• Private equity firms want CFOs with strong career trajectories and proven ability in high-pressure, fast-paced environments.
  • With foresight and planning, it is possible to chart a path to your first private equity backed CFO position.
  • A would-be CFO’s early career plays a key role in evaluating their potential.
  • A #2 executive is great and looking to get better.

A lucrative equity package for successfully navigating a company through the sprint to exit is just a private equity-backed CFO opportunity away. But how can you land the position while competing against a handful of been-there-done-that CFOs? The answer is, your resume. At least that’s where it starts.

Early Career Roles Lay the Groundwork

Your path to the CFO seat begins early on in your career with your education. Studying accounting or finance – or another highly relevant subject – can prompt a recruiter or interviewer to read a resume that might otherwise be glanced at and put aside. Why? Because CFOs must have a fundamental knowledge of both accounting and finance, and a degree in one can develop an argument for a candidate who might be lacking in that same area throughout their next few roles.

Philosophy majors don’t need to fear, however; a Master’s in Accounting can make a CFO candidate highly attractive, and an MBA is always a plus. Regardless, a candidate’s first few roles out of school bear far more weight in the eyes of a recruiter than their schooling because the private equity sponsor wants to be confident that their CFOs have an excellent understanding of accounting and finance.

Career Archetypes Help Firms Decide if a Candidate Is a Good Fit

When searching for candidates, private equity sponsors start from the needs of the company and their own set of preferences to determine the type of CFO necessary for the job. These can be considered archetypes, including accounting-oriented CFOs, finance-oriented CFOs, M&A-oriented CFOs, and more. The most common archetypes of would-be first-time private equity-backed CFOs are the “Accounting-Focused Rising Star” and the “Finance-Focused Rising Star.”

Less often will first-time CFOs be hired with investment banking backgrounds or consulting backgrounds because it is unlikely that they wil...