Month: November 2024

Is her name not Ariana Grande?

When I sold my business several years ago, keeping clients and employees in the dark during the sales process was emotionally draining and a challenge from a practical standpoint. I knew keeping a lid on things was crucial and, at the same time, I wanted to tell someone so bad. It was frustrating; however, I managed to keep my mouth shut for as long as I needed.

Based on my experience, here are approaches to keep the sale of your business confidential. I also wanted to suggest some ideas on when to inform two of your key stakeholders – your employees and customers/clients.

Read the first part in this series here: The Importance of Confidentiality When Selling Your Small Business: Part 1 – Risks, Benefits, and Challenges.

Ways to Maintain Confidentiality

#1: Use Non-Disclosure Agreements (NDAs)

Require potential buyers and key advisors to sign NDAs before sharing any sensitive information. This legal protection can deter information leaks.

#2: Limit Internal Information Sharing

Share the news only with essential employees who need to know. Keeping the circle small minimizes the risk of unintentional leaks.

#3: Control Document Access

Use secure virtual data rooms with restricted access for sharing confidential documents with potential buyers. Grant access in stages as buyers progress through the vetting process.

#4: Conduct Off-Site or Virtual Meetings

Meet potential buyers outside the workplace or virtually to prevent employee speculation. Avoid drawing attention by keeping these meetings discreet.

#5: Engage a Business Broker

You know I don’t favor using a business broker when you sell your business, but this is one aspect where a broker is useful. If you’re stymied on the issue of confidentiality, consider using a broker. Utilizing a broker allows for anonymous interactions with potential buyers, keeping your involvement minimal and confidential.

#6: Avoid Premature Employee Discussions

If you must mention the sale, keep it broad. Avoid sharing specifics until the deal is more concrete to minimize anxiety and rumors among employees.

#7: Prepare a Cover Story for Visits

If potential buyers need to visit, have an alternative explanation ready, such as a prospective client meeting, to avoid raising employee curiosity.

#8: Limit Access to Financial Information

If financials are accessible to employees, consider restricting access to sensitive areas. Share only the necessary details when required.

#9: Notify Vendors and Partners Carefully

If disclosure to vendors or suppliers is essential, plan to share this information later in the process and consider using confidentiality agreements.

#10: Have a Public Announcement Strategy Ready

Prepare how and when you will announce the sale to the public once the deal is complete to control the narrative and manage expectations.

Timing the Announcement to Employees

You know you’ll need to tell employees about the sale at some point. The timing of informing employees about the sale is just as important as maintaining confidentiality. Here are tips to help you decide when to share the news:

After Key Terms Are Worked Out

Wait until the sale is close to completed, ideally after both parties have signed a purchase agreement, before informing employees.

Preempting Rumors

If employees might hear about the sale from external sources or notice unusual activities, you may be forced to inform them sooner to prevent misinformation. See item #6 above if this happens.

Aligning with the Buyer’s Plans

If the buyer wants to meet key employees or needs their cooperation, coordinate the timing of your announcement with them to facilitate a smooth transition.

When a Transition Plan is Ready

Provide employees with details about what will change, who will stay, and the overall outlook post-sale. Remember: an employee’s first question will be, “What does this mean to me?” Have answers.

Avoiding Disruptions

Consider informing employees just before the public announcement to give them time to process the news and prepare to respond to inquiries, preventing disruptions in operations.

When to Inform Customers or Clients

Communicating with customers or clients about the sale of your business is equally important. Here are some thoughts for timing that announcement:

Prepare a Clear Transition Plan

Before informing customers/clients, develop a plan that outlines how their experience will change (or not) post-sale. This can help reassure clients about continuity in service or product delivery.

Once the Sale is Concluded

Ideally, inform customers only after the sale has been confirmed. This ensures that you have all the details worked out and can provide clear information on how the change will affect them.

Timing with the Public Announcement

It’s often best to communicate with clients shortly BEFORE the public announcement to keep them informed and prevent rumors. This can also give them time to process the news.

Address Their Concerns Directly

Be prepared to address any questions or concerns clients may have about the transition, such as changes in cost or fees, service, points of contact, or potential impacts on their working arrangements with you.

Communicate Ongoing Support

Reassure clients that support will remain available during and after the transition. If the buyer will be involved, consider introducing them to key clients to foster a sense of trust and continuity.

Conclusion

You may still have sleepless nights when you think about how and when to communicate the sale of your business with employees and customers. However, by implementing strategies to maintain confidentiality and thoughtfully timing your announcements, you can navigate this transition smoothly and maintain trust with your key stakeholders. Keeping everyone informed at the right moment, while protecting sensitive information, will help foster a positive environment during this significant change.

