Starting advisory/fund
2 years of working experience. Currently serving as an independent advisor to a consumer product focused small sized company. I am confident in my abilities to help them grow and gain presence. Would like to raise a fund myself, to invest directly into the company; also considering that I have direct access to work with different companies across various industries.
I understand I may not have a solid track record. But at this stage, I am saying fuck all the excuses, noise, negatively, and just focus on getting the job done. Not to say that I undermine the value constructive criticism.
If I can prove with upcoming results, I see why not. Could be the first of many future works.
Focused on opportunistic companies in the Asian region. What do you guys think? Am I crazy?
I just want to waste no time, begin owning up, and be responsible of my own destiny.
I am not against the idea of working for another, but I just strongly believe I can do it as equally, or if not better.. apologies if I may sound egotistical, but why not try giving it all I’ve got.
With the upmost sincerity,
Start with the company you're currently advising. Kick off a fundraising process for them and put some of your own capital in it. You'll build the LP connections needed. In terms of LPs target family offices first.
Great mentioning on targeting family offices first. Thank you.
Appreciate the feedback
Track record isn't the issue, it's that you have only two years work experience...that's a joke bro. I know people with 10 years of solid PE experience that fail at raising money, even tiny amounts.
When you're young you want to focus on building skill and networking. No one is going to take someone seriously who has only been earning a living for two years. Sorry for the reality check but you're on a different planet.
I have 13 years work experience, half in IB and the other half in PE and just raised my first fund - was 250mm in size and a total grind...and I had a great track record.
What space did you raise your fund in? Would you be willing to PM me? I'd be interested in connecting and picking your brain on a few things.
Appreciate the feedback.
Regarding treating the two years of work experience as a "joke," I do understand where you are coming from, and such may be the majority's notion. For those people that have been in the industry for 10 years and fail to raise even tiny amounts; do you think that the number of years in the workforce is directly correlated to the ability to raise capital? I do believe that the decade-long experience may definitely build the credibility, and something that people may much respect. However, regarding raising 1-10m for a specific company I am closely working with, I think that's a different ball game.
In terms of building the skills and network I strongly believe that I could be doing both while pursuing the fund raising and continuing the strategic advisory role. I have already met several amazing people, and learned tremendously throughout the process.
You have mentioned that "no one" is going to take me seriously considering the number of work experience. I have to say I disagree. With the seriousness, sincerity, and tenaciousness I have for the work, I am confident that there are people who will treat it well. Maybe not many, but I only need a few.
The 13 years of experience you have in the industry is something I can look up to and much respect about. Congratulations on the fund raising. If it the amount "was" 250mn, how big is it now? And how do you plan on deploying the capital?
Enjoying the dialogue,
Agree with above, 2 years of work experience is not enough to raise a fund unless you have serious family & friends money to build a track record with.
In PE, yes number of years does have some impact. It's a tough environment and you are up against guys with decades of serious investing and operational experience also trying to raise first-time funds. There's some nuance between "fuck all of the noise, control my own destiny" and the reality of raising a fund which truthfully you do not seem to be well-versed in.
You can try of course, but I wouldn't quit your day job.
Appreciate the feedback.
Just out of genuine curiosity, have you made an attempt to raise capital yourself? If so, how much?
Nope, and that is a very off-the-beaten-path track so you're going to have some real difficulty finding young people who have. And honestly, for good reason because the competition is stiff even for incredibly accomplished folks. This is not startup land where some 23 year old with chutzpah gets all the money. Finance is very risk averse.
Again, if you'd like to pursue this, go ahead. But your writing / attitude lacks maturity so that will be a hurdle. I would go less with "this is my dream and fuck the negativity" and waaay more on what you are going to offer investors that is different from the other firm down the street who has years of success in investing.
Best of luck.
Well most guys that succeed aren't on here hyping themselves up, they are working at it already.
Sure but no one on earth has ever raised money with only two years of work experience.
You don't know how to set up a fund operationally so you need a lot of advisors to help you to even have a shot. A lot of advisors is expensive. Means you need to raise enough money to make it worthwile and amortize the cost. But you can't raise enough money because you barely have any work experience. Reconsider unless you have family money
Yeah seems pretty crazy, you want to put two very unfavored investment themes together (consumer + Asia) and have no experience in PE.
I know many investors in Asia (ex big funds) that focus on consumer and their returns are horrendous. Imagine only having two years work experience and going into this. Laughable.
Absolutely no matter how you split it L Cat Asia's returns have been horrible, Hillhouse's consumer sector investments returns have been horrible. Smaller groups are even worse.
You don't have to set up a fund (it's also not going to happen with 2 years of experience) but you can definitely raise capital for this deal (and future deals) as an independent sponsor.
Love the hustle. If you can earn fees doing what you're doing and have an eye for spotting alpha, you can get deals funded as an IS but it's going to be a grind and a slog. Do a bunch of deals like this and then in 5-10 years you can raise a fund.
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