OPERATING PARTNER COMPENSATION IN PRIVATE EQUITY FIRMS

We analysed compensation data from 274 Operating Partners across Private Equity firms in North America.
The data is segmented by portfolio company revenue exposure to illustrate how compensation, incentive structures, and equity participation evolve with platform scale and value creation responsibility.

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RESPONDENT BREAKDOWN

• 46% supporting firms with under $50M revenue

• 35% supporting firms with $50M–$150M revenue

• 19% supporting firms with over $150M revenue

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BASE SALARY

Firms < $50M Revenue

• Lowest: $225,000

• Median: $350,000

• Highest: $500,000

Firms $50M–$150M Revenue

• Lowest: $300,000

• Median: $450,000

• Highest: $700,000

Firms > $150M Revenue

• Lowest: $400,000

• Median: $600,000

• Highest: $1,200,000

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BONUS STRUCTURE

• 85% of Operating Partners supporting firms < $50M receive a bonus of 50% or less

• 70% of those supporting firms $50M–$150M receive a bonus of 50% or less

• 55% of those supporting firms > $150M receive a bonus of 50% or less

Key insight: Bonus leverage increases at scale. Larger platforms are more likely to exceed 50% bonus thresholds, reflecting performance-linked operational impact.

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EQUITY & PROFIT PARTICIPATION

• 60% of Operating Partners supporting firms < $50M receive carry or profit/partner share

• 68% of those supporting firms $50M–$150M receive carry or profit/partner share

• 75% of those supporting firms > $150M receive carry or profit/partner share

Equity participation increases with portfolio scale, reinforcing alignment around EBITDA expansion, integration execution, multiple arbitrage, and exit outcomes.

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KEY TAKEAWAYS

• Base compensation scales significantly with portfolio exposure, with median pay rising from $350K to $600K as revenue complexity increases.

• Top-end compensation expands materially at scale, reaching $1.2M in larger portfolio environments.

• Bonus structures become more performance-leveraged in mid-market and upper-middle-market firms.

• Carry participation is common across all tiers, positioning Operating Partners as direct value creation drivers rather than pure advisors.

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Bottom Line

Operating Partner compensation reflects the direct impact these leaders have on portfolio value creation.
As portfolio companies scale in size and complexity, both cash compensation and equity alignment increase materially — with meaningful upside tied to operational execution and exit performance.

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Looking to benchmark Operating Partner compensation or hire a value creation leader for your portfolio?
Connect with haleema.hussain@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.