Earnings of finance directors

[Rollin]

How much does a director of finance earn working in a company that does £100m private equity deals?
Ta

[mybrainhurts]

A bit more than you first thought..

[Rollin]

Nope. Last met this person 20 years ago and the name was brought up in a chat with a mate tonight. Just wondered how far you could get with a degree in chemistry!

[elster]

I would say a f*ck load would be a fairly accurate description.

[Maxf]

Rollin said:

Nope. Last met this person 20 years ago and the name was brought up in a chat with a mate tonight. Just wondered how far you could get with a degree in chemistry!

Pretty far. Two of the fairly successful people I know (one current and one retired) both started out with a degree in chemistry and quickly went on to do other things. Perhaps it is a fairly analytical/detailed subject which serves them well in other fields.

[Sheets Tabuer]

My last one was an accountant and made 4m a year

[jeff m]

Sheets Tabuer said:

My last one was an accountant and made 4m a year

I assume that is grammatically correct.

Does that include the loss on his exercised options

[DangerousMike]

chemistry is a good degree. You will be numerate, able to think critically and analytically and also be able to solve problems if you get a good degree in chemistry from a good university.

guess what I did

[metro lover]

Do you think they still get paid by the hour? or do you just get an anual salary over a certain ammount?

[Kaelic]

I got a degree in chemistry (1:1) and am just a lowly network admin ( but I do love the job)

2 of my class mates ended up in high flying jobs in the city and most of the others are successful career people, only about 10% of us actually stayed in chemistry

[CaptainSlow]

I would take a stab at a minimum of a basic of £150k-£200k with a 50% bonus.

[matc]

metro lover said:

Do you think they still get paid by the hour? or do you just get an anual salary over a certain ammount?

[Gonad]

ajstephe said:

DangerousMike said:

chemistry is a good degree. You will be numerate, able to think critically and analytically and also be able to solve problems if you get a good degree in chemistry from a good university.

guess what I did

Biology?

[robm3]

Rollin said:

How much does a director of finance earn working in a company that does £100m private equity deals?
Ta

If you're a CFO (Chief Financial Officer) working in one of the deals e.g. you've been brought by a Private Equity House (PE), assuming T/O is £100m then I would say around £150+, 50-75% bonus, your share of the company is the big part though. 3i, Candover etc.. work on a basis where senior managers have a stake in the business brought/they work in. Simple example: they (the PE's fund) buy a company for £100m, sell it for £200m, they would take 60% of the uplift as their 'cut', the remaining $40m is split between the Senior Managers. On a deal of this size a CFO could get around £2m on payout? Perhaps a little more, generally working on a 3 year turnaround.

If you're the CFO working for a PE then firstly you're in a very very very bad position right now and probably having a few sleepless nights (other PH'er finance types will explain why but check Candover's share price).
But a couple of years back you'd have been on £500K minimum, 50-100% bonus plus equity from each business you were directly involved in, similiar to above.
For example Candover has 24 business currently, if top CFO then you'd have a share in each of those.

They generally structure a team to manage each fund though so most likely you'd have your finger in about 3-4 deals.

[HarryW]

Gonad said:

ajstephe said:

DangerousMike said:

chemistry is a good degree. You will be numerate, able to think critically and analytically and also be able to solve problems if you get a good degree in chemistry from a good university.

guess what I did

Biology?

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