Starting a PE fund

In a totally fabricated world...

Say you did 2 years IB, 4 years in an UMM PE firm. 

How easy would it be to raise capital. Say even 5-10mil?

And how would you do it? - Would you speak to small family offices for tiny tickets?

Would sourcing a deal, pre-arranging debt and then asking for co-invests and other small PE firms to join be your best bet?

Or would you go about it another way?

4 Comments
 

I’m a Senior Associate at a mid cap fund that’s had pretty good returns, I’ve chatted to a few family offices just out of curiosity, asking questions like “where would I need to be in a few years for you to back me” and the consensus I got was that small spin outs are backed because of their specialisation. You need to be the expert on something very niche, the example I was given was Polish building materials. If you can do that then as a VP my understanding is that you can get a decent amount of cash with the understanding that if you do well they will give you more. This will be a very long route to building your own shop but if you’re the kind of person who hates working for other people it’s not a bad track.

The alternative route of spinning out at the MD level and doing a huge raise is probably more lucrative in the long run but is obviously a bit of a grind.

 

Numquam modi hic et est. Quia consequatur animi velit dolor velit harum quaerat.

Labore cumque asperiores natus quos dolores. Accusamus est laborum id non. Molestiae mollitia harum ea et autem. Sed aut et dolorem ducimus culpa at. Vel soluta nam est mollitia sint qui.

Qui totam necessitatibus natus velit aliquid. Excepturi omnis tempore dolorem. A earum repellat rerum provident. Sit magnam cum quae ipsa adipisci optio. Numquam autem perspiciatis molestiae officiis. Magnam qui tempore voluptas.

Laudantium similique error aut accusamus. Error cumque cum quo quam molestiae ut. Dolor repellat molestias laboriosam et iste quia vero. Quo ratione sunt vel accusantium minus. Dolor reprehenderit enim explicabo et eius pariatur asperiores. Quibusdam aut quo dolores a quia sed mollitia expedita. Ipsam voluptatibus aliquam sed rerum.

incentives trumph ethics

Career Advancement Opportunities

June 2026 Private Equity

  • The Riverside Company 99.6%
  • KKR (Kohlberg Kravis Roberts) 99.2%
  • Blackstone Group 98.9%
  • Warburg Pincus 98.5%
  • Bain Capital 98.1%

Overall Employee Satisfaction

June 2026 Private Equity

  • KKR (Kohlberg Kravis Roberts) 99.6%
  • The Riverside Company 99.2%
  • Ardian 98.9%
  • Blackstone Group 98.5%
  • Starwood Capital Group 98.1%

Professional Growth Opportunities

June 2026 Private Equity

  • Bain Capital 99.6%
  • The Riverside Company 99.2%
  • Blackstone Group 98.9%
  • Starwood Capital Group 98.5%
  • KKR (Kohlberg Kravis Roberts) 98.1%

Total Avg Compensation

June 2026 Private Equity

  • Principal (9) $653
  • Director/MD (24) $547
  • Vice President (97) $363
  • 3rd+ Year Associate (104) $281
  • 2nd Year Associate (234) $272
  • 1st Year Associate (411) $229
  • 3rd+ Year Analyst (33) $157
  • 2nd Year Analyst (95) $134
  • 1st Year Analyst (271) $124
  • Intern/Summer Associate (37) $80
  • Intern/Summer Analyst (351) $61
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
kanon's picture
kanon
99.0
3
BankonBanking's picture
BankonBanking
99.0
4
Secyh62's picture
Secyh62
99.0
5
DrApeman's picture
DrApeman
98.9
6
Betsy Massar's picture
Betsy Massar
98.9
7
GameTheory's picture
GameTheory
98.9
8
dosk17's picture
dosk17
98.9
9
CompBanker's picture
CompBanker
98.9
10
Jamoldo's picture
Jamoldo
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...”