S’pore firm looks to buy SMEs lacking successors, launches CEO training programme to foster renewal

SINGAPORE - Owners of small and medium-sized enterprises (SMEs) without successors may be able to get help on two fronts – they can sell to a newly incorporated company, which will also groom and provide a next-generation leader who can help preserve their legacy.

Timah Partners, a permanent holding company that will focus on acquiring and operating businesses for the long term, said its CEO Succession Programme (CSP) will offer founders and leaders of SMEs, particularly those in the services sector here, a shot at renewal.

Even though the services sector contributes over 70 per cent of Singapore’s gross domestic product, many companies in this space face a critical succession challenge, a gap that often hinders leadership renewal and sustained business growth.

This challenge is especially pressing for first-generation towkays approaching retirement, many of whom have no family members willing or able to take over the reins of their businesses, said Timah Partners founder and chief executive Dennis Chua.

In a 2021 survey by PricewaterhouseCoopers, just around a quarter of the 80 Singapore family business leaders polled said they have documented a succession plan.

Mr Chua said the CSP aims to close this gap with a structured succession training programme.

The services sector, which includes businesses from landscaping to pest control and waste management, is also not widely seen as an attractive career destination, said Mr Chua.

“The biggest issue these SMEs face right now is not capital, it’s talent. That is the problem we want to solve with the CEO succession programme.”

He added that the CSP will focus on grooming local leadership talent, and aims to attract applicants from more diverse backgrounds in the longer term.

Mr Chua, who returned to Singapore in 2025 to set up the firm after a decade in asset management in the US, said Timah Partners’ main focus will be on buying companies valued at $10 million to $50 million with an operating profit ranging from $2 million to $10 million.

Its sole aim is growing these SMEs for the long term, as opposed to selling or listing them.

The CSP will run in parallel with Timah Partners’ core role as a private permanent holding company, which Mr Chua says is modelled after Berkshire Hathaway, the US conglomerate led by billionaire investor Warren Buffett.

Inspired by CEO-in-training initiatives run by investment firms and conglomerates globally, the programme could offer local SME owners greater assurance about preserving their legacy, especially as many worry about the future of their businesses after a sale.

Mr Chua said: “Many of these towkays are worried about new ownership that could turn out to be problematic, leading to customer dissatisfaction or, worse still, legal troubles that could disrupt their retirement.

“With the CSP, we can reassure them that we can preserve and steward their legacy in a positive direction, without a major restructuring or overhaul meant to flip their companies later on.”

He added that cost cuts are not at the core of the firm’s strategy, and ultimately, newly appointed CEOs from the programme would be responsible for the majority of their companies’ operational decisions.

He said: “We hope our CEOs will learn the values of being long-term greedy and not take short-term actions at the expense of sustainable growth.

“We believe offering a permanent home for these companies, combined with a talent solution, is a sustainable solution for the local SME problem. A few years of temporary leadership is simply kicking the can down the road.”

The launch of the programme comes after Timah Partners raised US$50 million (S$64.2 million) in June in its first major round of external funding, backed by the founders of US-based holding companies such as TransDigm, Danaher and 3G Capital.

The firm said it has no plans to raise additional capital for now, and will focus on completing its first acquisitions, which are intended to generate cash flow to finance future deals.

It has identified fire protection, waste management and telco-servicing companies as potential targets for acquisition.

Mr Chua, a Harvard Business School graduate, described the programme as akin to an MBA programme with a practical corporate attachment.

He added that while there are private funds like Temasek-owned Heliconia that also focus on SME growth, Timah Partners’ operating model is the first of its kind here.

The CSP, which will take two to three years to complete, will select candidates through a vetting process that involves extensive reference checks and case study assignments.

Successful applicants will learn the ropes of deal-making in the programme’s first phase, before beginning a training phase embedded in one of Timah Partners’ portfolio companies.

Thereafter, they will commence their trial as a “CEO in training” where they will be assessed on their ability to lead a company on their own.

Throughout the programme, they will also receive support from the firm’s advisory board that comprises business leaders.

They include Ms Ellen Teo, CEO of Union Energy Group; Mr Tan Boon Khai, former CEO of JTC Corporation who currently sits on the board of Singapore Aerospace Manufacturing and CapitaLand Integrated Commercial Trust; and Mr Ming Maa, former president of Grab Holdings and current CEO of US autonomous electric vehicle start-up Moove AV.

Mr Chua added that CSP candidates will receive above-market compensation during the duration of the programme.

While Timah Partners is yet to acquire a company, the programme will go ahead with its inaugural candidate Kelvin Ho, who was most recently head of business at healthcare start-up EVYD Technology.

Mr Ho, who is 44, has previously held leadership roles in the Economic Development Board, reinsurance company Swiss Re and biotechnology firm Mirxes.

As the programme’s first candidate, Mr Ho will also be instrumental to designing the programme, said Mr Chua.

Mr Ho said he had already been on the lookout to acquire or helm a company as the next chapter of his career, and the CSP offers him the platform to help strong businesses build a meaningful and lasting impact in society.

He said: “SMEs are the lifeblood of the economy, many of which are supporting multinational corporations. There are many great businesses that are now at an inflection point, and I want to help these companies build on their strong foundations for continual growth.

“Joining Timah’s CSP is an opportunity for me to demonstrate that not just as an operator, but also as a long-term steward of a company’s next chapter.”