3 Tips on How to Tell Your Employees That You’re Selling the Business

As a business owner, there are many difficult decisions to make in your day to day meetings and activities. But one of the most difficult things you could do as a business owner is telling your staff and employees that you are selling the business.

Our team at Sunbelt Business Brokers of Durham have seen that there are many scenarios that can occur when you have to tell your employees. Some good and some bad. But if you keep things professional and explain everything, then it can go smoothly.

3 tips for telling employees that you’re selling the business are:

• Keeping it confidential: It’s in your best interest to keep everything under wraps until the deal has been finalized. Letting employees know too early can jeopardize the deal. Employees may choose to leave and clients may be lost if they hear you’re selling the business. Employees leaving can decrease the value of your business and create panic so it’s best to wait until the deal is done.
• Have a plan for them: Being prepared before meeting with your employees is very important. There are questions that you can anticipate your employees will ask so you should prepare answers beforehand. You should also prepare a plan that outlines what will happen after you hand off your business to the next owner. The more information you can provide for your employees, the less they will worry about the future of their jobs and careers with the company.
• Tell managers first: Manager or high ranked associates should be told before the rest of your employees. These individuals will serve as the support system of the company as the transition between ownership occurs. This also lets your managers and higher ranked employees that you have trust in them and instills confidence in their abilities.

Telling your employees that you’re selling the business doesn’t have to be a rough experience. If you take precautions and speak clearly about the matters at hand, it can make for a smoother transition. If you’re looking to sell your business, contact Sunbelt Business Brokers and we can assist you.