India Boutique IB offer negotiation
Hi guys,
Hope all's well
I have 3 yrs of back end experience and managed to convert a front office boutique IB role in Mumbai.
I just had back to back rounds of interview with a boutique IB firm and am positive of converting (hopefully)
And now, am preparing how to negotiate. The HR isn't giving any hike and she's like I should be happy that she hasn't told me to take a pay cut and instead is offering exactly the same fixed comp I am getting paid at my current firm. My primary objective to move out is to learn, get more exposure and work on client facing projects. So do you think, I should negotiate for a hike or should I just accept her package and move forward?
My current fixed comp is 12lpa and she's offering just exactly that at at the moment.
The current company I work for has free breakfast, lunch and dinner provided. Cab facility for pick up and drop. And pays for my CFA exams (~80k INR per exam) too. All these are in addition to the 12 lpa. Unfortunately, since I'm eagerly looking forward to learn, I couldn't mention about these facilities to the HR in addition to the fixed comp that I make.
Should I try and re-negotiate or should I just accept the offer and take it given the extremely limited opps that backend analysts get to convert to front office.
Not sure why you are afraid of mentioning the benefits you current receive. Those benefits definitely make up for a low base salary. However, I would ask what their bonus structure is and if possible, speak to bankers at your level to see what their bonuses were last year. Also, considering you are going into IB, I would definitely want to get paid significantly more than BO, even at the base level, because you will be working a lot more.
You're right. The firm has recently started its IBD (a year or two back) and has 15+ people with 15 year of experience. 5 associates and just one analyst at the moment. The analyst has spent just 10 months so far and hasn't received info on bonus. When I tried to press him to help me quantify the figure, he said that he's just there for the learning.
The reason I didn't mention the additional perks was just because I could sense a feeling of her not being quite happy when I said 12 lpa itself and I seriously didn't want to spend more than 3 yrs in backend since it is no longer value adding to my profile.
Im just quite not happy with moving out of my current company where I have built a reputation, great connects with senior mgmt and now have a comfortable 55 week per hour lifestyle.
While I do want to learn, be exposed to client facing projects, I sincerely also hoped that they'd offer atleast 15 base for an analyst. The HR simply said no that's not possible. Should I press further in this case?
One totally other alternative I have is to pursue an MBA itself. After going through so many interviews, I've come to the final defeat to the three letters indian IB recruiters like to breathe day in day out its MBA
What are your thoughts. Sorry for the slight rant but I really don't want to move out without the hike but learning is important too. :/ Hence the dilemma
Honestly sounds like you are in a great spot currently. I would consider MBA programs or continue looking around for other IB opportunities that will pay you adequately and are more reputable. Also, a firm that has that many associates with only one analyst does not sound like a great spot to be.
From my research so far, in boutique Indian IBs - the only difference b/w an analyst and associate is that ASO has an MBA. The work here is exactly the same.
Let me know if you think otherwise and I am really happy to learn from your experience so far.
I wouldn’t negotiate. Seems like limited upside (how much more are you really going to negotiate into?) with potential for unlimited downside (they can take back the offer). You’re a smart guy I’m sure but they’re taking a gamble cause you’re from the back office. Be happy you got this opportunity and take it. If you really don’t like it here, stick around for a bit and then lateral elsewhere. If you’re a junior, pay isn’t super negotiable anyway since you don’t bring that much to the table.
They are not going to renege because OP is trying to negotiate.
Got it thanks.
My only motivation was to have my disposable income to the same level as my current company since it pays for my food and cab travel plus CFA.
Generally, from my research I found that any boutique in India will pay 15 lpa as fixed and bonus based on deal flow
So had thought of 20 lpa all in figure at the least.
Also, would it be easy to lateral from this new startup boutique IB (MDs they've hired are from Lazard, DB, and other global banks) to a better firm such as Avendus, Kotak etc?
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