comp expectations be for PE Sr ASO/VP moving to start a corp dev team at a $10b+ EV PE-backed company?

Company is backed by UMM/MF and is setting up a team to pursue acquisitions anywhere from $500m-$5b+. What are reasonable comp expectations for someone entering at a mid/senior-level (5-8 yrs FT exp) and reporting directly to C-suite?

Does how much you make prior to the switch make any difference in negotiations e.g. can you expect better comp if you make $400k vs $300k or is corp dev comp more standardized?

Trying to gauge rough TC so salary + bonus + RSUs - if you could opine in comments on how that might be split up it would be much appreciated.

Total comp range

$150k-$200k
10% (5 votes)
$200k-$250k
18% (9 votes)
$250k-$300k
42% (21 votes)
$300k-$350k
10% (5 votes)
$350k+
20% (10 votes)
Total votes: 50
 

I am not sure what particular title you’re gunning for (e.g., VP), but I’ve worked alongside folks in similar roles across PE-backed healthcare companies. Your industry will likely play somewhat of a factor in comp determination as well.

Anecdotally, I’ve seen base salary *highly* fluctuate anywhere between $120K-$200K with 40%-100% bonus for Senior Manager and VP level roles. This varies by firm, but bonuses were calculated on a sliding scale of $ EBITDA acquired (I.e., For $500K-$1M of EBITDA acquired, you get $15K, for $1M-$2M acquired you get $30K, etc.). Corp Dev comp is typically a bit more regulated vs PE (which it sounds like you are in), but I imagine if you fall on the higher end of spectrum of compensation you would likely have an easier time negotiating up.

I have not seen RSUs granted to Corp Dev folks outside of C-Suite (CDO), but I imagine this was likely attributable to the particular companies I was at.

Hope this was helpful, happy to answer any follow-up questions.

 

I am not sure what particular title you’re gunning for (e.g., VP), but I’ve worked alongside folks in similar roles across PE-backed healthcare companies. Your industry will likely play somewhat of a factor in comp determination as well.

Anecdotally, I’ve seen base salary *highly* fluctuate anywhere between $120K-$200K with 40%-100% bonus for Senior Manager and VP level roles. This varies by firm, but bonuses were calculated on a sliding scale of $ EBITDA acquired (I.e., For $500K-$1M of EBITDA acquired, you get $15K, for $1M-$2M acquired you get $30K, etc.). Corp Dev comp is typically a bit more regulated vs PE (which it sounds like you are in), but I imagine if you fall on the higher end of spectrum of compensation you would likely have an easier time negotiating up.

I have not seen RSUs granted to Corp Dev folks outside of C-Suite (CDO), but I imagine this was likely attributable to the particular companies I was at.

Hope this was helpful, happy to answer any follow-up questions.

There's no title that's been indicated but I think it would be a Sr Manager as they've already hired a VP to be head of the team. Industry is tech if that helps. Strange take on RSUs as I know people who have left to Series C+ startups for Corp Dev roles that weren't C-level but got RSUs, but I realize this isn't a startup it's buyout PE so perhaps that makes it totally different. 

This was really helpful though to look at as a starting point, thank you. Any rough idea of how the hours compare at the Sr Manager/VP-level vs their PE equivalent? 

"The obedient always think of themselves as virtuous rather than cowardly" - Robert A. Wilson | "If you don't have any enemies in life you have never stood up for anything" - Winston Churchill | "It's a testament to the sheer belligerence of the profession that people would rather argue about the 'risk-adjusted returns' of using inferior tooth cleaning methods." - kellycriterion
 
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Happy to help! I would estimate your expected comp likely falls within the upper end of the range I outlined above as I have traditionally seen folks in tech Corp Dev earn more than my healthcare counterparts (or even other industries for that matter).

Hours are overall certainly better in Corp Dev vs PE (in my experience, 40-60 hour weeks depending on your team and deal flow), but I'd definitely recommend to do your due diligence on your VP, C Suite, etc. from a personality/working style standpoint. I had a friend working as a Corp Dev Manager at an F500 a few years ago and his hours were absolutely brutal (VP was a nightmare to work with...ex-BB, zero social life outside of work, team had 100% turnover during his 2 years with the firm). By asking about their family, friends, life outside of work, etc. in interviews, I bet you'll be able to get a better sense of what kind of hours you can expect.

Separately, I'd be curious to hear your reasoning for leaving PE for Corp Dev? Happy to chat over PM if anything too specific. I am in a similar position to you and considering pivoting back into Corp Dev in the near future myself.

 

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"The obedient always think of themselves as virtuous rather than cowardly" - Robert A. Wilson | "If you don't have any enemies in life you have never stood up for anything" - Winston Churchill | "It's a testament to the sheer belligerence of the profession that people would rather argue about the 'risk-adjusted returns' of using inferior tooth cleaning methods." - kellycriterion

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