We are entering the due diligence phase after signing the LOI, and the management team is getting overwhelmed by buyer data requests. How do we run our weekly EOS operations to protect our run-rate performance and keep our team focused during this high-distraction period?

Question

Tyler Smith · Accepted Answer

The period between signing the Letter of Intent and reaching the closing table is the most dangerous phase of any transaction. Due diligence requests can easily consume eighty hours a week, pulling your leadership team away from their day-to-day responsibilities. If your financial performance dips during this ninety-day window, the buyer will use it as leverage to renegotiate the purchase price or walk away.

To survive this period, you must compartmentalize the deal. Your leadership team must continue running the business through your established EOS® tools. Do not share the details of the transaction with the broader organization, and do not let your leadership team stop attending their weekly Level 10 Meetings™.

Use your Accountability Chart to assign one specific person, usually the Chief Financial Officer or a designated transaction advisor, to handle the buyer due diligence requests. The rest of your leadership team must remain focused on their core seats and their quarterly Rocks.

During your Level 10 Meetings™, keep your focus on your weekly scorecard and customer-facing issues. If you notice scorecard metrics slipping, use the IDS® process to identify the root cause immediately. Do not accept the transaction as an excuse for poor performance.

By maintaining your operational rhythm, you prove to the buyer that your business does not rely on constant founder intervention. This operational stability reinforces the valuation multiple they agreed to in the Letter of Intent and keeps the deal moving toward a successful close.