The supporting cast

Private equity firms tend to be relatively lean economic animals, relying on a small dedicated staff primarily focused on executing deals and possibly creating post‐investment value at portfolio companies. This chapter provides an in‐depth, dynamic picture of the inner workings of the private equity ecosystem, with its multiple layers of interacting players and systems, from bankers to consultants, to placement agents, due diligence specialist providers, lawyers and accounting firms. M&A advisory fees have traditionally been a rich source of income for the banks, with private equity making up a significant proportion of global M&A transactions. International accountancy firms are also major providers of advisory services to the private equity industry. Recruitment consultants, also known as headhunters, have targeted and built up close relationships with private equity firms. Private equity is often viewed as somewhat shy and retiring in some quarters and downright secretive in other less sympathetic ones.