I finally got it, please help choose!

Hi there,

After much hard work (3 years B4) and passing CFA L2, I'm starting to see the fruits. At the moment I have the following offers (Europe):

  • Valuations and business modeling (B4): within their transactions line of business, from my conversation with the partner/team they perform 1/3 intangibles valuation, and 2/3 private companies valuation (for several purposes, meaning accounting reporting, transaction based, fairness opinions, etc.). Generalist team that touches every sector except financials, and apparently there is a really good working environment.
  • Valuations and business modeling (different B4): also their transaction line of business, it might be that this one performs a bit more of derivatives valuation (not precisely of my great interest, but i think it'd be a residual amount of work). Also generalist, including financials which is one of their main revenue industries.
  • corporate finance (Real Estate) at a boutique firm: generalist boutique founded by ex B4 partners, they do the whole spectrum of Corp Finance Advisory (they were born as m&a advisors but nowadays is mainly restructuring, debt and portfolio advisory, and valuations) uniquely for RE. Had a couple of interviews and they seemed nice, but still trying to get an opinion from a friend of an insider.

Can anyone shed me some light on pros and cons of the above? IMHO, here are my pros and cons of V&BM versus RECF:
- V&BM pros: B4 name on resume never hurts, structured hierarchy, promotion system, and stable team. I am also interested on private businesses valuation and I really appreciate the opportunity to work for clients in different industries. Also, CFA support and training is really important for me.
- V&BM cons: Since I don't do much business valuation right now, I'm afraid of being too optimistic about it. At the end, what are the exit opportunities from this kind of gig?
- RECF pros: wider financial knowledge, as I guess not everything will be DCF or comps, since there is apparently a lot of DD and restructuring work involved. Although is not a B4, it has a really good reputation in the market, and has been a leading advisor for many of the biggest transactions in the geography. At the moment, I would be joining as a Junior, but once yo make it to Senior (1-3 years depending on performance and experience) salary has a good pump cause you take a share of your team's revenue. Right now compensation is at par with B4, but the shared revenue could really make a difference in 1-3 ys.
- RECF cons: obvious thing, getting restricted by industry is not really attractive. I guess RECF has way more hours than V&BM at B4, and also the brand name has nothing to do with B4 name on resume. What about exit opps? This worries me as it seems to me that I'd be restricted to either RE Corp Dev team or another boutique? Also is a con for me the fact that promotion is not kind of "guaranteed" as in B4, and you can get stuck at certain leveles.

Thanks to all that have read everything, any help is much appreciated.

Cheers!

 

I'd go with Big4 to start with. Much broader range of experiences. Even though its V&BM, you'll get to work on strategy & restructuring pieces, as you'll be part of a general pool of associates or senior associates.

Plus, they do mid-market IB work. If you're good enough, you could try and get onto that stuff too

 

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