Anyone sell a business?

bigbet1234 · Aug 24, 2010

If so, when did you inform the employees it was for sale?

I am thinking about waiting till I find a buyer, then let them know.

I want to do what is fair. I also thought about informing them and offering them some form of severance package if they stay on till the sale.

I am pretty sure the new owner will keep my hourly employees, beings they know the business and have been with the company a combined 30+ years.

buddyboy · Aug 24, 2010

you should let them know.

you should also offer to sell the company to any of your key employees. even though they might not have the means to buy it they would appreciate the opportunity.

A family member worked for a small business that was sold and he was pissed that the owner never considered him to purchase it. He quit, started his own company and hasn't spoken to his old boss in 40 years.

when you do sell you can put in terms that the new owner must retain certain employees for a determined period of time.

congratulations on your upcoming sale.

KillaRSox · Aug 24, 2010

You should let your employees know now. Just put yourself in their shoes. Wouldn't you want to know if you were possibly going to be out of a job in the near future? Especially if you've been with the company for that long.

bigbet1234 · Aug 24, 2010

I have offered it, and at an extremely great price, they have no interest in it.

I was willing to take 30% less than I'm going to get and work out a financing with them, they wanted no part.

They are aware that I am on the lookout for a buyer.

For my own reasons, I would like to keep all the details to myself and the broker for the time being. Once I find an interested buyer I will inform the employees.

It's kinda a catch 22 situation. If word gets out that my business is up for sale, I willl have a shit pot load of freaked out brides.

I also tought to have them sign a confidentiality agreement to keep it hush.

Hookandcrook+ · Aug 24, 2010

Sounds selfish, but do what is best for your business. You offered it to them and they said no, they have to know you are still shopping it to other people. If they are good employees and worth keeping I'm sure the new owner will.

truguru · Aug 24, 2010

bigbet1234 said:
I have offered it, and at an extremely great price, they have no interest in it.

I was willing to take 30% less than I'm going to get and work out a financing with them, they wanted no part.

They are aware that I am on the lookout for a buyer.

For my own reasons, I would like to keep all the details to myself and the broker for the time being. Once I find an interested buyer I will inform the employees.

It's kinda a catch 22 situation. If word gets out that my business is up for sale, I willl have a shit pot load of freaked out brides.

I also tought to have them sign a confidentiality agreement to keep it hush.

do whats best for YOU and YOUR business. There is no question here. When people talk and find out all goes to shit. Keep this on the low. You can make a deal with the buyer to keep the good loyal employees. People do not need to know your business. They work for you. You have to take care of your best interest. This is business and life, not pre school. Being nice and fair is not an option here. I dont see this as a bad thing in any way. I am not saying be evil cruel or screw people over in business bc I dont believe that, but when it comes to business look out for yourself.

CowboyT · Aug 24, 2010

Tru guru is a smart man. Keep it quiet until the papers have been signed and the buyer allows it. Hell, the buyer may want everyone.

Hookandcrook+ · Aug 25, 2010

tru guru said:
do whats best for YOU and YOUR business. There is no question here. When people talk and find out all goes to shit. Keep this on the low. You can make a deal with the buyer to keep the good loyal employees. People do not need to know your business. They work for you. You have to take care of your best interest. This is business and life, not pre school. Being nice and fair is not an option here. I dont see this as a bad thing in any way. I am not saying be evil cruel or screw people over in business bc I dont believe that, but when it comes to business look out for yourself.

Spot-on

aceduecetrey · Aug 25, 2010

I agree with Tru, do what is best for you.

When I was trying to buy a bar about 5 years ago, I had signed a confidentiality agreement and told only a select few I could trust. We a few buddies, my now brother-in-law and I went in and proceeded to get loaded. Next thing I know my brother in law is telling all the employees how I was buying it and that they better be nice to me or I was going to fire them. Needless to say the sale fell through and the guy tried to sue me but was later persuaded not to.