tyler-smith.com · Questions & Answers

Despite strict NDAs, rumors of a potential sale have leaked to our middle managers. How do we use our standard EOS communication channels to address the rumors directly without violating our confidentiality agreements with the buyer?

A leak during due diligence can derail your culture and your deal if left unaddressed. If rumors begin to circulate, trying to ignore them or lying to your team will destroy the trust you have built. You must address the situation quickly and professionally using your established EOS® communication structures. Use your leadership team's weekly Level 10 Meeting™ to IDS® the issue. Identify exactly what has been leaked and where the vulnerability lies. Then, agree on a unified message to cascade down to the rest of the organization. When communicating with middle managers, you must respect your legal confidentiality agreements with the buyer. You can acknowledge that as a healthy, growing company, you are regularly approached by external groups, and the leadership team's responsibility is always to explore opportunities that strengthen the business's long-term future. Reassure them that the daily operations, the Core Values, and the focus on quarterly Rocks remain completely unchanged. Emphasize that their roles are secure and that the company's traction depends on their continued focus. By steering the conversation back to your V/TO® and immediate goals, you disarm the gossip and keep the team focused on execution.

Category: Exit Planning

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