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When Do I Tell My Employees I'm Selling?

The thought of selling your business has been on your mind for quite some time, and now you have made the decision to sell. The business is ready to go and you have been working with your advisor to bring in a suitable buyer. The offer comes in and you have signed a letter of intent. The process is in motion, and this is what you have been waiting for, but what about your employees? Your exit plan has been on your mind, but your employees probably haven’t given much thought to what will happen if and when you exit the business. You have a couple options when it comes to sharing the news of your business sale to your employees.

Share Nothing:

Some business owners opt to not share the decision to sell with their employees at all. This option can be viewed as inconsiderate, but it does alleviate the risk of a mass exodus from the company. There are pros and cons to any decision, but not telling your employees right away and keeping information for yourself allows you to keep them from undue stress.

It’s important to protect the integrity of the deal and the company. This means you need to keep details under wraps. If you spill the beans to your employees, there is no guarantee that the information will stay within your company, and it could be concerning for your client base if they catch a whiff of the pending sale.

This doesn’t mean you can’t put things in place to protect your employees through a transition, of course. You just need to pay attention to their needs and ask your advisor what your options are in a sale. If you choose this route, you need to be prepared to extinguish any rumors and answer employee questions the best you can if they notice any changes taking place.

Keep Them in the Loop:

Some owners think the best policy is to be transparent with employees from the outset. The decision to sell has been made, and you are exploring options. So, you want to inform your employees what’s going on. You can be up front with employees and let them know of your plans to sell and your desire to find the right buyer for the company who will instill the same values you hold as a business leader.

This will need to be handled delicately, so your employees will remain comfortable throughout the process. You will need to drive home the initiative that you are doing what is best for the company as a whole and selling the business doesn’t mean the end of the business but rather the growth of the business. It is important to keep the conversation positive, so your employees will get on board with your plans.

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The Drained Business Owner: How to Gain Your Start-Up Passion Back

Running a business is a romantic fantasy built on expectations of immediate gratification. People who venture on their own to start a new business are excited by the prospect of creating their own schedules and doing what they love. The hard work necessary; however, to build a business up and keep it running are often underestimated. Many business owners reach a point of burnout and lose their original passion. This is something that is hard to envision from the start because of the initial excitement.

As a business grows, the responsibilities of the owner often shift from doing what he set out to do: his passion, to doing behind-the-office tasks such as HR tasks, managerial tasks, dealing with legal issues, operational issues, etc. The more the business grows, the more the owner gets enveloped in these tasks. It can be disheartening to get separated from one’s passions, but how can one be reunited with the tasks he knows and loves?

If you feel you aren’t as close to your passions as you were before, there are some strategies you can implement into your business and your life to help you regain control of those passions and utilize them again.

 Take Some Regular Time for You

It is important to stay connected with yourself to maintain balance and obtain satisfaction in what you do. So, make time to do things you enjoy. Start a new hobby; start exercising regularly; watch a new movie; read a book. You need time for you and you need time to unwind and relax, so you can start each day with a fresh outlook. We have all heard the expression “you can’t pour from an empty cup.” It’s true. If you are not giving time to yourself and being mindful of your individual needs, you won’t perform your best in your business. Relaxation breeds innovation. A maxed-out body and mind cannot perform well. You will get burned out and your passion will dwindle.

 Set Boundaries, and Stick to Them

Work is just that: work. So, set specific time frames for work. This is related to needing time for yourself, but this is also related to having a set routine. Work stress can spill over into your life at home if you don’t set boundaries. Things run smoother when you separate your work life and your personal life. Consider not taking any work-related phone calls after a specific time, and decide a maximum number of hours you will dedicate to the business each weekend.

Be diligent in doing this and make it a priority. Odds are you won’t be any more useful to the business by forcing yourself to stay late and go on little-to-no sleep day in and day out. That will make you burnout even faster.

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