Why CFOs Fail in Private Equity — and How to Succeed

Why the drop-off?

1. Sudden shift post-deal
   Once the transaction closes, support vanishes. CFOs must lead decisively in fast-paced, complex environments—often beyond their prior experience.
2. Lack of PE readiness
   Many CFOs haven’t scaled businesses, led bolt-ons, or translated investor demands into operational value. PE Chairs expect strategic clarity and fast execution—with little tolerance for misalignment.
3. Shorter tenure reflects the strain
   CFOs in PE-backed firms average 2.5 years, versus 5.6 years in public companies.

Four common pitfalls

• Strategic Misfit: PE demands full ownership and a cross functional value-creation mindset—best learned through experience;
• Weak Sponsor Relationships: Misalignment or poor communication with sponsors erodes trust quickly;
• Execution Gaps: Legacy systems and slow decision-making hinder transformation;
• Exit Phase Misalignment: As the business prepares for growth or sale, new capabilities may be needed—sometimes beyond the current CFO. 

How to Succeed 

Join seasoned PE CFOs, operating partners, and leadership advisors to explore actionable strategies for thriving in the first 18 months via our event on 7 November. 

A global initiative focused on helping CFOs lead with confidence, pace, and strategic clarity in PE-backed roles. 

To attend, contact Pieter Ebeling, Head of Private Equity Europe: Pieter.Ebeling@odgers.com.