Difference Between Buyout PE and Growth Recruiting

How does the process of recruiting for growth differ from buyout PE? Both in terms of head hunters and getting interviews, and in terms of technicals. Do growth shops still run LBO tests? How does the technical portion of the interview differ?

 
 
Most Helpful

for one they're pretty different investment approaches. for growth you should know the industry they invest in very well and a potential target for them.

some growth firms still use debt, some dont, you should be able to build a simple lbo regardless

technicals focus more on whats relevant to the growth shop, i.e. the industry and unit econs, less so on leverage

 

Overall, the process is fairly similar. If you are well-prepared for PE interviews you will do fine in growth as long as you have a good answer for the "why growth equity" question.

Headhunters for PE and growth are largely the same. Getting interviews is going to be almost the same as well, in that analysts from top banks & groups will have a much easier time securing interviews (especially on-cycle and with the largest funds). Most growth equity funds will have you do an LBO modeling test and/or some sort of case study. Technical portion might be a ltitle more geared towards SaaS metrics (ARR, retention, LTV/CAC, etc.) in growth but overall it's pretty similar.

 

Agree have also seen in the past that growth firms will often times throw "unstructured" data at you (ie a csv file with tons of rows and columns which are ordered but not presented in usual P&L format) and expect you to convert it into a price/volume/rev build with that flowing into a model for which you then build your case on

 

Occaecati voluptatem quidem qui expedita dicta. Ea et ullam eum dolores modi quaerat consequatur. Soluta vero quae beatae aspernatur dicta repellendus.

Eaque sed officiis aperiam dolor qui et repellat. Voluptatum ratione neque perferendis est qui veniam quae. Non numquam vitae eos voluptas assumenda a. Molestias delectus repellat et facere.

Quae ea dolores sit id. Nihil maiores accusamus exercitationem ut. Eos velit et dignissimos et animi et quisquam. Sed recusandae hic laborum ipsum sit.

Career Advancement Opportunities

March 2024 Private Equity

  • The Riverside Company 99.5%
  • Warburg Pincus 99.0%
  • Blackstone Group 98.4%
  • KKR (Kohlberg Kravis Roberts) 97.9%
  • Bain Capital 97.4%

Overall Employee Satisfaction

March 2024 Private Equity

  • The Riverside Company 99.5%
  • Blackstone Group 98.9%
  • KKR (Kohlberg Kravis Roberts) 98.4%
  • Ardian 97.9%
  • Bain Capital 97.4%

Professional Growth Opportunities

March 2024 Private Equity

  • The Riverside Company 99.5%
  • Bain Capital 99.0%
  • Blackstone Group 98.4%
  • Warburg Pincus 97.9%
  • Starwood Capital Group 97.4%

Total Avg Compensation

March 2024 Private Equity

  • Principal (9) $653
  • Director/MD (21) $586
  • Vice President (92) $362
  • 3rd+ Year Associate (89) $280
  • 2nd Year Associate (204) $268
  • 1st Year Associate (386) $229
  • 3rd+ Year Analyst (28) $157
  • 2nd Year Analyst (83) $134
  • 1st Year Analyst (246) $122
  • Intern/Summer Associate (32) $82
  • Intern/Summer Analyst (313) $59
notes
16 IB Interviews Notes

“... there’s no excuse to not take advantage of the resources out there available to you. Best value for your $ are the...”

Leaderboard

1
redever's picture
redever
99.2
2
Secyh62's picture
Secyh62
99.0
3
Betsy Massar's picture
Betsy Massar
99.0
4
BankonBanking's picture
BankonBanking
99.0
5
kanon's picture
kanon
98.9
6
DrApeman's picture
DrApeman
98.9
7
dosk17's picture
dosk17
98.9
8
CompBanker's picture
CompBanker
98.9
9
GameTheory's picture
GameTheory
98.9
10
numi's picture
numi
98.8
success
From 10 rejections to 1 dream investment banking internship

“... I believe it was the single biggest reason why I ended up with an offer...”