Hey Monkeys, I'm contemplating moving into a VP role at a startup energy devco that will be almost solely focused on raising asset level (project / structured) financing - I say almost solely because there will be a need for corporate level capital at some point and given the scale, that will likely fall within my scope. Assuming a liquidity event in 5-6 years, at which point I, in theory, would have a choice to stay or exit as well, what are my options outside of moving into a similar role at a corp / what have people seen. Appreciate any thoughts, even if speculation.
Cheers
Based on the Wall Street Oasis discussions, transitioning into a VP role at a startup energy development company focused on raising project or structured finance presents several potential exit opportunities and considerations:
Similar Roles in Larger Corporations: After gaining significant experience in project finance within a startup environment, one viable path is to transition into similar roles at larger, more established energy companies. These roles would likely involve overseeing larger, more complex financing projects and could offer more stability and potentially better compensation.
Transition to Corporate Finance: With experience in both asset-level and corporate-level capital raising, you could transition into broader corporate finance roles. These positions might involve strategic financial planning, investment analysis, and managing financial risks at a corporate level, providing a broader scope than project-specific financing.
Consulting or Advisory Roles: Leveraging your specialized knowledge in structured finance, another exit opportunity could be moving into consulting or advisory roles. This could involve advising other companies on capital raising strategies, financial structuring, and managing financial projects, which can be particularly lucrative and intellectually stimulating.
Entrepreneurial Ventures: Given the entrepreneurial nature of a startup, another path could be founding your own firm or joining another startup as a financial strategist. This route would allow you to utilize your hands-on experience in navigating financial challenges in a startup environment.
Industry Shifts: Depending on your interests and the network you build, shifting to a different industry that also relies heavily on structured financing, such as real estate or infrastructure, could be a strategic move. This would allow you to apply your skills in a new context, potentially opening up new challenges and opportunities.
Each of these paths offers different benefits and challenges, and the best choice would depend on your career goals, personal interests, and the specific experiences you gain in your role at the startup energy development company.
Sources: Life after 2 years in Private Equity, Q&A: Corporate Strategy Manager at F100 Entertainment Company (came from Non-MBB Management Consulting), Any career regrets after moving from PE to public markets?, PE Senior Associate - What next?, Exiting from Corporate Development
bump
b
How many years of experience do you have right now and doing what? What level of seniority is the VP role? Do you report directly to CFO? Do you have direct reports?
Eager to hear thoughts and happy to elaborate further
Assuming the company is successful and you are able to get a lot of reps raising debt, tax equity, and corporate equity, you should be able to pivot to project finance at a bank, private credit, renewables advisory/M&A, or renewables private equity. It will certainly depend on how successful and well-known your shop is (assuming you are doing utility scale, front-of the meter).
Early stage dev cos are a really amazing way to learn the ins and outs of the industry (especially about development risks), which many investors and lenders are looking for expertise on since they are investing early and early in the development lifecycle.
A major consideration in determining whether you should join is the experience and reputation of the founders and c-suite, as well as the amount and reputation of the financial backing they have.
Would you say working at a developer (even if they're very small) is more valuable experience for someone on the lending side trying to move into Infra IB or PE?
more valuable than what?
Thanks for the thoughtful response, a few follow-up questions / thoughts:
Again, seriously appreciate your thoughts up to this point and any you are willing to provide on the above.
1. What is BK7? I think if your company was unsuccessful that would make it somewhat harder to get a job at a top firm, but not impossible.
2. Yeah, I think 2/year + other capital raising is reasonable. What is the size of the projects? Will be helpful for your resume if you can say something like - led capital raising of ~$1B in capital for 1 GW of projects, etc. There is also value in being involved in pre-financing activities like M&A, investment committee presentations for projects, and generally being involved in the development process.
3. Will depend on how many deals you are leading on your own (including negotiating legal docs). If you are operating fully autonomously, you can probably target a VP or similar level role at the firms I mentioned previously.
For what it's worth, it's a little surprising to me that you would be tasked with leading these financings for the devco given that it doesn't appear you have a lot of past experience in that area.
Velit facere alias est non. Et eligendi illum molestiae odit blanditiis nostrum ut. Illum repudiandae eius corporis ab modi assumenda. Hic vel eaque voluptas ex magnam ad inventore ad.
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...