Selling a business with employees in mind

Author: Hector Vazquez-Bizilla.com
Building a business from the ground up is a rewarding experience, especially when it comes time to sell the company. But whether one plans to sell the company to a larger firm or exit by means of an initial public offering, there are certain considerations business owners should make before moving forward.

First, the employees – those workers who toiled away, ideally without complaint, building the company in the fashion the owner saw fit. While it is ultimately the decision of the managers, and likely the acquiring body, as to what to do with the staff, it is important to keep their efforts in mind.

"Until you sign on the dotted line, remember, it's still your company and they're still your employees," writes Inc. magazine. "And you might end up keeping the whole shebang should negotiations not work out in the end, so you need to consider your workers' point of view."

While selling a business may evoke fear and uncertainty in some workers, it can also be viewed as a new endeavor. Perhaps they will be offered a position in the new company, or maybe they will be given a substantial bonus or share of the buyout earnings. These decisions are for the owners to make.

http://www.bizilla.com/blog/2010/12/selling-a-business-with-employees-in-mind/