Broadcast the news to your staff that youre considering selling the business.
Better to wait until the transaction is well in hand, if not completed. Announcing too early can spread fear, uncertainty and doubt, and cause your employees to be less effective in their jobs. Or you might begin to lose key staff as they grow concerned about their own futures. I had a client several years ago that was proud of their open communications with their staff, going so far as to post the company financials on the lunchroom bulletin board. When it came time to consider an M&A exit, they announced their intent to the employees, and even chose to introduce me and Corums role in this activity. I was very surprised, and pushed back on such a public announcement. It eventually backfired as productivity suffered during the due diligence process, with people focused more on the potential buyout than their own duties. I arrived for meetings one day and was asked by the receptionist, Ward, how did the meetings go with that buyer last week? Needless to say, this was not the right approach, and our best advice is that no one that does not need to be involved should know about the M&A process until the deal is close to or already done. Otherwise, the process creates a huge distraction for employees who should not be involved at all.