CFO Search for Portfolio Companies
CFO search for private equity-backed companies
After an acquisition, reliable reporting to the investor cannot wait.
Book a consultationPrivate Equity CFO Search with NAKAMA
NAKAMA EUROPE recruits CFOs and builds finance teams for private equity-backed businesses, acting on behalf of the investor or the portfolio company. If needed, an interim CFO takes on the role while we conduct the search for a permanent appointment. We work across Europe in English and German.
Founder Claudia Wulf brings more than 25 years of Executive Search experience, preceded by over twelve years working in finance and accounting.
What a portfolio company CFO needs
A CFO in a private equity-backed business must meet the needs of both the business and its investor. This includes meeting the investor’s reporting requirements, maintaining covenant compliance, translating the value creation plan into financial targets and preparing the business for an eventual exit from the outset.
Which prior experience is essential depends on the portfolio company’s situation. Where reporting, financing or the finance organisation has to be rebuilt at short notice, experience of comparable tasks is particularly important.
When portfolio companies need a new CFO
- An acquisition by an investor, with a finance leader whose experience does not match the requirements under new ownership
- Setting up reporting to the fund
- Refinancing or renegotiating covenants
- Add-on acquisitions as part of a buy-and-build strategy
- A carve-out requiring a standalone finance function
- Preparing the business for an exit
Turnaround or growth: which CFO fits?
In a turnaround, liquidity, short-term control and alignment with lenders and the fund take priority. In a growth or buy-and-build phase, building the finance organisation, integrating acquisitions and scalable processes can be decisive.
Some finance leaders do their best work in a turnaround, others in building a finance organisation. Each is a distinct strength. We agree with the investor and management which tasks take priority and what experience the CFO needs to bring.
Interim CFO and permanent appointment
Where finance leadership has to be bridged at short notice, we combine interim management and the permanent search in three steps:
01
Bridge finance leadership
An interim CFO leads the finance function during the transition, stabilises the financial close and reporting processes and implements the agreed priorities.
More under Interim Management.
02
Search for the permanent CFO
In parallel, we search for the CFO whose experience fits the company, the value creation plan and the investor’s planned holding period. The first shortlist is usually ready within two to three weeks.
03
Prepare the handover
We plan the handover from the outset so that knowledge, ongoing measures and responsibilities are transferred in an orderly way.
The experience we assess
- Experience working with investors. Reporting to a fund and working with the board and the investment team.
- Financing. Experience with leverage, covenants and lenders.
- Pace. Whether the person can deliver in the first months without relying on fully established teams and processes.
- Exit experience. Experience of leading a business through sell-side due diligence and preparing it for a sale.
- Building and developing the finance function. In many portfolio companies the finance team has to be built or rebuilt first.
Building finance teams in portfolio companies
After an acquisition, a carve-out or as part of a buy-and-build strategy, it is often not only the CFO role that needs filling. We also recruit the key roles in the finance team: controlling and FP&A, accounting and consolidation, tax and treasury, and finance transformation.
We align these profiles with the CFO and with each other so that the team works as a whole. More on Finance leadership.
For the investor or the portfolio company
We work at investor level, for individual portfolio companies or across a portfolio. More on the For investors page.
We work exclusively on a retained basis on behalf of the investor or the portfolio company. Fees are invoiced in three stages linked to agreed milestones: a kick-off fee when the assignment is commissioned, a shortlist fee when candidates are presented, and a placement fee when the employment contract is signed.
The shortlist contains at least five candidate profiles, usually more. As a matter of principle, we do not approach employees of our clients.
Frequently asked questions
How does the CFO role in a private equity-backed business differ from other CFO roles?
A CFO in this setting combines operational financial management with the investor’s requirements. That means meeting the fund’s reporting requirements, maintaining covenant compliance, translating the value creation plan into financial targets and preparing early for an exit. Pace and experience of working with investors therefore often matter more than in other finance leadership roles.
Interim CFO or a permanent hire straight away?
If finance leadership is needed immediately, we recommend both in parallel: an interim CFO provides leadership during the gap while the permanent search runs. If there is time before the change, a permanent search alone may be enough. NAKAMA can provide both.
How quickly can a portfolio company CFO be found?
At NAKAMA, the first shortlist is usually ready within two to three weeks. When the selected CFO starts depends on the remaining selection process, the contract negotiations and their availability. If needed, an interim CFO can bridge the transition.
Who commissions the search: the investor or the portfolio company?
Either the investor or the portfolio company can commission the search. We work with investors, individual portfolio companies and across portfolios. At the outset, we agree who will make the hiring decision and who will take part in interviews, so that responsibilities are clear and the process can move forward efficiently.
How are remuneration and management equity addressed during the search?
We clarify the full remuneration package early in the assignment, including any equity participation. We discuss candidates’ expectations early in the process to establish whether the package is a realistic fit and reduce the risk of late-stage withdrawals.
What happens if a portfolio company CFO appointment ends within the first three months?
We then fill the role again at no additional fee. This applies if the person appointed resigns within the first three months or the company ends the contract during that time. It does not apply if the role is eliminated or changes substantially, for example through a different location or a different remit.
How are fees structured for a portfolio company CFO search?
NAKAMA conducts portfolio company CFO searches exclusively on a retained basis. Fees are invoiced in three stages linked to agreed milestones: a kick-off fee when the assignment is commissioned, a shortlist fee when candidates are presented, and a placement fee when the employment contract is signed. The fee covers the full search process, rather than individual candidate introductions.
It starts with a good conversation.
Let’s talk about the position you need to fill, the responsibilities it carries and what the right person should achieve within your organisation. Together, we will clarify how NAKAMA can best support your search.