Beyond the Zip Code: How to Find C-Suite Private Equity Talent for Far-Flung Locations

Let’s face it: attracting high-caliber C-suite executives is no easy task. Throw in a less-than-glamorous location, and your challenge might start to feel impossible. After all, finding a seasoned CEO, CFO, or COO in Green Bay, Wisconsin, is exponentially more difficult than in bustling metropolises like New York City. However, our research at ECA shows that hyperattention to location in such cases may be counterproductive.

The “Local First” Fallacy

When tasked with filling crucial C-suite positions for their portcos, many PE firms instinctively turn to local talent pools or regional search firms. This approach, while seemingly logical, often proves to be a costly misstep. To see why, just imagine you’re seeking a rare, limited-edition watch. You have two options:

1. Go global: Search specialized online marketplaces.

2. Go local: Search every local pawn shop and jewelry store in your area.

While the second option might occasionally yield results, it’s far more likely to be a time-consuming wild goose chase. In the fast-paced world of private equity, where wasted time equates to significant opportunity costs, such inefficiency can be detrimental. Instead, try these three methods to save time and energy during your next search:

Three Innovative Strategies for C-Suite Recruitment in Challenging Locations

At ECA, we’ve developed a trio of effective strategies for sourcing top-tier CEOs, CFOs, and COOs for hard-to-staff locations:

1. Leverage the Past:

Executives who have previously lived in or near the target area are often open to returning. They bring a unique blend of big-market experience and local cultural understanding.

2. Tap into Alumni Networks:

Many C-suite executives harbor dreams of returning to their college towns or regions. For instance, a rural location like Champaign-Urbana, home to the University of Illinois, might be highly attractive to its successful alumni looking for a leadership role in a location that they remember fondly.

3. Match Location with Lifestyle Preferences:

This approach requires deep insights into candidate preference, personality, and background, but when done right greatly increases candidate sourcing. For example, for a COO position in Bozeman, Montana, targeting executives who are avid skiers or nature enthusiasts could turn a perceived location disadvantage into a major selling point.

Obviously, these three strategies require a rigorous approach to sourcing candidates. On the front end, this means tracking candidates with a meticulous and consistent data management system. On the back end, it requires extensive interview processes, in-depth conversations with each candidate, and unwavering commitment to finding the perfect fit.

Key Takeaways:

First, a word of caution: never sacrifice the caliber of your C-suite hires due to location constraints. With diligence and creativity, exceptional CEOs, CFOs, and COOs can be found for any location.

Success in middle-market private equity often hinges on the ability to think outside the box when it comes to C-suite recruitment. By expanding your search beyond local boundaries and focusing on finding the right alignment between executive aspirations and company needs, you can overcome the challenges of hiring top-tier leadership for any location.

Remember, the goal isn’t just to fill a position – it’s to find a CEO, CFO, or COO who will drive your portfolio company to new heights, regardless of its zip code.