Once in a while, I think about what life would be once I leave my job (credit investing at an asset manager). I’ve always been a fan of ‘boring’ sectors, such as franchises, or logistics, or something similar.
Does anyone have suggestions? As with most finance people, I don’t consider myself particularly creative, smart, or frankly anything that one needs to start a unique business from the ground.
Looking forward to some interesting suggestions.
Based on the most helpful WSO content, transitioning from finance to a business career in "boring" but stable sectors like franchises or logistics can be a great move. Here are some suggestions and insights:
Franchises:
Franchises are a popular choice for finance professionals because they offer a structured business model with established branding and operational support. You could explore industries like:
These businesses often require strong operational and financial management skills, which align well with your background.
Logistics and Supply Chain:
Logistics is a "boring" sector with significant growth potential, especially with the rise of e-commerce. You could consider:
These areas benefit from someone with a strong understanding of financial modeling and cost management.
Corporate Finance Roles in Startups:
If you're not ready to start your own business, joining a startup in a strategic finance or FP&A role could be a good stepping stone. Look for startups in industries like:
These sectors are growing and offer opportunities to make an impact while leveraging your finance expertise.
Acquisition Entrepreneurship:
Instead of starting a business from scratch, consider buying an existing small business. This could be a franchise, a logistics company, or even a niche manufacturing business. Search funds or independent sponsor models are common paths for finance professionals to transition into entrepreneurship.
Consulting or Advisory:
Use your credit investing experience to consult or advise small businesses in sectors you're interested in. This could involve helping them optimize their operations, manage finances, or scale their businesses.
Tech-Enabled Businesses:
While you may not consider yourself "creative," you could partner with someone who has technical expertise to start a tech-enabled business in a traditional sector. For example:
These options align with your interest in stable, "boring" sectors while leveraging your finance background.
Sources: https://www.wallstreetoasis.com/forum/private-equity/then-and-now-compbanker?customgpt=1, THEN and NOW: @CompBanker, Banking -> Startup PM on who SHOULD join IB, Gas Station, Car Wash, Fast Food - Owning Unsexy Businesses, Why Should I Work in FIG Investment Banking?
not worth del
You're right, boring businesses are gold. Your credit analysis background will help you immensely in spotting risks in car wash franchises or self-storage.
my biggest piece of advice here is, to the extent you still have the ability to, follow your intuition. Start making decisions on gut feel, roll with the punches and see where it takes you. I can say for sure the normal biz world will feel like you're operating with people a level below your finance colleagues i.e. broadly less willing to go that extra mile / intellectually less horsepower, but they will value other areas of their life and from experience are far more rounded individuals than those in fin.
Depends on your wants, but if you're UK based pretty much anything that is non-discretionary and continues to win non-sensical government contracts is a big, big play (waste management, security services). That and anything else that tries to solve for the underlying structural decay of the country (care homes, plumbing, hvac, etc.)
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