REPE Acquisitions vs Business Valuations
Hi all, I just received 2 job offers as a fresh graduate and would like some advice on which to choose:
Offer 1: REPE Acquisitions in a no-name small family office style fund (~1B AUM).
Offer 2: Business Valuations in a Big-4 like services firm.
Compensation packages are almost identical and I am indifferent to the work done (I like both and do not have any preference).
So, which of these options do you think will present the greatest upside (Long-term earning potential, Career progression, Exit/Pivot opportunities), assuming that I:
Offer 1: Stay within REPE for the rest of my career and move step-by-step into the larger REPE funds.
Offer 2: Stay in BVAL for 1-1.5 years and try to pivot into IB/ER/AM, while taking the CFA and hopefully passing Level 2 before making the pivot.
Some concerns that I have is:
Offer 1: The fund is about as no-name as a fund can get and they do not have the capital and the ability to invest in any interesting or decent assets from what I see in their current portfolio. Additionally, RE is not my first choice of asset class, even though I like it.
Offer 2: The pivot from BVAL to IB/ER/AM is possible but is known to be difficult as there are no direct deal experience (at most M&A valuation support) in BVAL and a lot of the work done is for financial reporting purposes. A stepping stone that I would never have taken if not for the fact that I'm wasn't competitive enough for direct M&A roles fresh out of graduation.
However, there are some points that I like:
Offer 1: The REPE Acquisitions role offers direct deal experience and is already a direct entry into investment-related and transactional work which I want to do in the long-run. Only a matter of moving into large and more prestigious funds.
Offer 2: Provides a path (even though the path may not be as clear and well-trodden) into M&A, Investments in a wider range of asset classes (Equities, Debt, Derivatives, etc.) Corporate Development & Strategy roles, which are my preferred career choices.
Thanks all!
Hmm, I haven’t actually heard of business valuations, that sounds like a consultant you hire to justify the premium price you are paying for a PE buyout. And a 1bn real estate fund that can’t afford to buy anything interesting? That is interesting.
Yes, the Business Valuations is indeed an advisory/consultancy type of service, usually provided because there are some form of regulatory requirements for an independent valuation, especially for a listed company so that the disclosed value can be further used for all other transactional/reporting purpose. Sometimes, there are more interesting pre-transaction M&A support where the valuation is used for internal decision-making but it is uncommon.
I think it may be relative but I used to intern at megafunds that bought assets that would make the news and were in prime locations that everyone would have seen or heard of. So, compared to this small family office that I was offered a job in, it pales in comparison. If this was in a much bigger and prestigious fund (not necessarily a megafund), I would have taken it in a heartbeat.
Not tryna be a dick but I think that’s a very ignorant way to look at REPE. Listen, I was once a recent grad who was very prestige obsessed so I get it. But I am about 8 years into my career now and have worked at both a Megafund-type place and small local shops. Real estate is just not a prestige fueled industry in the way corporate PE is. People move from small shops to big shops and big to small ALL THE TIME. Most of the “no name” GP’s I know are wayyy wealthier (and have a way better quality of life) than the MDs I’ve worked with at the BX/BAM/Starwood type places. If your not into real estate than don’t feel the need to go for it, but most people in real estate are looking to go to smaller shops as there careers advance not larger.
I’ve only worked in real estate and never looked at ib/pe/business development roles so please take it with a grain of salt - but from what you’re saying, the valuations role sounds like what you should do.
In a hypothetical world where you go down the REPE path and are crushing it 24/7, you would still have to do 1+ years at a this “no-name” job before likely working up to a bigger shop, then likely 1-3 years there before you even get an interview at a BX/KKR/Apollo (which often hire from banking programs anyways). Even if you got this extremely coveted MF REPE role, you would still be doing real estate, which it sounds like you don’t want to do?
Vs. with valuations, i assume you could do 1-2 years of valuations, then, maybe have an extra stop at big 4, then jump into an IB/ corp dev position, which obv opens up a lot of doors into your aforementioned preferred asset classes.
These assumptions based off 1. Personal experience working at a small/mid-size shop out of college, then recruiting into a brand-name (but not MF) shop, and 2. What i hear from one of my good friends who does valuations at a big 4 firm.
