Question for First Round Interview with Bain

Bain & Company First Round Private Equity
Recent activity on Nov 07, 2018
3 Answers
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Anonymous A asked on Nov 07, 2018

Hello All,

I have an interview coming up with Bain this month and would like to ask a few questions.

During Bain's networking event, it was mentioned that one of the areas that Bain is most proud is its position in the Private Equity Industry. After speaking to the associates there, it seems like most of them have worked/ rolled into the Private Equity Sector before (there seems to be a term that the people used, but I didn't quite catch the term, can anyone help me with that?)
Also, do you have any advice on market sizing questions - I have diffculty in deciding what number to use. (Because I would have a tendency to use a rounded number that would be easier for calculation purposes, but might be less accurate).

Thank you!

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Anonymous replied on Nov 07, 2018

Hi there, well done on getting the interview! In answer to your questions:

1) The term you are looking for is "PEG" - Private Equity Group, or PEG Ringfence. In Bain, this is separate to the rest of consulting, called the General Practice, "GP".

It basically refers to work we mostly carry out for large private equity funds in either performing the Due Diligence on a potential asset (i.e. company they are considering to buy) or doing the post-acquisition value creation (i.e. after a company is bought, increasing its profits). Note it's separate from Bain Capital or actual Private Equity (i.e. we only advise, don't actually invest).

2) Your question is a bit unclear but for market sizing, the most important part is laying out a clear and logical structure upfront. An issue tree is a useful tool to use here. Once you've done that, assumptions are less important, and depending on the case you should feel free to discuss your assumptions with the interviewer. Also, be ready to evaluate your method after and think of potential simplifications, and what assumptions you would want to test more.

Good luck!

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Vlad
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Content Creator
replied on Nov 07, 2018
McKinsey / Accenture Alum / Got all BIG3 offers / Harvard Business School

Hi,

To be honest both of your questions are not completely clear.

I doubt that a significant number of current Bainees have a PE background.

Second question - what do you mean? Can you provide more details?

Best

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Guennael
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replied on Nov 07, 2018
Ex-MBB, Experienced Hire; I will teach you not only the how, but also the why of case interviews
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