Advisory Firm vs. Boutique

ap0258's picture
Rank: Orangutan | 260

Hey guys, I am looking to gain the right experience to position me for a position post-MBA in a PE firm. If you are in PE already, then which one of the following choices of experience would you make?

  1. Advisory firm (boutique/mm) to Private Equity and Hedge Funds and Lenders. Sort of a hybrid of an I-Bank and a Management consulting firm. Some of the services include: Business Plan formation, Mergers and Acquisitions searches and evaluations, packaging businesses for sale and restructuring and crisis management

or

  1. A traditional boutique/mm I-Bank (albeit concentrating in one industry?)

Would appreciate your thoughts!

Comments (9)

May 4, 2011

bumping to subscribe..

May 4, 2011

Do you have offers? these two choices are so fucking broad man. be more specific.

i-banking is always better than non-ibanking. #2 will set you well in a PE that focuses in it, so if that interests you go with that.

1 i don't even know..

May 4, 2011

Go with #2. The first one sounds like their offering a pointless middleman service, and if they're not registered with FINRA don't even bother.

May 5, 2011

Yeah sorry for being so broad.. what details would help make it more clear? I get it that #2 makes more sense? The reason why I was contemplating #1 was because it seems to provide a lot of services that would be transferable to a PE shop. I am a noob to PE and thus am not sure.. seeing what MPBYO said, are the services provided by #1 and thus experience that I would get not better than the experience at the boutique/mm ?

The thing is I have spoken to the CEO of the firm #1 and he has said he would like to bring me in for a summer internship in about a month. However, I just wasn't sure if thats an okay route to take? I want to understand that seeing the type of services it provides, would it be an okay route to take?

MPBYO - when you say that it seems pointless middleman service, could you elaborate?

Thanks dudes!

May 5, 2011

which one is more well known? this is going to help a lot.

advisory firm can be good, but it will have to be a well known shop in the region you want to do PE. and like MPBYO said if they are not FINRA registered they are probably providing there M&A services illegally lol.

with that said, either shop can set you up well to interview with well known boutiques/MM/BB IBs down the road which can eventually lead to a decent PE shop.

May 5, 2011

oh okay, they reputation is good in the area they are at. Seems to me that regardless, a well known boutique IB is the way to go and that advisory firm even tho its an I-Bank and a Management Consulting firm, it wouldn't lead directly to a PE shop...

May 5, 2011

also, lets say that #2 focuses only on Gaming, Leisure and Hospitality? I know that will limit my exit opps to a general PE fund? However, would having the experience at one that only concentrates on one sector allow me to lateral onto a well known MM/BB in the general category or would it only have to be in that sector group?

Thanks!

May 5, 2011

I don't think you should have a problem getting interviews with a generalist spot at MM/BB with either of your options given you network well before hand.

you will also have a leg up getting into that specific group within a BB/MM if that interests you.

May 5, 2011
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