Reply to: Small Co. CTO vs. Hedge Fund Contract vs. Investment Bank Perm

[cojak]

No, this is just your modus operandi of keeping alive long dead threads.

[Guest22]

OK, an update, and thanks for all the replies so far. Although oliverson's post is laden with uninformed presumptions, so ignore on that one.

rambaugh and fraymond - totally agree with you!

Anyway, my predicament has developed somewhat and now I'm left in a new predicament.

So, I ended up going for the small company CTO role, as the hedge fund role turned out to be a no-go and the investment bank role hit political issues at HR (which I won't go into here).

So, I took the CTO role as I felt I had little other option and the market seemed less buoyant than I first thought. The last thing I needed was to end up jobless for Xmas and beyond.

So, I continued other ongoing interview processes even after I started my new role (which was last Monday). I ended up having a final HR interview on Tuesday for a finance consultancy perm role, a first interview on Tuesday for a tier-1 IB contract role which resulted in a final interview on Wednesday. Then, on Thursday a first interview with an investment fund manager which compromised four separate back-to-back half-hour interviews each with a different person, for a contract.

By Friday, all three of these came through as official offers in writing. I've already declined the consultancy as it's a perm salary not much more than the CTO role I've already taken.

The IB has offered a contract rate that is 12% more than my last two contract rates, which I'm over the moon about. And then the fund manager, knowing what the IB had offered, offered me £2 more per day, going over their budget by £60 per day. It's splitting hairs I know, but it's an extra £500 a year

Joking aside, I've now got a big decision to make. If I take the equivalent salary of the IB contracting rate, it's more than the CTO salary by a healthy six figures! It's pretty much a no-brainer to be honest. But now, I have two problems... I need to decide between the IB and the fund manager; and I need to let down the company I've just started working for. And it's hard because I've made a good impact so far and I've been coined as the "key" person in driving the business on the technical side. I guess I just have a heart, otherwise I wouldn't give two sh*ts and just say cya.

No doubt this is going to attract loads of backlash from some of the plumbers on here who comment/troll on Daily Mail articles, but it would also be good if I could get some good constructive replies, too. This is a real situ for me, and I recognise it's a good "problem" to have, etc. but still would like some opinion from the 'crowd'.

[Bluenose]

I would consider the link between Investment Bank and "permanent" tenuous at best.

I would take the CTO role.

[TheFaQQer]

Maybe Smarties have the answer?

FTFY

[nomadd]

I don't see how you will get a useful answer to your 'predicament' on this forum. So much depends on what you enjoy, where you're headed and what your stage of life is.

Maybe Google has the answer?

[fraymond]

I don't see how you will get a useful answer to your 'predicament' on this forum. So much depends on what you enjoy, where you're headed and what your stage of life is.

[rambaugh]

I'm afraid I have to side with Northernlad here. You sound like a dreamer to me I'm afraid Neo and if you aren't certain you can make it a success then you're not the man for the job. I wouldn't want you leading my company.

There is always an element of risk that you cannot control no matter how talented or good you are at your job. So it's a bit silly saying that you are going to be completely responsible for a company's success in future when external factors may have a strong influence in the company's direction. This isn't a controversial statement as common sense tells you that if you work hard you can minimise the risk of failure and increase chances of success but you will never completely eliminate risk of failure altogether.

The OP needs to match the jobs on offer to suit their personality. If you want something more risky / entrepreneurial go with the smaller company, if you want something more structured than the permanent role is better suited.

[fullyautomatix]

It is a simple fact that most startups fail. Assume the lower figure on your equity pay out, otherwise you´ll flog yourself to death and be bitterly disappointed. I would not select this option for the money, choose it because you want to do it, and it sets you up in a career path you want to go down. You want money you go for the contract in a hedge fund, though I dare say you probably won´t be getting much of a social life. If IT bores you then go for the easy-peasy life in a back office where you can have a laugh, throw paper areoplanes around the office and work on being a pop star in your spare time.

WHS

I left a big company and assumed role of Technical Director with a small company with a share in stocks. I was promised a lot in terms of future prospects and growth. Nothing materialised and the owners were just in it to make money for themselves.Company never grew and work got boring and I quit eventually.Gained nothing from it.

