Step 6

Transitioning After the Sale

Selling your business is bittersweet. It's a new chapter, one filled with mixed emotions. You'll need to effectively navigate changes in involvement, communicate with stakeholders, and resolve conflicts for a smooth transition.

Selling your business is bittersweet. It's a new chapter, one filled with mixed emotions. You'll need to effectively navigate changes in involvement, communicate with stakeholders, and resolve conflicts for a smooth transition.

How to Communicate the News

Announcing deals often unintentionally stokes rumors based on limited information. Be proactive in addressing stakeholder concerns. Carefully consider timing, formats, and frequency for transparency without allowing distraction.

Employees

Explain expected impacts on roles, responsibilities, and futures post-close. Provide retention offers to valued talent.

Customers

Emphasize continuity in product or service quality levels.

Suppliers & Partners

Provide visibility into dependencies like inventory orders and roadmap transparency.

New Reality of Involvement

Post-close roles for owners range from complete departure to ongoing leadership, depending on deal structures. New governance can mean adjusting autonomy expectations for sellers used to unilateral control.

Consulting Role

Project or hourly work providing strategic advice

Employment Role

Salaried position, often with growth incentives

Board Role

Governance seat with influence tied to equity stake

Legacy Role

Ceremonial affiliation maintaining brand continuity

What If You Regret the Sale?

Seller's remorse is quite common. Even if you've done a deal you feel good about, you might find the transition difficult. You'll have less (or likely zero) control over your business. You'll have a lot more money than you did before, but the routine of your life will likely feel totally different. This is normal.

If you do end up feeling this kind of remorse, revisit your original motivations. Remind yourself why you wanted to sell the business, and what your goals were. Remember that the version of you that wanted to sell the business had very good reasons for doing so.

Conclusion: Key Steps to Selling Successfully

1

Decide when and why to sell

Reflect deeply on motivations, priorities, and ideal timelines for transition. Draft ambitious yet realistic objectives.

2

Prepare to sell

Methodically prepare relevant historical documentation regarding operations, finances, and ownership. Get your house in order.

3

Find buyers

Connect with thoughtful, pre-vetted buyers and do a deal on your terms, without forking over a huge portion to a broker.

4

Negotiate a deal

Scrutinize deal structure aspects like payment timelines, earnouts, and liability exposures as much as headline valuation multiples.

5

Due diligence & closing

Set reasonable expectations around duration and depth required. Develop structured rhythms for managing inquiries.

6

Transition post-sale

Over-communicate with employees, customers, and vendors. Assume positive intent when conflicts arise.

Sell Your Business Smoothly with Rejigg

We connect you with thoughtful, pre-vetted buyers and let you do a deal on your terms, without forking over a huge portion of your business to a broker.

Get Started Selling
Previous

Step 5: Due Diligence and Closing

Back to Guide