• It is notoriously difficult to land a job in venture capital due to the competitiveness of the industry.
• Stem7 Executive Search recruiter Emma Halls shares what venture capital firms look for in candidates.
• A background in finance is often important, but soft skills can help candidates stand out, says Halls.

This essay as told is based on a transcribed conversation with Emma Halls, director of Stem7 Executive Search, a recruitment company for the financial services sector. Business Insider verified his employment. The following has been edited for length and clarity.

Venture capital is one of the hardest industries to get into due to its competitiveness.

As a recruiter for Stem7 Executive Search, I specialize in placing venture capital and private equity candidates, particularly in early-stage investment companies. We work with venture capital firms in London, Paris, Berlin, Stockholm, Munich, New York and Palo Alto, California.

For junior positions, our clients prefer candidates with experience in investment bank or management consultant. But that’s not enough to land a job in venture capital.

It is beneficial if someone has professional experience in technology or startups. But they also look for candidates whose CV shows that they are truly passionate about the entire venture capital ecosystem. It’s not enough to just say you’re passionate on your CV: you need to demonstrate it through your experience.

Venture capitalists seek networkers and disruptors

This could go through their education; Applicants may have earned a science or engineering degree and shown that they are curious about how things work. This could be by starting an initiative themselves, such as an academic society, or by creating an app with friends. This shows VCs that candidates were still doing things that created some sort of disruption.

One thing we tell candidates is that they are entering a highly networked industry. Venture capitalists want to know if candidates have successfully networked in some sort of startup or internship role. Have they reached out to people in the ecosystem to make connections? Have they participated in university competitions related to startups or businesses? These things will show a hiring VC fund that this person has something extra in them.

A key quality our clients look for is the ability to build interpersonal relationships. Were the candidates able to communicate with people and build relationships? Don’t just talk to people, but build relationships, which means constantly staying in touch with that person. The other trait they look for is emotional intelligence, which comes out more during interviews.

Pass the interview

Before candidates move on to the interview stage, they should look at what this specific fund does and the sectors in which it operates. In which areas and companies do these particular venture capital funds invest? At what stage of the investment are they considering?

There’s no point in applying to a biotech company and saying they’re really interested in AI. Usually the process would be that if they get to the interview stage, they will then be asked to talk about their background. They would be asked questions such as: “If you had to invest in any market right now, what would it be?” »

There are hot markets where our clients are very interested in candidates with experience. This includes, but is not limited to, artificial intelligence, biotechnology and health technology, climate technology and financial services.

So, if candidates come in for an interview, the person interviewing them will want to know: what investments is the company making in its portfolio? Which one do they like? Which one would they invest in and why? Which one would they do really well?

They want to know that the candidate did a lot of research on their portfolio before joining the firm.

Candidates without a finance background can stand out

Over the past five years we have seen many different routes in venture capital. People have built networks in these areas and we advise candidates to absorb all the information available to them through podcasts and social media.

This will help candidates learn more about the fields, but they will also know if they have that genuine passion and curiosity that will set them apart.

Additionally, for more specialized funds, such as biotechnology and healthcare, we have seen doctors and people with life science backgrounds applying in these areas.

Share the podcasts you listen to

One of the common mistakes candidates make is not sufficiently listing on their resume everything they have done that sets them apart. They should make sure they have listed everything they have done in college, what they do outside of work, all the research they have done, and even the podcasts they listen to.

Candidates often forget that they need to demonstrate why they think they will be good for the company. So, rather than saying, “I want the chance to come join your company because your company is really exciting,” they should write, “I would really like the opportunity to interview you because I think I could contribute in this way. »

Avoid long cover letters

Often a candidate can write a very, very long cover letter, and it’s essentially not necessary. They could be wrong without knowing it. Our advice to candidates is that it is good to write a few sentences explaining why they would like to join this particular organization and why they really like the company’s portfolio. They need to explain why they believe the skills they have match what the company is looking for at that level.

If I look at why our candidates are rejected for interviews, it’s often because they don’t demonstrate that they have certain soft skills. Can they communicate? It’s very easy for candidates to get caught up in their phones instead of talking to people face-to-face – which will come out during interviews if they don’t have those coveted communication skills.