CEO COMPENSATION IN PE-BACKED COMMERCIAL SERVICES FIRMS

We analysed compensation data from 77 CEOs operating within Private Equity-backed Commercial Services businesses across North America.
The data is segmented by revenue size to provide clear insight into how CEO compensation, incentives, and equity alignment evolve as platforms scale.

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RESPONDENT BREAKDOWN

• 34% from firms backed by PE funds under $500M AUM

• 29% from firms with $50M–$150M revenue

• 37% from firms with over $150M revenue

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BASE SALARY

Firms < $50M Revenue

• Lowest: $180,000

• Median: $275,000

• Highest: $400,000

Firms $50M–$150M Revenue

• Lowest: $250,000

• Median: $350,000

• Highest: $500,000

Firms > $150M Revenue

• Lowest: $300,000

• Median: $475,000

• Highest: $750,000+

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BONUS STRUCTURE

• 88% of CEOs at firms < $50M receive a bonus of 50% or less

• 82% of CEOs at firms $50M–$150M receive a bonus of 50% or less

• 71% of CEOs at firms > $150M receive a bonus of 50% or less

Key insight: While bonus opportunity increases slightly with scale, the majority of CEOs remain capped at conservative bonus levels, with PE sponsors prioritising equity-driven upside.

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EQUITY & PROFIT PARTICIPATION

• 54% of CEOs at firms < $50M receive carry or profit/partner share

• 67% of CEOs at firms $50M–$150M receive carry or profit/partner share

• 81% of CEOs at firms > $150M receive carry or profit/partner share

Equity participation becomes significantly more prevalent as businesses scale, reinforcing the CEO’s role as the primary value-creation partner for PE sponsors.

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KEY TAKEAWAYS

• CEO base salaries scale materially with revenue, rising from a $275K median in sub-$50M firms to $475K in platforms exceeding $150M.

• Bonus structures remain disciplined, though larger platforms allow for modestly higher variability.

• Equity is the primary lever for upside, particularly in larger platforms where over 80% of CEOs participate in carry or profit-share arrangements.

• Pay dispersion widens at scale, reflecting differences in platform complexity, M&A cadence, and exit expectations.

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Bottom Line

CEO compensation in PE-backed Commercial Services firms is equity-led, performance-oriented, and tightly governed.
As businesses scale, cash compensation increases, but the most meaningful upside is consistently delivered through ownership, value creation, and exit participation rather than aggressive bonus structures.

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Looking to benchmark CEO compensation or hire a proven Commercial Services leader for your portfolio company?
Connect with kaj.coffey@raw-selection.com

Raw Selection | De-Risking Executive Search for Private Equity firms across Europe & North America

All insights in this salary report are derived from Raw Selection’s proprietary data.