Peter Tang, CFO at M&J Chickens: Navigating the Fast-Paced World of Private Equity

Private equity allows finance professionals to make a significant, immediate impact within dynamic and fast-paced environments. At our recent panel event, "Elevating to CFO: Thriving in Private Equity," Peter Tang, Chief Financial Officer at M&J Chickens, shared valuable insights into his journey, the key differences between corporate and private equity finance roles, and the skills necessary to thrive as a private equity CFO.

From Corporate to Private Equity

Peter began his career in corporate finance, gaining a broad range of experiences across various industries. Starting at Unilever, he developed strong commercial and financial foundations, further shaped by roles at Coca-Cola, where he oversaw the construction of seven greenfield factories and even did a stint in IT management. His commercial skills were further refined at Arnotts, where he helped turn around a loss-making business. At Goodman Fielder, he thrived in an entrepreneurial culture, navigating complex transactions during a period of significant acquisitions and divestments leading to the company’s IPOs. His last role in the larger multinational was at Mars, where the key areas of focus were team engagement, developing talent and communicating vision and purpose for superior business performance. 

It wasn’t until later in his career that Peter transitioned into private equity—not something he had planned, but an opportunity that came after his tenure at Mars.

Peter was drawn to the entrepreneurial environment of private equity, where the pace is fast and the ability to influence change is immediate. The opportunity to create value in a short period, combined with the challenge of working in a dynamic landscape, appealed to his desire for a more hands-on, impactful role.

Corporate vs Private Equity CFO Roles

For Peter, the most significant difference between corporate and private equity finance roles is the structure of the business. In a private equity-backed company, he said, the business is typically funded by debt, which introduces the bank as a key stakeholder. This changes the dynamics for the CFO, who must manage not just the P&L but also greater focus on cash flow and the balance sheet, ensuring that the company maintains financial health.

In private equity, CFOs are often tasked with building the systems and processes for tomorrow’s business, rather than simply maintaining existing structures, as is often the case in large multinational corporations. Peter noted that while corporate CFOs typically have shared services to help with financial control and balance sheet management, in private equity, the CFO must take a more hands-on approach to both finance and operations.

Rewards and Challenges of Being a Private Equity CFO

As a private equity CFO, Peter has found great fulfilment in transforming businesses from intuition-based decision-making to data-driven strategies. This he said has enabled quicker, more accurate business decisions. Additionally, being freed from bureaucratic delays, has enabled the rapid implementation of changes, resulting in visible outcomes that enhance business performance.,

However, these advantages come with significant challenges. Change management is a critical hurdle to overcome, especially when collaborating with founders who may resist adopting new processes necessary for scaling. Balancing their vision with the need for fresh talent and resources is essential for growth.

Additionally, managing cash flow in a debt-funded environment demands constant vigilance and financial discipline, as CFOs must navigate change and growth in the absence of a corporate safety net. Consequently, a private equity CFO must expertly balance the dynamics of immediate impact with long-term stability.

Essential Skills for a Private Equity CFO

Reflecting on his career learnings, Peter stressed the importance of building a strong team and creating efficient, repeatable processes early on. This foundation allows CFOs more time to engage on high-level strategy and business improvement. He also emphasised mastering change management—guiding a company from its current state to where it needs to be is a key responsibility of any private equity CFO.

Resilience and a results-oriented mindset are vital qualities for anyone looking to succeed in private equity. The ability to stay focused under pressure and drive the company toward its goals, despite challenges, is crucial in this fast-paced environment.

Finally, refine your storytelling skills to communicate the reason for change to staff and articulate the company’s equity story during the exit process would also maximise value for shareholders.

To learn more on advancing your career in private equity, please contact us to discover how we can support your journey.