Am I underpaid for Corp Dev?
Hi everyone,
I’m just curious if I’m underpaid for an analyst in Corporate Development. Our old boss used to say so before he left.
Company: F500 Industrials
YOE: ~1.5 yrs
Base Comp: $68k
Bonus: Maxes out at $1k based on company performance. Last year I got $80. Yes, just eighty dollars.
Hours: 55-60 on average. I have hit higher during live deals. So far I have one closed deal under my belt, but have screened many that do not go past IOI.
Area: MCOL
The main thing that concerns me is that there are people in FP&A, Treasury, and other Corporate Finance functions at the entry level/1-year experience level who are getting paid the same or even more. And they work the standard 9-5. Meanwhile, when I leave the office, there are barely any cars in the parking lot. I’ve talked with my manager about this, and he claims this isn’t true and that we get paid more for the hours we work. But, based on what I’ve seen and heard, I don’t believe it’s that much more or if there even is a premium.
I wasn’t initially worried about compensation because it was affordable to live here, and there did seem to be decent upward mobility. I also am being staffed on interesting projects, so I am learning a lot. My work has been seen by members of the C-Suite, and the CEO and CFO know me by name and will talk with me when they see me.
However, the cost of living is increasing, and I haven’t heard anything about promotions or compensation raises for me. I’ve just been told to be patient and that the company will take care of me. So again, I’m concerned.
I’ve received nothing but good feedback. I do have some areas to work on, of course, but in performance reviews, I’ve been told that I exceeded expectations.
Ultimately, I just want to know if I’m being too greedy here. I know there are a lot of people who would kill to be in my role, so I don’t want to appear ungrateful. I think you guys will give it to me straight, so please let me know your thoughts. Thank you.
You are underpaid in my opinion. At the two year mark you can probably get senior analyst roles that will position for $100k+ base. At 4 YOE I was at $140k all be it in enterprise technology. Companies will exploit you if you allow them. You will be hearing “we’ll take care of you” for as long as you’re there with not much to show for it
Your boss is playing you and is a dick head for gas lighting when you brought up the fact that you are working more hours than other analysts. Your role’s comp hasn’t been adjusted in 5 years if I had to guess.
You’ve been in the role for just about the right time to be recruiting. GTFO of there. Your boss not only has to like you but they have to have the fortitude, desire, and finesse to pull for you as well.
If you want some motivation, big 4 first year auditors are making more than you. I mention them not because I look down on audit but rather big 4 was the worst paying set of well-known companies who were underpaying their analysts when I was recruiting a few years ago.
The only reason I would stay is to get a promotion which you can use for leverage in obtaining another role and a resume boost long term.
I'd strongly echo this. $65k was an acceptable base salary for a first year Corp Dev analyst in 2019. At this time, first year IB salaries were $75-85k. Just adjusting for inflation over that time period, a first year Corp Dev analyst should be pulling at least $77k, with a small bump after the first year, and a modest bonus (meaning 5-10%, not $80 lol). Great that you landed this role out of undergrad and got some M&A experience under your belt, but you are definitely being underpaid.
It's a bit of a tough hiring market at the moment, but you should definitely ask for a raise and start recruiting. With two years of M&A experience under your belt, you should be able to find a Senior Analyst type of role in another Corp Dev team (aiming for that $90-110k range mentioned below) , or get looks for an An1-2 spot at a MM investment bank in your sector (if you're interested in going that route).
Are you up for a promotion soon? You should be able to get a solid comp bump if you leave now, but even better with a higher title.
agree with others you're undercompensated. industrials (and big companies, especially) generally have lower comp but still low even given that
you sounds like you've gotten good exp - you work enough and you've got a closed deal under your belt. time to go interview. i'd vote to leave once you get an offer, but if you really want to you can use it as leverage in a conversation for a potential raise at your current employer
If I were you and you like working there, I'd ask for $80K base (or maybe $85K and then be willing to settle at $80K) and a 10% bonus. If they say no, I'd start interviewing. If you are pretty meh on the gig, I wouldn't even bother asking and just start looking for a new job. You are definitely working too many hours for that pay.
Echo with the comment above that suggested going to your manager and negotiating for a base bump. That said, would suggest a higher base ~90-110k. I've gone through many corp dev interviews ranging from analyst to manager level and with your YOE, I feel that you'd be competitive for senior analyst roles (~90-110k) or even associates (~120-140k).
The exposure to deals that you have and the visibility that you're getting sounds like you have a decent experience, so I'd simultaneously look to pivot.
Look, you’re worth what people will pay you for. I’m guessing you don’t have ib experience and this is your first job. I find going the give me a raise route is never, ever a good idea without another offer. You’re 1.5 years out of college in a horrific environment for m&a. Either get another job lined up, or just start straight up crushing yours.
Not sure I agree with this. Just because someone pays nothing doesn’t mean that is market. OP should be making far more at a Fortune 500. I started working 2018 in a rotational program making 60 with a 10% bonus
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