Journey from consulting to private equity

Someone recently asked me how I got to end up working in private equity. They wanted to make a career change, and I told them about what process I followed to get there. Thought I would take the conversation and put down some notes about what I did.

I was once a half-decent consultant, working for one of the top consulting firms in my home country. But after a few years on the job, I found myself feeling unfulfilled. The constant travel was taking its toll. I was feeling disconnected from the work I was doing – simply going through the motions, and I was not invested in the outcome of my decisions. I felt like I was missing out on something meaningful.

One day, while talking to a friend in the finance industry, I learned about private equity. I was intrigued by the concept of investing in companies and driving growth and change. I started to do some research and learned that private equity was an exciting and dynamic field that offered a unique blend of financial analysis, operational improvements, and strategic thinking.

So, I decided to take the leap and transition from consulting to private equity. It was not an easy decision, but I was excited about the potential for growth and impact in my career.

Pros of Private Equity:

• Investment in companies and impact on their growth: As a private equity professional, you have the opportunity to invest in companies and drive positive change. This is a thrilling experience, and I feel invested in the outcome of my decisions.
• Dynamic and challenging work: Private equity is a fast-paced and dynamic field, with constantly evolving challenges. This keeps me on my toes and allows me to continue growing and developing my skills.
• Focus on results: Private equity is all about results. I am driven by the challenge of achieving the best possible outcome for my investments and the satisfaction that comes with that.

Cons of Private Equity:

• Long hours and high pressure: Private equity can be a demanding field, with long hours and high pressure. This can be challenging, especially for those with a busy personal life.
• Limited control over portfolio companies: While private equity professionals can drive change in portfolio companies, they do not have complete control over the businesses. This can sometimes limit the impact that they can have.
• High stakes: Private equity is a high stakes field, with large amounts of capital at risk. This can be stressful and requires a high degree of focus and discipline.

Overall, my journey from consulting to private equity was a rewarding and fulfilling experience. While there are pros and cons to the field, I was excited about the opportunities for growth and impact, and I committed to making the most of my career in private equity.

Moving from Consulting to Private Equity

Consulting and private equity are both lucrative and challenging careers that attract talented individuals. However, making a transition from consulting to private equity can be complex and requires careful planning and execution.

Some of the key considerations and steps involved in making this transition successfully.

Assess your skills and experience: Before making a move, it’s important to understand the skills and experiences that are relevant to private equity. Consultants are often skilled in areas such as problem-solving, data analysis, and project management.

However, private equity firms are looking for professionals who can identify investment opportunities, perform due diligence, and drive operational improvements in portfolio companies. Consider your skills and experiences, and determine if they align with the requirements of private equity firms.

Network with private equity professionals: Networking is key to making a successful transition. Reach out to individuals who have made the move from consulting to private equity and ask for their advice.

Attend industry events, join professional organizations, and connect with professionals on LinkedIn to build your network and learn about opportunities in private equity.

Learn about private equity: It’s important to gain a deep understanding of private equity before making the move. Read books and articles, attend conferences, and consider taking courses to gain knowledge about the industry.

Understanding the private equity landscape, investment process, and key players can help you position yourself as a strong candidate when opportunities arise.

Build a strong resume: Your resume should highlight your relevant skills, experiences, and achievements in a way that appeals to private equity firms.

Highlight your experience in financial analysis, due diligence, and operations improvement. Also, emphasize any experience in managing cross-functional teams and achieving strategic objectives.

Consider an MBA: An MBA can help you develop the skills and knowledge needed to succeed in private equity. It can also provide you with the opportunity to network with professionals in the industry and gain hands-on experience in investment analysis and portfolio management.

Be prepared for interviews: When interviewing for private equity positions, be prepared to discuss your experience in financial analysis, due diligence, and operational improvements.

Also, be prepared to answer questions about your investment philosophy and how you approach problem-solving.

In conclusion, making a transition from consulting to private equity requires careful planning and execution. By assessing your skills and experience, networking, learning about private equity, building a strong resume, and being prepared for interviews, you can increase your chances of making a successful transition.

With the right approach, a move from consulting to private equity can be a rewarding and fulfilling career change.