California V10 Equity Partner taking Qs Forum

[Anonymous User]

Maybe I'm old school but I've never said "no" to anybody and I would be peeved if an associate told me flat out "no". "I can't do this right this moment but I will free up at [x] and can work on it then" is an acceptable answer, but don't use it too much. The partners don't ever say "no" to clients and if an associate wants to make it, then the reality is that they need to learn to be available. At my firm an associate who declines assignments won't get a bad review for it as long as they're meeting hours and staying busy, but don't expect the partner you've turned down to be in your corner. Which means that if you are slammed, then say "yes" to the rainmakers and figure out who isn't an important partner so you can say no to them.

Well, I drew my perception from reading these forums as I'm still in school. Assuming you read this forum at all, are there any persistent myths you see/hear (here or believed by associates in the real world) that you'd like to correct the record on?

How much business development have you done on your own account (and how?) vs. being introduced to clients by partners who trust you and building relationships with them that led you to become a key part of the team?

Any general advice on building a good reputation in your early years?

- I don't read these forums to know enough about myths, but one thing I've noticed is that nobody at my firm ever gets fired. They can be terrible and universally hated but the most that usually happens is just a gentle suggestion during review time that other opportunities may be more suitable, but even then if that suggestion is ignored the firm still won't fire the person.

- It's really difficult to land a substantial client on your own - the relationships with the big PE shops are all highly institutionalized and you aren't going to take the work away from another firm just because you happen to have some connection to the GC there. So the way most people do it is the latter - where you are brought on to existing relationships and over time become a key trusted contact for the client. But we do pitch for and get new clients all the time - often they are smaller and it's a bit of a gamble for us as well to put our time and resources into helping them grow because many will eventually fail, but the hope is that out of 100 maybe a few become the next Blackstone/KKR/Ares etc. If that happens you are set for life.

- Work hard, be responsive, don't make silly mistakes. Easier said than done though.

Re the nobody ever gets fired phenomenon, why do you think that is? Same thing at my V10, even for people who are very inefficient, turn in poor quality work and bill very unethically in cap fee deals (and these people don’t have special ties or client connections). Just seems so unfair to have these freeloaders around.

[Anonymous User]

I am a 4th year at a V5 in NYC. I am a California native and I will need to come home eventually but am in no particular rush. Should I leave now or try to come over as a senior associate (5th/6th year)? I’m worried about my work becoming too NYC centric (exclusively public company work). At what point does the value of top tier M&A NYC training/experience taper off?

[Anonymous User]

I am a 4th year at a V5 in NYC. I am a California native and I will need to come home eventually but am in no particular rush. Should I leave now or try to come over as a senior associate (5th/6th year)? I’m worried about my work becoming too NYC centric (exclusively public company work). At what point does the value of top tier M&A NYC training/experience taper off?

Not op but at a California firm that receives a ton of lateral candidates these days.

It depends what you want to do - if you're okay with continuing to do pubco work exclusively out here, it probably doesn't matter when you lateral. However, if you want to say, do more emerging companies/venture capital type work, it may already be too late for you unless you're willing to take a class year hit. By the time you're a 6th year, firms probably won't even give you that option anymore.

[Anonymous User]

How much does URM status help, if at all, for the partnership track?

[OsamaJerry]

In terms of compensation, is PPP the minimum? I was under the impression that PPP is an average and that some equity partners make far less and some far more. What's the deal? When Kirkland says its PPP is $4.7 million does that mean each equity partner is making at least that amount?

[ghostoftraynor]

No, PPP is just dividing profits by # of partners. At Kirkland, some of the rainmakers make around $10m. That means a lot of other partners are making well-below the PPP number.