CNL Strategic Capital, though structured as a publicly traded BDC rather than non-traded DPP.
• HPS Corporate Lending Fund: Non-traded BDC managed by HPS Investment Partners that invests in senior secured loans to middle-market companies. Directly comparable as a non-traded middle-market credit vehicle with similar distribution structure to CNL Strategic Capital.

Broad incumbents

• KKR Real Estate Finance Trust: Externally managed mortgage REIT focused on originating and acquiring senior secured loans on commercial real estate. While focused on real estate rather than operating businesses, KREF provides a comparable non-traded structure (post its 2024 listing transition) and middle-market financing approach.

Market position

Strengths5 records

Weaknesses5 records

Competitive moat4 records

Key risks6 records

Key highlights7 records

Customer concentration

• LinkedInlinkedin.com/company/cnl

Revenue estimate

Valuation estimate

Number of profiles

Profiles3 records

Funding overview

Funding rounds

Investors

Funding detail is available on the Subscription and Enterprise plan.Contact sales →

M&A5 records

Investments6 records

M&A and investment is available on the Subscription and Enterprise plan.Contact sales →

Frequently asked questions about CNL Strategic Capital