CEO COMPENSATION IN PE-BACKED MANUFACTURING FIRMS

We analysed compensation data from 197 CEOs operating within Private Equity-backed Manufacturing businesses across North America.
The data is segmented by revenue size to show how CEO compensation, incentive structures, and equity participation evolve as manufacturing platforms scale in complexity and capital intensity.

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RESPONDENT BREAKDOWN

• 46% from firms with under $50M revenue

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

• 25% from firms with over $150M revenue

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BASE SALARY

Firms < $50M Revenue

• Lowest: $150,000

• Median: $300,000

• Highest: $425,000

Firms $50M–$150M Revenue

• Lowest: $250,000

• Median: $375,000

• Highest: $550,000

Firms > $150M Revenue

• Lowest: $325,000

• Median: $500,000

• Highest: $875,000+

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BONUS STRUCTURE

• 90% 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

• 68% of CEOs at firms > $150M receive a bonus of 50% or less

Key insight: While bonus flexibility increases modestly at scale, manufacturing CEOs remain primarily incentivised through equity rather than aggressive cash bonuses.

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EQUITY & PROFIT PARTICIPATION

• 58% of CEOs at firms < $50M receive carry or profit/partner share

• 71% of CEOs at firms $50M–$150M receive carry or profit/partner share

• 86% of CEOs at firms > $150M receive carry or profit/partner share

Equity participation increases sharply with scale, reflecting the CEO’s role in operational leverage, capital deployment, margin optimisation, and exit execution within manufacturing platforms.

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KEY TAKEAWAYS

• CEO base salaries scale materially with revenue, rising from a $300K median in sub-$50M manufacturers to $500K in businesses exceeding $150M.

• Bonus structures remain disciplined, even in capital-intensive environments, with most CEOs capped at ≤50% bonus targets.

• Equity is the primary driver of upside, particularly in larger manufacturing platforms where long-term value creation is prioritised.

• Pay dispersion widens significantly at scale, reflecting differences in plant footprint, automation complexity, and M&A cadence.

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Bottom Line

CEO compensation in PE-backed Manufacturing firms is equity-led, performance-driven, and tightly governed.
As businesses scale, increases in cash compensation are measured, while the most meaningful upside is delivered through ownership alignment tied to operational improvement and exit outcomes.

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Looking to benchmark CEO compensation or hire a proven Manufacturing leader for your portfolio company?
Connect with jack.burns@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.