Hey everyone,
I need help deciding on something. I recently interviewed for a PE Analyst role in Boston, MA for a venture/private equity firm. I have gotten the offer: $55K plus 20% bonus. I am currently employed at $70k base, probably 5 % bonus in a consulting position with a mid market consulting firm in NYC. Should I relocate and make the switch? Please advise and if you need me to answer some questions before you counsel, I would be more than happy to. Thanks in advance!
Do you want to work in PE or in consulting? Surely that is the thing to decide between and nobody here can help you with that....
PE...always have...but I would have to relocate for a lower salary and I'm not even sure about the growth opp. there. They are pretty reputable, but still having doubts. Should I wait and see what else comes up in NY or in general?
You want to work in PE. You currently work in consulting. You have an offer for PE in a reputable area. I don't really see the problem with the decision? Maybe I'm missing something....
It may be a lower salary but assuming your numbers are right, you'll be making only around $8k less in Boston so will actually be better off financially.
Consider this. In 5 years time would you rather be working at that same PE firm doing exactly the same job as you are currently being offered or would you rather have the job your current boss does? (Assuming you report to someone 1 'tier' above you and not the CEO or something).
Surprised to see the base this low. Is it direct investing or fof/ co inv?
BSTN05 -- it is direct investing... focus on venture capital, private equity, hedge funds, real estate, and event-driven public equity opportunities. I think the reason for a low base is because it's an entry-level position, made for recent grads but still required strong modelling skills.
Asatar -- I understand. Thanks for your feedback. Currently, I report to a Partner, who sells to PEGs and also helps out with engagements. One of the managing partners of the PE firm in Boston is a Harvard MBA, who supposedly is very active and sits on the board of many of their portcos. One of the reason I am having doubts is because its a very lean firm (maybe 10-15 people). What about job security in such a firm and growth? I know that I can perform the job well, but what if it's not what I expected. Of course, the role itself is traditional PE analyst tasks, but it's really more about relocating from NYC to Boston.
I wouldn't let location or compensation drive your decision right now; your main focus should be to get the experience necessary to set you up in the future.
I think the real question boils down to whether or not you can jump ship from your current firm after 2-3 years and get into a pre-mba associate role. How much experience do you have in consulting? When you say MM consulting firm, does that mean Booz/OW/Monitor or similar?
Cost-of-living is far lower in MA. You'll probably pocket more in take-home with that salary in Boston. Just something to keep in mind. Comp should not be at the forefront when you're making a decision.
BSTN05 -- Yes similar, but I'm not sure if I can get into a pre-mba assoc. role in 2-3 years. I don't want to take that risk, that's why I would like to transition now to a PE/banking role and have that on my resume and then try for a pre-mba role. I have less than 6 months exp. in consulting, as I just recently graduated this past June.
Notaspammer -- Thank you for your feedback. Right now, I make $70k without bonus, since I commute from Jersey and still live at my parents' home, I save the higher cost-of-living in NYC. But I understand what you mean and you are right.
Why don't you ask for more money and then take the offer?
I would say take the job and not think too much about comp, especially when there isn't too big difference. You need the experience and you can really build out a great network to move to another fund if you find you don't have great promotion chances. I think it's a lot easier to move between funds compared to landing another PE offer working in a different job function.
Just my two cents though - this is a big decision and you need to make it.
If you decide to move, ask for more money. Tell them they are underpaying and that you already make much more in your current role... Maybe make a counter offer.
Don't let cost of living comparisons between cities dominate your thinking. If you decide to pay for b-school or end up getting married in a few years cost of living comparisons aren't going to make a difference. You need to get paid.
Voluptatem et ut eos nisi officia. Expedita sed laudantium eligendi ut veniam et ducimus quaerat. Quas est ut consequatur eum.
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...