Advice Request: I was furloughed earlier this year and subsequently formed an LLC to provide outsourced underwriting, investment analysis, and structure/formation consulting work to CRE investors. I'm currently have 3 clients in the first 6 weeks, one of which being a former principal at my previous employer. This route has allowed me to stay sharp, go on offense, and keep my sanity. - As someone who is mid-level career (AVP/Director) with ambitions of principal investing, what am I missing by not being in-house at a fund or name-brand operator? And, how might this be viewed by potential employers in the future if I went back in-house when the job market improves? Or should I burn the boats and pick up more clients?
Backstory: Until recently I was working at a high profile family owned GP on the acquisitions and AM team (wear all hats type of role). The company recently went through a structural reorg - family succession from g-1 to g-2 and took on new investors to fund significantly trimmed operations - as a result the entire board turned over along with majority of staff, leaving a limited crew for investments.
Challenge: The job market has been brutal. Since February I've had over 200 coffee chats, meetings, and informal interviews with all of the right people in my market (CEOs, CIOs, head of acq, top brokers, MDs, etc.) but have ultimately passed low ball offers, bad fits, or company not hiring or pulls position and decides not to hire. I've been added to "top of the list" for when capital markets open up but do not want to settle for something now and leave anything in 6-8 months.
Background: I have a non-traditional REPE route which also adds to the challenge. First member of my family to attend college, non-target undergrad, rolled internship to fixed-income S&T at prestigious boutique, top-5 MBA, a few traditional PE mba-associate roles, top-3 brokerage (debt & equity), high-profile GP... current day, 10 years total work experience.
Summary: Again, any feedback would be greatly appreciated. What am I missing by operating independently and how might future employers view the consulting period? Or should I burn the boats, get more clients, hire my own analysts, and make this a legitimate alternative?
My firm has a history of hiring outsourced work like this as we were growing. We even ended up bringing on some of them as full time employees once we were in a position to. So I think it's a solid idea especially right now as the winner and losers are still being shaken out and you can hold off on picking your long-term option until the market direction is more clear.
I would be hesitant to make a career out of being a 3rd party consultant. With real estate, the most value is going to come from relationships and driving deals or returns, and I'd be worried that someone in the Philippines could eventually take over the modeling and memo work some day for a few bucks an hour and leaving you in a spot without much value. The people on the front-lines can't be outsourced b/c it is so local and relationship based but you won't be in those positions if you spend your career being a 3rd party.
Sent you a PM that’s somewhat related
Thank you, I appreciate that feedback
Let me know if it went through this time!
bump
Bump, I respect your hustle man. Whatever happens hope it works out
Just shoot me an email. The messages aren’t working
it’s about a potential project
[email protected]
Great, I just sent you an email. Looking forward to learning more about the opportunity.
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