Q&A: MD/PhD --> MBB --> MegaFund
Hi all,
This forum has been a constant source of great information, so I'd like to give back with my first Q&A as I wrap up with MBB and prepare for the next role.
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Thanks for the response. This is pretty interesting to me as most MD/PhD's I know at MF aren't doing LBO's. They're usually in the VC/GE arms like Bain Capital Life Sciences, Blackstone Life Sciences or TPG Biotech. LBO's in HC aren't generally done on companies with a lot of clinical risk (what MD/PhD's are qualified to assess). Just curious as to why you chose to go the LBO route?
Do you ever grapple with feelings of selfishness or immorality?
A medical doctor helps society directly and a PhD could directly help society by teaching or by researching new treatments, but consulting and PE executives do not have such a direct link to global well-being. Outside of this site, consultants and PE executives are hated and (sometimes rightfully) blamed for ruining companies and eliminating jobs...
Ah yeah because real estate guys are surely so universally loved? Totally see where you're coming from Gandhi
hey
that is an interesting question - I've thought about it quite a lot. I actually wanted to become a university professor for most of my twenties, but what I realised was that it was not really what I wanted. It was what was expected of me and what academic institutions I worked in held up as the holy grail (as does every institution with its top brass). I was actually quite successful - I published well, made two discoveries that I am really proud of and thus contributed to our understanding of biomedical science, but I just wasn't happy. When I finally admitted to myself that my interests are broader than just science/medicine and actually extend to the business world I realised that I was more motivated, happier and successful as I began combining the two. I never looked back. I stopped trying to mould myself into something I wasn't and looked for a job/mould out there that was either already the shape I was or was of a shape that I would gladly become because I could full most of my interests by doing it.
BIWS - basically did the PE course like it was a uni course, notebook and all, writing down as he narrated, highlighting stuff in my notebook with highlighters, proper nerd-level learning. I'm quite academic so I like to learn something in a structured way rather than through doing/figuring stuff out ad hoc. When the MF knocked on my door, I just created an excel spread sheet, all the LBO and modelling exercises I had access to in rows, the dates until D-day as columns, put crosses across the intersections to make sure I was doing at least one timed LBO a day and working through it, no excuses. My partner basically lost me to 2h timed LBOs every evening for about 3 weeks straight.
In person, Lenovo laptop (important - ppl don't understand how much having an unknown laptop/shortcuts kills productivity), blank excel, blank word doc, hardcopy CIM - 1h30min (ish). Go. Had to do IS, short CFS, no BS, full debt schedule, shareholder loan, toggle in ant out different debt types, and the IS was painful, so many different revenue streams, increases in EBITDA over time, decreases in revenue. Basically spent most of the time on IS and then did the rest in 20 min. Had to also write a one page word doc - overview of business, key attractions, key considerations, what would you diligence further etc. etc.
This needs to be prepared for as if you are prepping a Uni exam - everything has to be second nature so that the only things that are new to you at that moment is the CIM and the modelling instructions. Otherwise you just don't have time. Don't underestimate that.