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Additional Posts in Private Equity and the Buy Side
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Do PEs offer singing bonus or relocation fee?
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Yeah carry takes a while to kick in, and not all funds give the same units to ops as deal team (could be preferences etc to look into). If option 2 is more of a stepping stone, then you might not be there long enough to see the carry.
I just went through a process where everyone (large fund I was interviewing with included) discouraged me from relying too much on carry in decision making.
Offer 1 sets you up better for a future role where you’d see larger carry. Again if option 2 is a long term bet then it makes more sense
And congrats on the two offers!
Dang how many YOE do you have? These are pretty solid.
How many years of consulting vs industry? Industry?
Which did you take
Why no carry for Offer 1? A fund that size would typically have it. Will you be able to get carry with the next fund?
Offer 1 is much more solid - there are a lot of PE firms which have not had successful exits in years. Best case, you have to wait 3 years for the first exit. You would make an incremental $225k actual $ per year, vs. a hopeful carry amount.
That’s just their policy. Kind of a red flag I guess, but they make up for it in higher cash
What's the base vs bonus breakdown for offer 1?
50/50 split
Similar industry/role? Offer 1, all else equal, unless option 2 is the place you want to spend next ten years of career
Yup similar industry / role. Hmm interesting, you think the cash outweighs carry long term?