Quick question for the other private equity guys on here. How do you typically staff(or get staffed on) live deals?
Is it as lean as a VP/Associate pair with Partner oversight? Would multiple associates get staffed on a larger deal? I know it differs firm to firm, but curious to get everyone's experiences. My only frame of reference is my firm and we're pretty lean overall.
At a growth equity/LMM firm right now. We typically staff a deal with a MD, Principal, VP and Associate. I would imagine, because of the stage we play in, our check sizes aren't large enough to necessitate larger deal teams. Staffing is pretty free floating. We're generalist, so when you first start, you get placed on deals on an ad hoc basis, but VPs and up will seek you out over time as you get to know their work style/do more deals with the same people/develop more of a sector focus.
I guess I don't have many other data points outside my own experience. Do people do it differently than this? Probably dependent on the number of IPs too I would imagine.
We generally have 1 partner (sector focused), 1 MD or Principal (sector focus), then either another Principal (sector focus) and 1 associate (generalist) or 2 associates.
We have 3 person deal teams regardless of size of the deal - Partner, VP, associate. Doesn't make sense to staff more people on a deal for us.
associate + partner. VP will come and go
My firm follows this model as well.
Same here. Might be Partner + MD + associate too.
This stuff will range widely depending on LMM vs. MM vs. UMM.
Typically associate + VP. Partners may lead deals from time to time as well.
My hunch is that this variation is correlated to number of IPs in the firm. We're north of 20 now. Anyone else?
Partner, VP, and Associate or sometimes 2 associates and no VP
40+ IPs -- Partner, VP and associate (sometimes 2).
Hi guys, I know this is an old thread but just curious - given the lean team structure, how many live deals are you juggling at a time?
Depends. Are you working on a proprietary take private and need to finish a majority of diligence in 2-3 weeks? It will be the only thing you do. Are you in a massive 50-sponsor auction and your IOI was one of 10 to move on? You'll be working on other things.
When you get something proprietary or an early look, you do just that one process and try to figure out if it is something you want ASAP so you can get into exclusivity. If the likelihood to close is low as in a wide auction, then priorities are set differently.
I see. That seems reasonable.
How about portfolio company monitoring? How many portCos per analyst/asso do you think is reasonable/common? Just trying to benchmark here.
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