Selling your business is easily one of the biggest things that will ever happen to you. It directly affects your personal goals and your family’s present and future. It’s easy to get wrapped up in the drama of your needs and emotions while selling the business, but it’s important to remember: This is a huge event for your employees as well. It’s not going to be easy but there are a few key steps you can take to make the transition more pleasant for your employees:
Tell Them Immediately After the Deal Closes
Even though you’ve been working on the sale of your business for months (if not years), it will undoubtedly come as a shock to most of your employees. Waiting too long to tell them can make them feel lied to. Don’t drag your feet. On the other hand, you don’t want to tell them too early in case your deal falls through at the last minute. Opt for telling your employees directly after the deal goes through.
Be Honest
Unfortunately, selling your company can breed an atmosphere of distrust in the office. Mitigate this by being as upfront as you possibly can. Help your employees understand why you sold your company. Share your goals for the transition. Let them know how they’ll be supported through this tumultuous period and your wishes for the future of the company.
Build Their Trust in the New Owner
You’ll definitely want to show your employees why you chose your particular buyer. What will the company gain with the new owner? How will this benefit them on an individual level? In his Inc. article “What to Tell Employees During an Ownership Transition,” Curtis Kroeker suggests, “ . . . in the days and weeks following the initial introduction, the new owner should meet with employees individually or in groups so employees can express their concerns and get to know their new boss on a more personal level.” I wholeheartedly agree.
Encourage Employees to Get Active in the Transition
Once they hear that you’re selling the company, one of the first things your employees are likely to wonder is if they’re losing their jobs. Hopefully, you’ll be able to guarantee them that there won’t be any personnel changes. Perhaps you can even negotiate yearlong retention contracts for key employees. If not, shift their focus by encouraging them to get involved in the transition. Have them help write the procedural documentation and job descriptions. This will help everyone take ownership of their positions.
Consider Staying On as a Consultant
Your employees are used to seeing you around the office. Your presence may be a comforting reminder that although the business is no longer in your hands, not everything has to be completely different. If it fits into your post-sale goals, you might consider negotiating a consultant position for yourself so that you can check in with the company and your former employees.