How to deal with retarded clients
LMM; before we start to receive items we send a information request list, the last 2 clients in particular don’t fill it out and maybe send 1/4 of what I need to put together a good deck. I bring this up to my VP/MD they kinda just 🤷 or don’t give any solution
What the fuck am I supposed to do? I’ve done the decks to the best of my ability of what’s available but it’s increasingly making me angry bc I’m in speaking with associates at the private equity firms we usually send to on a semi-regular basis and if my work product looks like shit I don’t think I’m going to go far in their process
Follow up with the client to get the things you need
I’ve done that and they either take 4-5 days to respond or half of requests are fulfilled
For example: wanted to track revenue by service and their internals are completely off from what their RF state - latest
Welcome to LMM IB.
Oh man, I don't miss these days at all. I have worked in the LMM on the banking side and man this shit would drive me up a wall. It sucks for a whole handful of reasons, Clients putting you in a hard spot by not being timely with information, VPs/MDs are probably harping on you to meet timelines and not really contributing to pushing the process along (let me guess your MD won't shut up about his next golf trip, which is also cutting into your working time), Then you get pressed to go to market with subpar materials, and the Investors ask the most basic questions that you can't answer because you literally don't have them. Yeah, I have been there.
I find that the best way to get around this is several fold:
1. Continuously, push the initial request list out yourself. If anything, I don't think a bi-weekly reminder to your clients can't hurt. MD or VP gets butt hurt then send them a weekly update on what you are missing. If anything it will at least give you a way to take pressure off your back if shit is not getting done.
2. If you are designing/drafting slides for a CIM I would create the charts, graphs and diagrams and fill them with the general information. This gives your clients something to comment off of, or allows for them to see what needs to be created and can lead to at least people redlining a draft.
3. Don't be afraid to cut pages and go thinner on a book. Honestly, when I read a smaller well put together CIM/CIP, I don't ding the bankers. Most people will understand that it is a LMM company. I do ding bankers who have 20 pt. font and huge graphics in books that say very little.
4. Really push for either an in-person drafting session or call. This will also hopefully, put some pressure, on the clients to be ready, or at least potentially force your team to see where you are in the process. Don't worry this will probably go as poorly as you think it will.
These are my best tips and ultimately, if your bank is taking on trash deals and not supporting you in your career growth, then it might be time to look for new opportunities (sounds like you already are).
Ahh will take these on thank you! One client with 50M in revenue their work is littered with misspelling, zero ERPs and incomplete data, and any time I send over questions I get the worst responses, sent over a question on relationships w customers and the CFO just said “I’m not sure” 😂😂
& Best part is they’re “desperate” to go to market, doesn’t seem like it!
Can I ask where you ended up post-LMM IB? I’m at a similar-sounding shop at the moment and weighing potential exits
I ended up in LMM PE, but there are a handful factors that I think played in my favor vs not.
If you are LMM IB, and you are not getting much traction to the buyside, I don't think it is a bad move to try and swim up stream to a better bank to get good experience. It really just depends on the banks and funds you are applying too.
I've been there. What helped me was creating a draft of the CIM using everything they sent me, but then creating "dummy" charts everywhere with fake numbers and a yellow box over them saying what data we need to fill it out.
Random example: the "sales & marketing" page would have some text and some space for a chart. Write the text bullets, but then in the corner where the chart should go, create a dummy chart with a yellow box saying something like "please provide sales & marketing headcount over the last five years to show growth in S&M team".
Fight fire with fire. Assign your worst analyst to be in charge of their decks.
Work on your communication and client management skills. If you are not getting the info you need out of the client, it falls on you. Your job is to advise them. Give them a call and describe what you need from them and why. Based on your responses, it doesn't seem like you are actively speaking with them... just sending emails.
While in-person working sessions will certainly help here, carving out 30 minutes to discuss a piece of the business to create 2 slides is immensely helpful in getting a client to focus. When you send them a long list of requests and/or a lengthy deck that is littered with TBUs - they (rightfully) get overwhelmed. Build in pieces.
If I may, I'll shed some light on this, as I've been on the client side...
Depending if the client is a wealthy investor, or company (involved in M&A, etc), it will vary a bit, bit the underlying issue tends to be the same...
• If a wealthy investor, if they respond without completing details, and almost picking and choosing what to complete, it's because they feel that they can't be bothered... Often, for almost anything they do, in business/finance/life, they are being asked to fill out similar information, and they get tired of it.
So, they will complete a few random details scattered throughout the paperwork (almost picking randomly of what to answer), to feel/look like they made some effort (even if almost no effort).
They will assume that all information isn't really needed, and is somewhat of a formality, or that you can find the information elsewhere, without them having to spend time on it.
Effectively, they are being lazy, because they feel like they can get away with it.
• If a corporate client, the reason they aren't completing the paperwork is quite similar: they feel they can't be bothered, and they usually have almost no motivation, or incentive to be on top of it.
They too will assume that the information is a formality, not really necessary, and/or that you can find the information elsewhere.
In both cases, they are trying to push it back on you, with the assumption that you can/will find it elsewhere, and that it's a formality, and they can't be bothered with it.
Unfortunately, the truth is that (for many purposes), you actually do need the information, and may not be able to find it elsewhere; so it makes everything harder for you.
(In cases of misspelling, or other sloppy response; it could be that they responded so hastily on their phone, in a rush, or otherwise not being bothered, that they didn't really care enough to read as they were typing quickly... Or even in some cases, they are sloppy because that is how they really are when not using spell check, etc... I know of a guy worth at least $500MM (and likely over $1B), who inherited everything and can barely spell or function in life (lol), and receiving an email or text from him is almost incoherent, and leaves me like WTF, but it's how he is, unfortunately. I also know another eccentric guy who refuses to type anything, and will insist on handwriting, yet he actively uses technology, and he is just eccentric. (Sometimes, it's just worth rolling your eyes to yourself, and try to take baby steps through it, in case they aren't really all that sharp/experienced).
Here are my suggestions...
In either case, the key is to somehow communicate that you really need the information. Perhaps try to contact them directly (if you are working directly) and walk them through it, or help them to fill it out. Asking them, and getting them to answer, with you completing it for them or helping them to fill it out, is likely to help.
In their mind, they can't be bothered, because they feel like it was work being pushed on them, etc.
The way around that is to walk through it with them, and essentially 'help' them complete the information, even if they are providing answers and you are filling it out (if permitted, in the scenario, obviously).
Often, they can't be bothered to fill it out... but if you go over it with them, and ask each detail (personally), and help them to complete it, you'll end up with all the information you wanted.
Often, especially if a wealthy client (or something at a company who feels special, or might be bitter for something in the scenario), they would much rather answer and have you fill it out, rather than just answering it themselves (if possible). Absurd, I know, but that's how some are...
I often find it almost laughable when the try not to answer key details, almost with a 'trust me bro' attitude; which obviously won't fly, but they try, nonetheless.
My point is to:
1. Try to communicate that this information is necessary, critical, and that you need the information to do XYZ. Make them realize that you need the info and that it isn't available elsewhere.
2. Try to find some way where you make it easy for them, and cater to their lazy approach, e.g. by babying them/walking through the information with them (if that is an option). Alternatively, something with a similar idea/approach, of making it easy on them, or walking though it, to get them to provide the information you need, without them needing to care, or without them making am effort.
Make it easy for them, and communicate that you need the information (to the extent permitted by circumstances).
I hope that helps.
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