ETA vs PE Ops?

October 26, 2025

by a searcher from Harvard University - Harvard Business School in Chicago, IL, USA

*Posting anonymously in case my potential employers/investors check their Searchfunder Feed* I'm at a crossroads deciding between launching a search fund and pursuing a "CEO-in-training" operating role at a Private Equity firm post-MBA. I'm attracted to the autonomy and equity of ETA, but also see the value in the structured environment and resources of a PE Ops role. With ultimately the goal being to become an operator of a SMB, PE Ops seems like a more sure-fire path, and it allows you to gain operating experience immediately while I don't feel skills learned during searching directly translate to being a better CEO. I'd love to hear from those who have faced a similar decision or have experience in both worlds. What were the deciding factors for you? Which has a better expected value for wealth generation? For those who chose PE Ops, do you ever regret not searching? And vice-versa? Looking forward to hearing your perspectives.

Reply by a searcher
from Brigham Young University in Dallas, TX, USA

I think the question to try solving is whether your passions and desires are to work for yourself or work for someone else. If you are itching to go straight into ETA and work for yourself, don’t put off the inevitable. However, if you are looking to add some tools to your tool belt before venturing into your own endeavor, PE Ops would be a better route. Speaking from experience, I have found that the skills and tools from PE have been instrumental in my career growth.

Reply by an investor
from Stanford University in Mexico City, CDMX, Mexico

I’d say the decision really depends on how ready you feel to lead and how much structured learning you still want. If you already have solid operating experience and are eager to take ownership, the ETA path is ideal — it offers true autonomy and tends to generate a higher potential payout over time, since you’re building long-term equity rather than earning carried interest or salary. If, however, you think you could still benefit from developing under a structured environment, PE Ops is one of the best training grounds before taking on a CEO role. While the experience there won’t directly help you with the search process itself, it will give you valuable insight into how to identify and evaluate the traits of successful businesses — an understanding that will serve you well if you later pursue ETA. Both paths can ultimately lead to becoming a strong SMB operator — it just depends on your current experience level and your appetite for independence versus structure.

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