Search Fund Internships worth it?

Im starting off my freshman year in college in two weeks. I was recommended by someone at the school Ill be studying, a search fund that hires underclassmen from my school. They offer an off-cycle internship in the fall, that seems appealing to me. I am very interested in applying but I am concerned that itll mess my GPA up. The time commitment is 20 hours, which seems manageable, but I wanted to hear from you guys. Will doing a fall internship in a Search Fund hurt my social life and academics significantly, or is it worth the experience?

Comments (21)

Aug 19, 2017

anyone?

Aug 19, 2017

Is this a joke? Yes you should apply there. If you can't handle a 20 hour/week internship you need to change your career goals. An internship like that during your freshman year will put you ahead of 99% of everyone else for sophmore/junior year recruiting

    • 1
Aug 19, 2017

I meant handle it while transitioning into college classes, but that does make me sound like a whiner so I see your point. I just want to make sure my GPA is A1 right off the bat, but I agree this puts me ahead of the curve. Do you have any opinions on the social impact of freshman year (not that it matters nearly as much, but still something I'm considering)

Aug 23, 2017

I disagree - I would give yourself a bit of time to adjust to college coursework (and lifestyle) and come back to the search fund second semester / the summer after your freshman year. Either would still put you ahead of 99% of people

Aug 23, 2017

It depends on how hard you worked in HS in my opinion. I needed a period of time to adapt to a heavier workload, but have friends from HS who were grinding hard throughout, and therefore could've handled working 20+ hours at the same time. OP, it depends on what you're comfortable with. You may get overwhelmed also your freshman year is a great time to kill it GPA wise. I would advise following what @SFlemming1 said unless you are CONFIDENT you can handle it. If you were to do it your second or third semester in, it would be another story. As of now, I believe you do not fully know what to expect from college, as this was the group most of my friends fell into going into their first semester. Don't overthink it, either way you'll likely be fine. Best of luck.

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Aug 19, 2017

That's what I thought too. I want to second semester but they have an easy app for fall semester (don't see if they have one for spring) which is making me think this is my only chance. Worst case scenario I could network with the company, knowing they are interested in upaid interns, and try during spring semester?

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Aug 23, 2017

I 100% recommend it. I worked for one later on in my college career and wish I did it sooner. It is very hands on and allows for top notch networking from brokers to investors. The only downside is most are unpaid due to the limited operating capital. Most search funds are very flexible and willing to work with you since you are unpaid and they need the help. I went to a non-target smaller school and was a student-athlete and interned at the search fund, and I was able to manage everything well. It comes down to how well do you organize your time but I cannot speak highly enough about the search fund experience.

Aug 19, 2017

You're spot on, this one is unpaid too. Wow that sounds like a lot on your hand. That's good to hear about your positive views. I'm leaning more toward doing it spring semester, but I'll definitely keep your view during my decision. Thanks for sharing!

Aug 23, 2017

That would not be a bad time, spring time was a big time it seems like a lot of action, at least at the fund I was at. The experience is a lot of what you make it though. Ask about their MBA courses and see if they will teach some aspects of them, ask to take on bigger or important projects and tasks. I took a leadership role and learned unbelievable amounts. But like I said I went to a non-target so the experience was eye opening. If you have any questions feel free to reach out.

Aug 23, 2017

Is it Search Fund Accelerator?

Aug 24, 2017

Hey BMZCapital, what a lonely thread. I'm here since nobody responded ...so maybe one of these discussions will help:

  • Is Search Fund Experience Valuable? How is Search Fund internship experience looked by Investment banks and Private equity firms? ... evaluating CIMs. private equity search fund Deal experience ...
  • AMA > Non-Target > Search Fund & AM internships > BB AM 1st year- FI > (Think Wellington, Fidelity, Blackrock) way into an industry research role at a PE search-fund in the Greater Boston Area, worked 30+ hours ... the internship path with the brutal insurance sales job, after-which I cold called and presented my ... summer I worked for an MM but well regarded fixed income mutual fund. This MM did not have a formal ...
  • Search Fund Internships worth it? you guys. Will doing a fall internship in a Search Fund hurt my social life and academics ... school Ill be studying, a search fund that hires underclassmen from my school. They offer an off-cycle ... internship in the fall, that seems appealing to me. I am very interested in applying but I am concerned that ...
  • Searching for a Summer Internship? internship hunt, no worries- lots of boutique investment banks wait to do their hiring until the Spring. ... the members of WSO the ability to receive personalized job search help, mentoring, interview prep from ... ready if you call!) If you are seeking to expand your job search to regional boutiques, this list is ...
  • Search Fund experience valuable? a spring internship at a very small PE search fund (just the Director, a graduate from HBS and a handful of ... experience in the future if my goal is to end up in IBD / PE. I think it's too late to end up with an ... engineering, but good leadership experience) and it's late in the recruiting process. But I'd like to ...
  • Search Fund Internship I was invited to an interview for an unpaid 2-3 month internship at a fairly young Search Fund ... experience. search fund ... experience, whether FT or internships, so this would be a huge boost to my resume. From what I understand ...
  • Freshman Summer Internship Opportunity PWM vs Search Fund Internship for getting into IB i'm pushing 40 and regret it.) Thanks again!!! search fund BB PWM internship Resume Internship Unpaid ... for a search fund. My boss told me that I need to decide now whether to stay with him for the summer ... between a full-time role with his search fund for the summer (unpaid) or pursuing something else. I do ...
  • Experiences with PWM internship? someone who wants to eventually get a BB IBD summer internship? intern PWM experiences <p ... Can anyone here who has done a PWM internship related their experiences? Specifically, what did ... you find good, bad, etc about the job? Any tips on how to take full advantage of the internship for ...
  • More suggestions...