Let’s Have a Conversation:

Have you thought about the issue of confidentiality when it comes to the sale of your business? What issues or concerns do you have? How and when will you tell your customers and employees? Please add a comment below and tell us how you’ll navigate this tricky issue. Thank you.

From infidelity to breaking up other people’s relationships.

How much did she make for Wicked?

We all become ill or injured at some point in our lives, and often these health issues may require an emergency room visit. Emergency rooms are open 24 hours a day for every day of the year.

An emergency room is part of a hospital. They are equipped with life saving services. If necessary, after an evaluation, you may be admitted to the hospital.

Emergency rooms triage, meaning the most ill patients are seen first. If you are in the emergency room for a non-life-threatening issue, you may wait a very long time to be seen as other patients more ill than you keep coming in. 

The 1986 Emergency Medical Treatment and Active Labor Act (EMTALA) requires emergency rooms to provide treatment to everyone regardless of legal status or ability to pay. Emergency rooms are the only health care establishments that provide care without requiring payment or insurance up front. This does not mean emergency room care is free. You will be billed, and ER visits can be very expensive. 

#1: Know When to Go to the ER

Ask yourself how quickly you need care.

Symptoms Requiring Ambulance

If you are in a situation where you could imminently die, do not drive or have anyone else drive you to the ER. Instead, call 911 so an ambulance and emergency team will come to you, and you will receive care on the way to the ER. Examples of some reasons to call 911 are chest pain, choking, severe shortness of breath, passing out, severe trauma to the body, or weakness of an arm or leg.

Drive-in Emergency Symptoms

Issues that cannot wait but are not imminently deadly, may necessitate a drive by yourself or by someone else to the emergency room. Examples of drive-in emergency room visits are non-life-threatening traumatic injury, abdominal pain, large lacerations, fever greater than 103 degrees Fahrenheit, vaginal bleeding during pregnancy or shortness of breath. 

ER or Urgent Care?

So, when should you go to an urgent care? First, see if you can be seen by your primary care physician for your health issue that is not routine health care maintenance. If there are no timely appointments available, urgent care may be a better option than the ER. Copays and cost in general are lower at an urgent care than an ER. Also, wait times are usually less in urgent care. Common things seen in urgent care are urinary tract infections, injuries that are not life threatening, ear pain, throat pain, low grade fevers, and small lacerations. 

If you simply don’t know where to go, you may call your doctor’s office or your health insurance company. Either of these options may have an advice nurse. 

#2: Bring Your Basic Health Information

Have a list of your current medications, allergies, and chronic health conditions either on a piece of paper or on your phone. This information can be valuable to your medical care. Also, know who your primary care physician is and have contact information available. 

#3: Speak Directly and Clearly

Tell the emergency room staff what your emergency is and focus on that. Do not go through a list of health concerns you have. That is what your primary care physician is for. The ER does not have time or resources to go into depth regarding non-emergent health issues.

#4: Bring Your Insurance Card

Having your health insurance card will make the financial part of your visit smoother. It is good to keep your health insurance card easily accessible in your wallet. I do caution you that although documents and cards are important, they are not more important than your actual health.

Do not hesitate to call 911 right away if you need to, and do not waste precious time looking for insurance cards or documents if you need to get to the ER quickly. 

#5: Bring Legal Documents

If you have medical directives as to whether you want to be resuscitated or not or if you do or do not want certain other life saving measures, bring those with you. Durable power of attorney is another important legal document to bring to the ER.

#6: Bring a Mobile Charger for Your Phone

Again, these are good things to keep on hand but priority one is to get you to the ER in time to receive medical care. So, if you don’t have it or can’t find it, don’t waste time. Just go. 

We now live in a world where cellphones are a major part of most people’s lives. There may be information in your phone that your ER physician could find helpful, or you may just need phone numbers of people you need to inform about what is going on. 

#7: Ask Your Doctor to Review Your Discharge Plan

After you are patched up and treated, you certainly do not want to end up back in the ER. So, make sure you understand the discharge instructions and that you follow them. If you do not understand, ask questions until you do.

You never know the next time you will need to visit the emergency room. So, it is always wise to be prepared. Get all documents together and easily accessible. Know where the closest urgent cares and emergency rooms are before an emergency occurs. Hopefully, these simple steps will help your next ER visit run as smoothly as possible.

Let’s Have a Conversation:

Have you had a poor or good ER experience? Have you had a poor or good urgent care experience? What things do you do to optimize your ER visits? What tips do you have for other readers?