and personally do the selling, strategic partnership with channel resellers, marketing, customer relationship management, and product roadmap builds, according to Mr. Volsky. “These investors are looking for people who have effectively scaled seed or Series A companies all the way through an exit (IPO, merger, acquisition),” he said. “Investors want to see quantifiable impact that executive level candidates have had in their previous career stops.”
Mr. Volsky also notes that the most shrewd investors are giving candidates the good, the bad, and the ugly that pertain to their portfolio companies. “The worst mistake I have seen in the past two-plus years is CEOs and their investors selling their company with rose colored glasses and misaligning expectations of just how hard it will be to perform upper quartile returns in a market with cautious buyers and under-resourced teams,” he said. “The companies and investors that are obviously selling the advantages of the company and why they are so bullish, but also being realistic on where the business is now and the challenges that the executive is sure to encounter are the ones that are getting the most results and having the best retention rates.”
Networking is essential for candidates to not only have access to the best career opportunities but also to have the best shot at landing the most desirable jobs, Mr. Volsky explains. “In this new digital world, it is hard to decipher fiction from reality,” he said. “Referrals from former executives or peers are probably the most important factor in a decision-making process for executive level hires. If there is a candidate who applied on their own and didn’t ask their network to advocate for them with the hiring team, they are putting themselves at a major disadvantage. Word of mouth referrals are worth their weight in gold when it comes to the end of a hiring process.”
Diversity and Inclusion
When it comes to how private equity and venture capital firms approach diversity and inclusion in their executive hiring practices, Mr. Volsky said that some firms are great at it while others are still stuck in the 20th century. “The ones who do it well realize that diversity of thought can be a secret weapon for their portfolio companies,” he said. “Of course, industry experience and contacts can be very helpful and if someone has previously worked for a direct competitor can certainly shorten the candidate’s learning curve, but having a homogenous team who all worked for the same company previously can result in the dreaded group think that stunts innovation. Forward thinking investors are understanding that there are a wealth of candidates
who have transferable skillsets from tangential industries that can bring diverse thoughts and ideas to move their future employers forward.”
“The recruitment landscape for PE/VC talent has been evolving, shaped by economic shifts, technological advancements, and changing market dynamics,” said Kevin Barry, managing partner at SPMB. “In 2023 and 2024, deal activity slowed which had a meaningful impact on hiring trends—most notably the grow at all costs era has given way to a more disciplined approach to value creation. This shift is particularly evident in VC recruiting, where firms are increasingly prioritizing candidates with strong financial acumen and operational discipline—often actively seeking those with PE backgrounds who bring proven experience in detailed financial analysis and capital-efficient growth strategies.”
“Perhaps not surprisingly, under-performing business or those fighting hard to meet minimum financial objectives—both in VC and PE—are choosing to forego backfilling senior officer departures; instead asking existing ELT members to take on a broader remit beyond their given function or making due with second-level leaders running a function instead of backfilling the top job,” said Jon Landau, partner at SPMB. “While this stop gap measure may save cost in the short term, it also layers on added pressure to an already stressed organization, often hastening the departure of other key executives on the team. While we’ve seen a dip in overall search volume this year and last (in line with broader industry patterns), certain roles—like CEO/president/GM, CFO, product management, sales, and post sales leadership—are experiencing increased demand as portfolio companies are focusing on strong management, customer growth and retention, and product improvements, especially in the B2B space.”
In today’s market, hiring for C-level talent is all about proof points of success, according to Mr. Barry. “CEOs are looking for execs who have a proven track record of driving growth and profitability, especially in fast-paced, results-driven environments,” he explains. “If a candidate has led a successful turnaround, scaled a business, significantly expanded market share, or has personally been part of a successful exit, it’s a distinct advantage in the interviewing process – if not a must.”
“Speed of execution in today’s economic climate is paramount,” Mr. Landau said. “If a senior officer can jump into a new role and hit the ground running they bring exponentially more value than the exec who needs 6 months to ramp up on a given industry or problem set. Candidates who play to their strengths and focus on sectors and roles that are in their wheelhouse beat out the untested candidates every time.”
