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I did something similar. God willing will be admitted to the Partnership in July. You have to be willing to RUN HARD at it for the next two or three years. Some random things to consider:
1) Brand. How well known is the target firm in your field? You’ll be carrying that brand on your back and it can get you in the door (or shut you out of doors). If you don’t have your own book, this will be paramount unless you already get inbounds from the market in your area of expertise.
2) Culture (tougher to gauge and biggest leap of faith). Are their sharp elbows, or are folks looking to grow the pie for everyone? Who will help make internal and external introductions? What is the incentive structure (never do business with anyone without understanding how they get paid).
3) PPMD process. UNDERSTAND THIS WELL. How much support will you need and at what levels? Some firms it is 5 and some it’s 15. Are their pipeline programs you need to get into? How many others in the team you are joining are currently in the process (will determine backlog).
Appreciate the response and all the best for the Partnership journey!
1) Brand is probably the biggest downside here going from one of the best to one that’s starting from scratch. Personally have a good reputation in the market and in the early stages of building my own book.
2) From a team standpoint, will have the opportunity to build out the team. Question is, what strategy will the new firm employ? Will they be willing to pay top dollar to bring in the best?
From a leadership standpoint, that’s definitely all unknown and will be part of what I ask during the interview process. Any tips on what to look out for?
3) This will be employee #2 in the team they are trying to build out. There seems to be a clear path up if all the stars lined up. Definitely will ask more about this and not assume. Is it too early to ask how the next level is compensated given that’s the long game goal?
What’s your thesis to move? It sounds like a lot of risk and unknowns with the new role and I’m not sure you’re going to end up in any better comp position than your current firm.
Rephrasing: Brand new SM being asked to build a team at a new firm with no brand recognition, scrounge for resources and investment dollars from leadership to prove they should invest in this new practice. It’s rare for any work to move with M who switches firms. They may like you, but unlikely you carry the relationship. I’m a partner and I question how many of my clients truly would move over if I switched firms.
Downside risk - new firm doesn’t put enough support, practice fails and you end up at your old firm.
Upside - wild success story and you end up an equity partner.
Inertia - stay at your current firm and …?
I'm contemplating such a move myself, but it's a tall ask, especially when one is relatively established and has built credibility within their current firm. I'd really appreciate any perspectives on how you weighed that risk and what ultimately influenced your decision. As well as how that played in your next move to PPMD. Thanks!
Currently an M, up for SM/D at current firm and considering SM/D switch at a new firm.