[nomadd]

It is a simple fact that most startups fail. Assume the lower figure on your equity pay out, otherwise you´ll flog yourself to death and be bitterly disappointed. I would not select this option for the money, choose it because you want to do it, and it sets you up in a career path you want to go down. You want money you go for the contract in a hedge fund, though I dare say you probably won´t be getting much of a social life. If IT bores you then go for the easy-peasy life in a back office where you can have a laugh, throw paper areoplanes around the office and work on being a pop star in your spare time.

This^

I'm afraid I have to side with Northernlad here. You sound like a dreamer to me I'm afraid Neo and if you aren't certain you can make it a success then you're not the man for the job. I wouldn't want you leading my company.

And this^

[oliverson]

I'm afraid I have to side with Northernlad here. You sound like a dreamer to me I'm afraid Neo and if you aren't certain you can make it a success then you're not the man for the job. I wouldn't want you leading my company.

However, looking at what you've said about the company itself, it seems like they're a bunch of dreamers as well - 10 years and they haven't made it. The recession kicked in 5 years ago so what about the first 5.

Good luck with whatever your choice but it sounds like Hobson's choice if the alternatives are investment banks/hedge funds (I know as I contract for them).

[eek]

BrilloPad is working in a Hedge Fund at the moment.

He may post if he can be arsed.

Have you read the thread?

I had a mate who did well with equity stake. Got 0.6% - after 1 year he got 600k! Was it MF who did badly?

I work at a hedge fund - its like the Wild West. All hedge funds are similar.

To be honest I dislike banking so can't comment on the other offers. As for the first option if you don't want that job immediately it ain't the one for you.

[Guest22]

northernladuk...
Your posting history doesn't tell me you're cut out for making accurate judgments - can't imagine how you make life or work decisions based on very limited information.

BlasterBates, thanks for your insight. However, it's not a startup. They've been around for 10 years and were once 50 people, but shrunk back to 3 people during the economic crisis before growing to 23 now.

Paper aeroplanes and pop star sounds good though!

[BlasterBates]

It is a simple fact that most startups fail. Assume the lower figure on your equity pay out, otherwise you´ll flog yourself to death and be bitterly disappointed. I would not select this option for the money, choose it because you want to do it, and it sets you up in a career path you want to go down. You want money you go for the contract in a hedge fund, though I dare say you probably won´t be getting much of a social life. If IT bores you then go for the easy-peasy life in a back office where you can have a laugh, throw paper areoplanes around the office and work on being a pop star in your spare time.

[Lockhouse]

As the title pretty much says, I'm trying to compare three offers I have on the table as to which to take, and would like some opinions...

1. CTO at small company (23 people). Salary is 18% lower than my last permanent role and doesn't include a pension (my last perm employer gave 10% pension). It's also outside of finance/investment banking which is where I've been the past four years. However, includes 1% (+ 1% matched) equity vestable in three years. I would be responsible for the product roadmap and effectively the success of the company!

2. Contract at a highly reputable investment management company/hedge fund. Similar rate to what I'm on now. Exciting work - Greenfield, front office.

3. Perm role at large reputable investment bank where I've worked before. Existing project I know of - not exciting, back office. But it's through a mate who got me the job and working with people I know and am well established there already. Salary similar to my last perm role.

Then, two other potential offers in the pipeline with the same company as 3. above that are contracts in front office similar to the rate I'm on now, but these are not offers yet (still have interviews to go).

Any thoughts or opinions?...

I'd deffo go for 1). Control of your destiny, could be a mega + mark on the old CV, potential for £££ but if it doesn't come off, you should have some bankable soft assets.

2) Same old, same old, you could do this any old time.

3) Why on Earth go into IB now?

[northernladuk]

Have you ever heard of facetiousness or sarcasm or joviality? I might be blonde, but I honestly don't think crystal balls exist. duh.

Oh the irony. I have and I applied some in an earlier post and you abused me... twice. This is a free forum where you ask us to help you with a decision based on less than three lines. We don't know how many times you have been interviewed or anything but we can base it on your past posting history and that does not tell me you are cut out of CTO that is for sure.

Anyway, had enough of your attitude. Am out of here.