I work for a sponsor and we are currently raising fund money. Through my personal connection, we will likely raise $100M+. I am currently an associate. Do I have the right to ask for a % of what I raised on top of my year-end bonus at this level? Without WSO input, I am leaning towards negotiating 10-15 bps.
I'm guessing a brokerage raising this money would easily charge a point.
Any thoughts appreciated, thanks.
| +52 | Leave brokerage to be GP | 12 | 2d | |
| +46 | New Comp Database - Google Form (Now with Data Validation) | 24 | 2d | |
| +24 | Seeking Career Guidance in Real Estate Development Post-Graduation | 3 | 3d | |
| +23 | Going out on your own | 4 | 2d | |
| +23 | Spreads over SOFR/UST | 5 | 18h | |
| +22 | REPE/Development GPA | 15 | 4d | |
| +21 | Real Estate = complicated + underpaid | 15 | 2d | |
| +20 | High achiever that doesn’t want to work weekends | 12 | 20m | |
| +17 | Fisher Brothers | 6 | 2d | |
| +17 | MSRE/MSRED with no RE experience; Naive to think I’ll land a job afterwards? | 4 | 6d |
Career Resources
Get instant access to lessons taught by experienced private equity pros and bulge bracket investment bankers including financial statement modeling, DCF, M&A, LBO, Comps and Excel Modeling.
I probably would have negotiated that beforehand, but I would absolutely ask, but only when its like 90% chance its going to happen. Don't be shy about it, that's a huge amount of money, they should give you something very generous for it especially as its a very difficult time to raise anything. Just ask for it and say that you may have a couple more connections but want to make sure you are compensated. I was in a similar situation and they agreed to pay me.
How does the fallout look if at 90% line, he asks for 10-15 bps and they say sure (not in writing). Company does not pay them and he goes to the people who invested $100mm saying he got screwed.
How does that work? If the investors are close friends does that cause trouble or companies know this and are willing to give a small % so that doesn't happen.
Also on the 1%, I think for deals of that size on the debt side it's be closer to .5% but to your point your ask is still much lower.
Velit nulla consectetur doloremque ut ipsa laboriosam et. Veritatis molestiae suscipit vitae perferendis vero sed placeat. Qui minus debitis laudantium corporis. Expedita corporis suscipit libero. Voluptatibus eos incidunt est error ut reprehenderit.
Error dolorem assumenda quis quasi reiciendis dignissimos. Nihil perferendis unde maiores reprehenderit. Dolorem eius rerum laboriosam labore est adipisci.
Similique impedit sed architecto sed possimus. Omnis odit et voluptas neque. Molestiae quis eaque voluptas nihil quidem nemo qui odit. Vitae non rem alias vel.
See All Comments - 100% Free
WSO depends on everyone being able to pitch in when they know something. Unlock with your email and get bonus: 6 financial modeling lessons free ($199 value)
or Unlock with your social account...