Best tools to prep for a private equity job
TL;DR
Private equity work is buyout modelling, diligence, portfolio value creation and LP reporting. Get comfortable with a paper LBO, a three-statement model and a clean IC memo before day one.
What PE analysts actually do
Analysts and associates spend most of their week on three things: diligence workstreams, model builds, and IC materials. Every one of those touches a data room and a memo.
The tooling is heavier than in VC. Funds use CRMs (DealCloud is common), data rooms, financial modelling in Excel, and portfolio monitoring platforms like eFront or Chronograph. Increasingly, funds run this on one integrated platform.
How to prep
Learn to build a paper LBO in ten minutes without a calculator. Read three real IC memos. Build one three-statement model on a company you understand. Do a mock covenant test.
This beats memorising formulas from a textbook because it forces you to think about the deal, not the mechanics.
How this shows up on the job
First month: you are checking diligence trackers, cleaning models built by seniors, and pulling comps. First quarter: you own a section of an IC memo and support a portfolio company quarterly review. Every one of those runs on structured data and a memo.
How Reuben AI helps
Reuben AI runs the PE workflow end to end: pipeline, diligence, IC memos, portfolio monitoring and LP reporting on one platform. Students can start on the Free workspace with LBO and DCF shells and IC memo templates used by professional funds.
Sources
Frequently asked questions
Do I need to memorise every LBO formula?
No. You need to explain how the deal makes money. The formula follows.
Is Excel still the main modelling tool?
Yes. Fluency in keyboard shortcuts and clean model structure matters more than any add-in.
How important are comps?
Very. Every IC memo has a comps page. Practise building private precedent transaction sets from disclosed deals.
What is the biggest mistake in a student memo?
A risks section that is too polite. Real IC memos weight the honest risks and say what could break the thesis.
Should I learn Python or SQL?
Nice to have. Not decisive. Excel and memo craft come first.
Learn on the platform you will use on the job.
Start with the Free workspace to practise IC memos, LBOs, DCFs and private-capital workflows. Faculty, program leads and student investment club leaders can book a demo to discuss teaching seats and program access.