Or maybe the following pros can chime in... @cle_guy18 @user21359 @tim.johnson.mobile

You're welcome.

Aug 24, 2017

Strong freshman experience that'll look good on paper for junior recruiting. Whether you're actually given meaningful tasks will vary depending on the fund so it might be helpful to reach out to previous interns.

    • 1
Aug 23, 2017

I've done one (sophomore year summer) and got a lot out of it. At the time, I was way too naive to know what to look for. Happy to help you determine the quality of the opportunity though. I would ask these questions:

  • Are you fully funded or an independent sponsor?
  • Have you done this before?
  • What is your equity financing strategy (in the event that he or she is independent)?
  • What will my role be?
  • Will their be an opportunity to evaluate CIMs? Does he or she utilize brokers and bankers?

I had a very good experience because my searcher genuinely want me to learn and to understand the LMM space with respect to valuation techniques. Had a friend who was strictly cold calling and learned nothing. My MP happened to be backed by a $3 BN FO, so it was a little more legit. Some searchers look for deals as large as 200 MM EV, which would be amazing for any freshman (and many sophomores). The deal we closed was <10 MM. It was still a great way to show interest, to learn a lot, have a great (and relaxing) summer, and gave me something solid to speak to when networking with bankers. Having that on your resume as a freshman could be pretty awesome, but it all depends on the opportunity.

Edit: I would not expect to handle any modeling. It wouldn't be worth the partners time to teach you. Oftentimes MBA interns that work at search funds will be involved in modeling, but the models aren't as important as they are with larger deals. My MP would oftentimes draw out the EBITDA and pick a multiple on a whiteboard for the I.O.Is.

    • 1
Aug 24, 2017

Tremendous experience for you to dip your toes into a type of private equity investing. Though not like traditional PE, where you raise a $100M+ fund to invest/buy 10 companies, you're raising around 10-20M dollars to most likely invest in one company in the LMM. Just knowing how to talk through that in an IB interview is really impressive to these bankers from my experience.

Worked at one for a semester where the principal was a big buffet fan looking to invest in a non-cyclical company that was a good "value" investment. Basically, ran most of the first round bidding process & got on the phone with bankers, brokers, and owners of multiple firms. May or may not be your experience, but a great position to learn in. Don't expect the firm to train you, as alot of these searchfunds function like start-ups. Great platform to really improve your business acumen and "thinking like an investor".

Don't break yourself on the way to making yourself

    • 1
Aug 23, 2017

Yeah it's a good idea. Any type of off cycle finance internship like this (especially a buyside role) will give you a leg up in recruiting.

Just take care of courses

Aug 24, 2017

BMZCapital, bummer your thread hasn't had a response yet. Maybe one of these threads could point you in the right direction:

  • Is Search Fund Experience Valuable? How is Search Fund internship experience looked by Investment banks and Private equity firms? ... evaluating CIMs. private equity search fund Deal experience ...
  • AMA > Non-Target > Search Fund & AM internships > BB AM 1st year- FI > (Think Wellington, Fidelity, Blackrock) way into an industry research role at a PE search-fund in the Greater Boston Area, worked 30+ hours ... the internship path with the brutal insurance sales job, after-which I cold called and presented my ... summer I worked for an MM but well regarded fixed income mutual fund. This MM did not have a formal ...
  • Search Fund Internships worth it? you guys. Will doing a fall internship in a Search Fund hurt my social life and academics ... school Ill be studying, a search fund that hires underclassmen from my school. They offer an off-cycle ... internship in the fall, that seems appealing to me. I am very interested in applying but I am concerned that ...
  • Search Fund experience valuable? a spring internship at a very small PE search fund (just the Director, a graduate from HBS and a handful of ... experience in the future if my goal is to end up in IBD / PE. I think it's too late to end up with an ... engineering, but good leadership experience) and it's late in the recruiting process. But I'd like to ...
  • Search Fund Internship I was invited to an interview for an unpaid 2-3 month internship at a fairly young Search Fund ... experience. search fund ... experience, whether FT or internships, so this would be a huge boost to my resume. From what I understand ...
  • Freshman Summer Internship Opportunity PWM vs Search Fund Internship for getting into IB i'm pushing 40 and regret it.) Thanks again!!! search fund BB PWM internship Resume Internship Unpaid ... for a search fund. My boss told me that I need to decide now whether to stay with him for the summer ... between a full-time role with his search fund for the summer (unpaid) or pursuing something else. I do ...
  • Search Fund- Ghosted hard after perfect Interview I worked at a search fund this summer, and am excited to say that I watched the PE firm make it ... internships, but truthfully, I really want to work at this specific fund. It is founded by 2 Harvard MBAs and ... (for me). Call went VERY well, and the principal spoke of a seamless transition from his fund from my ...
  • Point of a Search Fund? My friend just took a search fund internship and I have no idea what they do. I'm guessing ... or has anyone done search Fund? Is it helpful? Valuable? ... internships since that might help. He didn't and live and learn, 0 private equity interviews. Does anyone ...
  • More suggestions...

If we're lucky, the following pros may have something to say: @rcarranza @David-Buza @Brickphone

Hope that helps.

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Aug 25, 2017
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