Houlihan Lokey interview questions, and how it hires

1. Step 1

   Apply

   Research the firm and the program first, tailor your answers to Houlihan Lokey and check your contact details.

2. Step 2

   Telephone interview

   With a recruiter or someone from a business department, depending on the role.

3. Step 3

   In-person interviews

   A series of interviews at its offices, over the course of one day or several days.

4. Step 4

   Offer and feedback

   It gets back to every candidate. If you reached the in-person interviews, you can ask for feedback by phone.

Short, so lead with your story and your reason.

1. 1

   Walk me through your resume.

   What a strong answer does

   The call is short, so keep this tight: where you started, the move that pointed you to banking, and why Houlihan Lokey. Practice it, see a model answer

   • “What was your role on that project?”
   • “What surprised you about it?”
2. 2

   Why investment banking?

   What a strong answer does

   It wants a genuine interest above all. Show what you did to test it: a class, a project, people you spoke to. Practice it, see a model answer

   • “What does a first-year analyst actually spend time on?”
   • “What will be hardest about it?”
3. 3

   Why Houlihan Lokey?

   What a strong answer does

   It says it runs more deals with smaller teams. Say why that kind of exposure fits you, with a person or deal you know of. Practice it, see a model answer

   • “Which group would you want to join?”
   • “Who have you spoken to here?”
4. 4

   What would your last manager say about you?

   What a strong answer does

   It looks for people who work well with every level. Quote real feedback and one thing you're working on. Practice it, see a model answer

   • “What would they say you need to improve?”
   • “How did you act on that?”

Show your personality and that you'll speak up on a small team.

1. 5

   Tell me about a time you spoke up when it was easier to stay quiet.

   What a strong answer does

   It wants interns who make themselves heard. Show what you said, how and what changed. Practice it, see a model answer

   • “How did a more senior person react?”
   • “What if you'd been wrong?”
2. 6

   Tell me about a time you juggled several deadlines.

   What a strong answer does

   More deals per person means more at once. Show how you prioritized and what you told people. Practice it, see a model answer

   • “What slipped?”
   • “How do you decide what comes first?”
3. 7

   What are you curious about outside of work?

   What a strong answer does

   Houlihan Lokey asks for curiosity outright. Pick something real and say what you learned recently.

   • “How did you get into it?”
   • “What does it say about how you'd work here?”
4. 8

   Tell me about a time you failed.

   What a strong answer does

   Pick one that cost something. It asks for hunger, so show what got you going again and what you do differently now. Practice it, see a model answer

   • “How did you know you'd fixed it?”
   • “Who else was affected?”

Strong quantitative and analytical skills are on its list.

1. 9

   Link the three financial statements for me.

   What a strong answer does

   Say it once in words, then show it with a small number. A clear, short answer beats a long one. Practice it, see a model answer

   • “A company books $10 more depreciation, taxed at 25%. What moves?”
   • “Why can a profitable company run out of cash?”
2. 10

   How would you value a company?

   What a strong answer does

   Comps, precedent deals and a DCF, then which you'd trust for a private, mid-sized company and why. Practice it, see a model answer

   • “How do you value a company that loses money?”
   • “Which method usually gives the highest value?”
3. 11

   How does a sell-side M&A process run?

   What a strong answer does

   From the pitch to the close, step by step, and what the analyst builds at each one: the materials, the buyer list, the bid comparisons. Practice it, see a model answer

   • “Why would a seller hire a bank at all?”
   • “What makes a buyer drop out?”
4. 12

   Walk me through a basic LBO.

   What a strong answer does

   Middle-market deals often have private equity buyers, so expect this. Explain how the debt, the cash flow and the exit price add up to the return. Practice it, see a model answer

   • “What makes a good LBO candidate?”
   • “Walk me through sources and uses.”

• A generic application

  Houlihan Lokey asks you to tailor your answers to the firm and show your enthusiasm to work there.

• Wrong contact details

  It says it can't invite you to the next stage without them.

• Hiding your personality

  It says the candidates who stand out give a strong impression of who they are.

• Weak interest in banking

  Above all, it wants a genuine interest in investment banking.

From its How to Apply advice, plus what the in-person stage asks of you.

1. Before you apply

   Research

   What the firm does, the program you're applying to, and why it interests you.

2. Before the phone call

   Tighten your story

   Cut your story until it fits a phone call, and have one reason for Houlihan Lokey you can back up.

3. Before the in-person day

   Prepare for several rounds

   The interviews can run over one day or more. Prepare stories and technicals, and rest.

4. After

   Ask for feedback

   If you reached the in-person stage, it offers feedback whatever the outcome.