Decoding Private Equity
Pull back the curtain to reveal the inner workings on how institutional private equity (PE) operates. Participants explore the motivations, tendencies, and trends of private equity professionals, so they can better advise, sell to, operate within, and negotiate with or against private equity firms.
M&A Professions
Financial Due Diligence
Investment Banking
Leveraged Lending
Private Equity
Universities
Experience Level
Emerging M&A Pros
Mid-Career M&A Pros
Delivery
Live
.5 Days
Digital
~4 Hours
Decoding Private Equity Course Overview
Foundational Concepts
- Financial vs. Strategic Investors
- Different Investor Types
- Where Investors Sit Along the Risk / Reward Continuum
- Understanding Primary vs. Secondary Capital
- Business Lifecycle and the Investment Continuum
Learning to Think Like an Investor
- How Businesses are Valued
- Relative and Absolute Value
- Free Cash Flow (“FCF”)
- Three Sought-After Attributes of FCF
- Desirable Business Traits & Their Impact on FCF
- The Importance of Perspective
- Risk & Opportunity
- Billionaires Brawl
Intro to Private Equity
- Private Equity vs. Institutional Private Equity
- Private Equity vs. Public Equity Comparison
- Other Investor Types Similar to Private Equity
How Private Equity Works
- Private Equity’s Prominence & Reach
- How a Buyout Works
- How Institutional PE Works
- Investment Horizon / Hold Period
- How PE Firms are Structured: A Simplified Example
- PE Firms as Broader Multi-Strategy Asset Managers
- PE Firm Activities
- The Investment Box
- The PE Deal Funnel
- AUM vs. Fund Size vs. Dry Powder
- Common Fee Structure in PE
- Other People’s Money
- How PE Returns Are Measured
- The Three Ways PE Firms Make Money
LBO Math
- The LBO Compared to Other Common Valuation Techniques
- LBO Mechanics: A Conceptual View
- The Investor’s Lens Revisited
