We are three years away from an exit, but my leadership team is deeply divided on our target buyer profile, with some pushing for a strategic acquisition and others wanting private equity. This disagreement is stalling our quarterly Rocks. How do we align the team when their personal exit goals conflict?

Question

Tyler Smith · Accepted Answer

When a leadership team is split on the target buyer profile, it is usually because their personal incentives and career goals are misaligned. This division creates a hidden political battle that stalls operational execution.

To resolve this, you must bring the conversation back to the V/TO®. The ownership team must first align on the ultimate destination and exit strategy. Once that decision is made by the owners, it becomes a non-negotiable part of the company's long-term vision.

Pull the leadership team together for an honest IDS® session. Lay out the chosen exit path clearly. Address their personal anxieties directly. For example, some leaders may fear that a strategic buyer will eliminate their roles, while others might worry about the aggressive growth demands of private equity.

Align their personal incentives with the chosen strategy. Adjust your Accountability Chart and performance structures so that every leader knows exactly how they will benefit from a clean and successful exit.

Once the direction is set and incentives are aligned, demand commitment. Every leader must accept the chosen path and work toward it. If a leader cannot align with the company's exit vision, they are no longer a fit for the leadership team and must be replaced.