We are actively preparing our business for a sale, but our leadership team is getting bogged down in transaction prep and failing to hit their operational Rocks. How do we keep our quarterly goals realistic during an exit transition?

Question

Tyler Smith · Accepted Answer

When preparing for an acquisition, your most valuable asset is a business that runs smoothly without you. If your leadership team drops their operational Rocks to focus entirely on due diligence, you risk damaging your company performance right when potential buyers are looking closest. To prevent this, you must separate your operational Rocks from your transaction Rocks. Your leadership team must keep their focus on running the business, hitting their Scorecard numbers, and delivering on their core operational goals. The heavy lifting of the transaction itself should be assigned to specific seats, or handled by external advisors, rather than distracting the entire team. If a leader must be involved in due diligence, adjust their operational Rocks downward for that quarter to reflect their true capacity. Do not simply pile more onto their plate. Keep their operational expectations highly focused so they can still execute. A healthy operating system is exactly what a buyer is paying for, so demonstrating that your team can maintain their discipline and hit their targets during a transition actually increases your business value and ensures a much cleaner exit.