Hi, thanks for your comment.
Personally I genuinely like and do not mind doing RE, since I already had extensive intern experience in REPE and it already felt like this was something that I could do for my career. However, the thing about REPE is that I am only interested in the investment aspect of RE. I don't ever see myself being able to do anything RE if its not acquisitions. In a way, you can say that I'm interested in deals and transactional work, rather than the asset itself.
The thing about the valuations position, is that the move to general M&A is risky and not at all guaranteed, so I would be gambling on luck, being at the right place at the right time. If I were to choose between doing Valuations or REPE long-term, I would hands-down pick REPE for sure. But personally, I find that general M&A is where I really want to be because its versatile enough in the sense that if I were to lose my deals and transactional role in the event of an economic downturn, it allows me to at least pivot into various corporate roles. With REPE, I don't see that pivot happening.
So, I would like to ask, based on what you have seen from the experience your friend had in valuations, is the gamble that I am taking worthwhile?
Again, grain of salt since i don’t do business valuations / am not trying to break into m&a.
Agree with the other poster that you need to figure out what you truly want to do. My take is that you can do whatever you put your mind to, and if know for sure you want to be doing business transactions then why waste time doing RE?
Your first job is not your career, careers are 30+ years long. You won’t pigeon hole yourself into valuations by taking this job. Also, not like valuation is a dead end career, you will have a steady job with tangible skills.
If you really want IB / PE you will have to grind, network, and do overtime, but that’s just the game - the kids who made it into IB out of college got there by grinding in high school and college, just ahead of the curve.
TLDR: In my humble opinion yes. YOLO bet on yourself.
Hi, thanks for your comment.
Do you mind sharing more about your bad stories with regards to small family office REPE fund? I think those are definitely the concerns that I had when considering the REPE offer. It seemed to be that such a fund would be ideal for an experienced hire rather than an entry level graduate to start off in.
I think that overall, I would rank what I want to do as such:
General M&A/Corporate Development/Corporate Finance Strategy
REPE
Valuations
Various other internal corporate roles (The likes of FP&A)
RE (Non-transactional/Back office, anything else but FO Sell and Buy side roles)
So as you can see, that is why I am so conflicted, because with valuations, there's a a significant possibility that I may be stuck at Valuations if I did not manage to find that pivot opportunity, at that point I'll much rather do REPE. Of course, if I do manage to move up, then I'll land in my first choice.
However, with REPE, I just cannot see myself doing anything else RE if I ever lose my role which, honestly, isn't far-fetched since RE as an asset class is far more market dependent.
Would you make the gamble if you were in my position?
Can you repeat that?
Both offers have merit, but the right choice depends on how certain you are about your long-term goals and the level of risk you're willing to take in your career trajectory.
Offer 1 (REPE Acquisitions):
The advantage here is direct deal experience, which can be highly valuable if you aim to build a career in transactional work. While the fund may not be prestigious, starting in REPE gives you an opportunity to gain hands-on experience. That can make you attractive to larger funds down the line, provided you can demonstrate results.
However, if RE isn’t your first choice as an asset class, there’s a risk of feeling stuck in a niche you’re not fully passionate about. Moving out of RE into other asset classes like equities or derivatives can be challenging later, especially if your network and experience remain RE-centric.
Offer 2 (Business Valuation):
BVAL can act as a gateway to broader asset classes and roles like M&A, IB, or ER. While pivoting isn’t guaranteed, the analytical skill set and exposure to valuation concepts can be leveraged effectively, especially if paired with progress in the CFA program. Additionally, the Big 4 brand name adds credibility to your profile, which can open doors to corporate finance or strategy roles.
The downside is that BVAL work is often considered more support-oriented than transactional, so you may need to proactively network and sell your transferable skills to make the pivot. That said, if your goal is M&A or investments in diverse asset classes, Offer 2 aligns better with those aspirations.
Recommendation:
If you’re indifferent to both roles in terms of current work and are focused on long-term positioning:
Out of curiosity, have you considered how the culture and work-life balance compare between the two offers? Those factors could also influence your decision, especially in high-demand fields like these.
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