Laid Off.. Career Decision (NEED ADVICE)
A few months ago, I was let go from a lower/middle-market PE firm in NYC, where I had been working as a generalist for ~1.5 years. After that event, I took some time to step back, reflect on my experience, and think through what I wanted to do next.
As part of that process, I reconnected with a handful of headhunters. Those conversations went well, and they shared my updated resume with firms that matched the criteria I had in mind. At this point, a month has passed and I have not seen any first-rounds come through yet. On one hand, it feels surprising given my deal experience (1 platform and 3 add-ons closed), but on the other, it makes sense given how slow the hiring market is right now, which the recruiters themselves confirmed, likely coupled with my lay off.
Here is the twist: my old bank, based in the Midwest, recently reached out after noticing I was no longer in PE. I left that team on very good terms as some of the partners would still check in occasionally and share what they were working on, so the door never felt as if it was fully closed. They just hired a young, hungry MD who is looking for a VP to help build up a new vertical, which I happened to spend almost all my time at my PE shop.
The dilemma is that I generally found the work in PE more intellectually stimulating, but the work-life balance and pay in IB was comparatively much better. I briefly considered business school, but the idea of waiting around twelve months to start and paying $200k does not feel very appealing at this stage in my life.
So now I am at a crossroads. Do I continue to increase the unemployment gap on my resume in hopes of securing a better PE experience, or pursue the IB opportunity and move back halfway across the country?
The employment gap isn’t crazy, you should go back to the old bank if it’s taking longer than 3-6 months to find what you want.
You can keep recruiting after going back to the old bank but most likely if you leave a second time without putting in a few years it’ll burn that bridge.
Go back. Vp title is a good title bump too
If I were you, I'd begin talking to your old bank as the PE market is soft. I hear you on the intellectual side. You can always apply Round 2 to business school as well as applications are due in January. It'll give you something to focus on.
What was the context of the layoff? Were you just an under-performer relative to your peers?
This piece could be part of what’s spooking the head hunters - as you pointed out, you have good deal experience. But being laid off (fairly or unfairly) puts a stain on your resume.
No, it was mostly internal dynamics combined with desire to stay closer to NYC (vs CT). Received a strong year end review a few months prior.
Finance recruiters are extremely punitive towards those that have been laid off and focus on the safe bet candidates with typical pedigrees and “clean resumes”. I would focus on the opportunities generated from your network, build a network (reach out to funds in areas where you have spent time in), and take calls with recruiters but dont ever think they are doing you any favors.
I would take the IB job in a heartbeat. A few thoughts:
You mentioned the intellectual stimulation of PE vs. IB. Your PE experience was probably an outlier if you felt it was noticeably more intellectually stimulating than IB. I think I speak for most when I say, I thought PE would be intellectually stimulating but it isn't. I feel like an in-house investment banker kept on retainer. It's nice to not have to pitch clients I guess, but otherwise the work is very similar.
The other thought is, don't overlook the value of joining a team where you already have a good history or chemistry with that team. I've read too many biographies of successful businesspeople and more than anything else, the quality of the team around you is the thing they all value tremendously.
Like others have said, the lateral Sr Aso / Junior VP market basically doesn’t exist right now. Simply nobody growing headcount, raising new funds, or doing enough deals to justify. And they have their good associates. Or would rather bring in a day 1 VP or post MBA. So there’s those structural issue. Ppl have been waiting for mkt to pick up but it simply has not for a while now…esp if you’re picky on geography and other criteria
Point is would not overlook the IB offer given it seems there are some obvious pros to joining that group again, in the midst of tough PE market
If your gut tells you the role is suitable for you (IB with the better WLB), you take it and weather the storm. Sit out for a year or two and apply for PE roles when you're in IB. Easier to get hired when you are already hired
Hope you are doing well and that things have worked out. Came across this as I heard the news yesterday, 1.8yrs of experience here, mass reach outs to HH and replying to LinkedIn inbounds, some traction. Told my last day will be mid-end of Feb, scared to recruit once not at the firm. (not-perf, can get refs from Partners, Managers, even CEO/big-dog)
Any tips on how to stay sane, grounded, and what has worked for you recruiting wise?
Find something and fast. Doesn't need to be your dream job but it will help with optics and how you spin your story. Went through something similar and ended up being unemployed for over six months before landing a role I would have never considered while being employed...
Exactly my thoughts, looking to get something within the next 2 months; Have some processes kicking off already, not being picky about it.
Network and make it clear that you’re looking to your peers, old colleagues, friends, coworkers, etc. You never know who knows someone who is looking. Formally tee up those references early and make it clear you need to prioritize recruiting. Practice your story spinning your situation and make it clear you’re open to immediate starts.
It’s a really stressful process to recruit knowing you have a tight timeline. If financially feasible, it’s not the end of the world to have an employment gap although you’d like to avoid. Many of my friends have taken gaps in the past 2 years and landed on their 2 feet. Sure, the optics aren’t great but my take is that the biggest damage is done once they know there’s no path forward for you, whether your last date is in February or July. Also once the employment gap is more than 3 months, it becomes harder to hide. You’ll find something, good luck.
Appreciate it, and yes, my issues with a gap are not financial but more on how it becomes harder to recruit/explain.
Are you considering business school as a possibility given you are nearing the end of your associate program?
bump
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