Search Fund vs PE internship?

So I just got an offer from a small search fund (acquiring a business < $10M EBITDA). Offer expires in a week but I also have an interview invitation NEXT week from a larger but also not particularly well known PE firm that is a recent spin-off of a west coast MM investment bank ($50-$200MM deal size). Seems like a good amount of kids get offers at the bank the summer after interning here. Only problem here is I have no idea how long the interview process with this firm would be and there's no guarantee I'll get it, and also it seems like this internship would be a much bigger time commitment and I'm worried it'll take a toll on my GPA (both are unpaid and remote during the semester).  My day-to-day tasks would be pretty similar at both.

Should I ask for more time to decide? If so, how do I go about doing this? Should I just accept and interview at the PE fund anyway? I wanna avoid reneging because I really liked the people at the search fund and they seemed really chill. Do you think they'd keep me in consideration if I told the PE firm that I'd be interested in interning over the summer instead? My goal is to recruit for IB SA roles for 2022, and I'm wondering if choosing the bigger fund will actually make a measurable difference for recruiting (supposedly a lot of these analysts have gone on to work at BBs).

Tl;dr I don't wanna throw out a great opportunity but also don't wanna miss out on a potentially even better one. I'd appreciate help from anyone who's been in a similar situation. Thanks!

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Comments (5)

  • Intern in IB-M&A
Dec 1, 2020 - 11:26am

Interview for the PE role. Will be much more valuable.

I've interned with search funds, it won't be as structured or fast paced as the PE internship.

Also, if this role leads at an MM IB internship then it's worth it

Dec 1, 2020 - 12:51pm

Pacific Lake Partners? Is that the search fund? Just looked them up - interesting business. But niche, bespoke. Do PE.

Bain Credit finances Pacific Lake Partners' acquisition of OneShield Software

Pacific Lake Partners went with Bain Capital Credit for financing to back the acquisition of OneShield Software, a provider of software used by property & casualty insurance companies. 

The Marlborough, Mass.-based company's software manages policies, billing, claims, ratings, business intelligence and smart analytics for P&C insurers. Recurring revenue has tripled over the past three years, according to OneShield. 

Pacific Lake has installed Cameron Parker as the new CEO, succeeding Glenn Anschutz, who held that role for the past 20 years. Brandon Parker has been named President and COO.

The deal was announced last week. 

Pacific Lake Partners operates a 'search fund' model, which sets up entrepreneurs to acquire businesses. Purchase prices typically range from $10 million to $30 million, with equity accounting for at least 60% of the capital structure, according to the firm. 

The Boston-based sponsor targets very small borrowers, those with $2 million to $4 million of EBITDA

  • Intern in IB-M&A
Dec 1, 2020 - 12:54pm

There are hundreds of search funds active. What makes you think that's the right one

  • Prospect in IB-M&A
Dec 1, 2020 - 3:32pm

yea its not that one lol. the one I have an offer with hasn't made an acquisition yet (which is kinda the point of a search fund from what i understand) and is based in Salt Lake City

Oct 13, 2021 - 6:23pm

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