phone call with MD at PE firm

I got a phone call with a MD at a PE firm coming up. I am at lost to what to ask him as I am not really used to talking to someone so senior. His general background/portfolio companies are already on the website so those questions are out.

Thanks.

4 Comments
 

What type of strategy is the PE firm?

Ask him about how they source deals, characteristics of the industries they focus on, how their strategy is different from their closest competitors, and how they typically exit their investments.

Even though the background of some of their portfolio companies is on the website, have him walk you through one of their past deals, so you can get an idea of how they create value. (Are they just taking private companies public to sell at a higher earnings multiple? Do they cut costs? Do they do M&As to expand their port co's or grow them organically? Do they bring in new management? What size of deals do they like? Are these growing companies or ones that need to be turned around? )

 

You could ask him what the portfolio companies all have in common that attracted the PE firm to partner with them. (not just industry but management styles, growth possibilities, new patented production technology?)

Ask what he thinks are the most critical skills or perspectives that a newbie needs to be successful.

There is talk of a shortage of good entrepreneurs/businesses with invest-able/scale-able ideas in today's landscape. Does he agree with that? What are their major screens to pick portfolio companies?

 

Ask him what they're seeing in the market now-exits for existing portfolio companies, value opportunities, financing environment

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