Do less deals and focus on cash instead of return.
Stephen M. Hicks is the Chief Executive Officer and founding principal of Southridge. Mr. Hicks sets the overall strategic direction for the Southridge group of companies, and is responsible for business development and execution. Mr. Hicks founded Southridge in 1996. Active in the investment industry for over 30 years, Mr. Hicks has broad experience in financial structuring, derivatives, risk arbitrage, and investment banking. He received his BS in Business Administration from King’s College in Briarcliff Manor, New York, and an MBA from Fordham University, in New York City.
Where did the idea for Southridge come from?
The idea for Southridge came while I was working at a small NY hedge fund where the principal had decided to return to Australia. It was going to take him a year to wind down and I thought I could make a go of it on my own with my own hedge fund, so he allowed me to start Southridge while still working for him.
What does your typical day look like and how do you make it productive?
My typical day starts with reviewing the portfolio and making a list of items to accomplish for both myself and for my staff. I then divide my time between looking for new opportunities and making sure the existing investments are on track.
How do you bring ideas to life?
Experience. We know everyone in our small section of Wall St. and we’ve been here for two decades so many people come to us with companies who need financing. We can also use our search criteria to find those companies who look like they could use our assistance
What is one trend that excites you?
Right now it’s cryptocurrency and pot.
What is one habit of yours that makes you more productive as an entrepreneur?
The daily list and focus on cash proceeds from the portfolio each day.
What advice would you give your younger self?
Do less deals and focus on cash instead of return and never put good money after bad.
Tell us something that is true that almost nobody agrees with you on.
The government does not play fair in war. They are not above lying and cheating in any confrontation.
What is one failure you had as an entrepreneur, and how did you overcome it?
We put far too much money into a company called Petals only to have it fail anyway. It was extremely painful financially. All we could do was stay liquid enough that we could earn our way out of it, which we did.
What is one business idea that you’re willing to give away to our readers?
Start a channel for cryptocurrency in the form of CNBC – either an actual channel or a podcast – explosive industry where there would be an endless supply of guests discussing their ‘coin’ and the world would be watching.
What is the best $100 you recently spent? What and why?
Lunch with a geo political guru who discussed the political potential impact of cryptocurrency across the world – amazing!
What is one piece of software or a web service that helps you be productive? How do you use it?
I really only use Wall Street Journal online, Quotestream and OTC markets to get daily and historical info on the markets and individual companies/trends.
What is the one book that you recommend our community should read and why?
“Titan” is the biographical history of Rockefeller and how he became who he was and the successes and failures he experienced along the way – inspirational!
Southridge on Twitter: https://twitter.com/southridge_cap
Southridge on Facebook: https://www.facebook.com/Southridge-Capital-244891615612895/timeline/
Southridge on Linkedin: https://www.linkedin.com/company/southridge-capital-mgt-llc/
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