A legacy that never burns out.

Torch acquires East Coast hotels and motels from retiring owners, installs next-generation operators, and modernizes them with AI and software — so the business lives on and everyone wins.

Part holding company, part fintech platform. Built for the great ownership transfer.

Why Now

The largest ownership transfer in history.

The US's Backbone

99%of US businesses are SMBs
46%of the private workforce
35%of private-sector revenue

The Silver Tsunami

6M+businesses transition by 2035
23%of owners are 65 or older
80%of owner wealth locked in their business

The Hotel Opportunity

46K+U.S. hotel & motel establishments
20K+AAHOA member-owned hotel properties
92%of exits end in closure without a plan

Sources: McKinsey, The Great Ownership Transfer · SBA Office of Advocacy, 2026 · IBISWorld, Hotels & Motels in the US, 2026 · AAHOA Member & Industry Statistics

Retiring owners have no buyer.

Employees lose jobs. Buyers can't find clean deals.

Retiring Owners

77%
want to retire. Only 9% are ready.

Most owners have no succession plan, no qualified buyer lined up, and no clear path to an exit that honors what they built.

Existing Employees

80%
of transitions involve businesses valued under $2M.

When the owner walks away and no one steps in, employees lose their jobs and the community loses a business that anchored it.

Buyers

92%
of exits end in closure.

The few buyers who are out there can't find clean deals. Financials are a mess, operations are fragile, and there's no operator ready to take the wheel.

Sources: Exit Planning Institute, 2023 · McKinsey, The Great Ownership Transfer · Torch Customer Discovery, 2026

How it works.

Three moves. One mission.

01

Buy the business.

We identify East Coast hotel and motel properties between $500K and $5M in EBITDA, line up top brokers and lenders for the best terms, and close the deal. We structure every acquisition to sell equity back to employees over time.

Source off-market deals through our AAHOA & broker network

SBA 7(a) & conventional financing lined up in advance

Equity buyback program for existing employees

02

Hire a new owner.

Great businesses need great operators. We recruit from top ETA programs and fill in missing roles with in-house specialists — so there is always a capable, committed owner running the property from day one.

Recruited from MBA and ETA programs at top universities

Backed by Torch's in-house operations, finance, and tech teams

Skin in the game: operators earn equity alongside employees

03

Modernize it.

Legacy systems, bloated vendor contracts, and manual processes are costing hotel owners margin. We replace them. Every Torch property gets our proprietary AI tools and software stack — cutting OPEX and raising revenue.

Replace outdated PMS, POS, and vendor relationships

Torch AI tools for dynamic pricing, reviews, and operations

Centralized back-office across the portfolio

Narrow target. Sharper execution.

We share the model with competitors. We don't share the niche.

01

Specialization

We limit our focus to East Coast hotel and motel platform companies between $500K and $5M in EBITDA/SDE. Narrow target, sharper execution.

02

Top Talent

We recruit operators from top-tier ETA programs and fill in every missing role with in-house specialists. Great businesses need great owners.

03

Exclusive Platform

Access to our preferred lender and broker network, an exclusive community of portfolio owners, and bespoke AI and software tools built for hospitality.

04

Employee Ownership

We sell equity back to the people who built the business. Employees earn ownership stakes over time — aligning incentives and preserving the culture.

Built to grow together.

Three revenue streams. One aligned model.

01

Platform Fees

Claim a percentage of revenue from each portfolio company

Subsidized access to internal tech, software, and shared services

Grows as the portfolio scales — recurring and compounding

02

Profit Share

Annual dividends from operating cash flow across the portfolio

Profit funds the employee buyback program over time

Aligns Torch, operators, and employees around the same outcome

03

Capital Appreciation

Sell mature portfolio companies to PE once the business has been grown

Cash out at a significantly higher valuation than entry price

Repeat the cycle: acquire, improve, exit, redeploy

Personal mission. Professional firepower.

We've lived this. We're building what we wished existed.

Kevin Hanson

Kevin Hanson

Founder

LinkedIn

SMBs supported my mother & sisters battle with cancer. We won.

Rising senior at Fairfield University. Product management intern at Mastercard. Building Torch because small businesses are the fabric of communities — and they deserve a future.

Preet Patel

Preet Patel

Co-Founder

LinkedIn

I grew up in a family hotel business.

Investment banker at Piper Sandler. Grew up in the hospitality industry and watched firsthand what happens when there's no one to pass the torch to. Bringing M&A discipline to fix it.

From the Torch journal.

Field notes from the great ownership transfer.

Pass the torch.

Are you a hotel owner thinking about your next chapter? We'd love to hear your story.