The transition of a business from its current owner to a new owner is an important step that need to be approached with careful considerations. Typically the larger the business, the more critical a well thought out transition strategy should be. Some of the proven strategy include:
1. Identify key employees early in the process and inform them of the potential and reason for sale.
2. A carefully crafted and well timed co-announcement to employees, clients and vendors. Setting the communication record that business will be as usual and perhaps even better with the transition to new owner.
3. Exiting owner remain active in the business for a period of time, showing strong support and confidence to the new owner.
4. Minimize changes as much as possible for a period of time. If change is unavoidable, clearly explain the timeline, the impact and the reasons.
With careful planing and execution, most businesses will transition smoothly to a new owner.
Submitted by Siew Cheng