What Happens to Your Employees When You Sell?

Q: Why should employee impact be part of your exit strategy?

A: Because selling your business isn’t just about the payout—it’s about what happens after the ink dries.

Customers may notice the logo change, but your employees feel the shift the most.

They’ve worn your name on their backs, stuck with you during slow seasons, and helped you build what you have.

Q: What do employees worry about when a company is sold?

A: According to SHRM, the fastest-growing segment in trades—hourly workers under 35—care most about communication, stability, and growth.

When the deal isn’t handled right, your team is left asking:

• Am I still going to have a job?

• Will the new owners care about us the same way?

• Are they going to gut the team or keep it intact?

Q: Do most owners actually think about this?

A: Yes. Over 70% of business owners cite employee well-being as a top concern during a sale—but only a fraction proactively protect their people in the deal structure (BizBuySell, 2025 Insight Report).

Q: Why does this matter so much?

A: Because you’re not just selling a company. You’re handing over your people, your reputation, your legacy.

As one flooring company owner told us:

“I didn’t want to be the guy who cashed out and left his crew hanging.”

Q: What’s the risk of not addressing this?

A: One Harvard Business Review study found that over half of acquisitions lead to major workforce turnover within 24 months—mostly because cultural alignment and team communication are neglected.

Deals done wrong don’t just cost you people—they cost your legacy.

Q: How can you protect your team during a sale?

A: Here are a few strategies that protect your people—and increase buyer confidence:

• Employee Retention Agreements: Bonuses or guaranteed roles for key team members during a 6–24 month transition window.

• Health Benefit Continuity: Buyers who use association health plans or protect existing coverage send a strong message.

• Equity or Profit-Sharing: Phantom equity, bonuses, or long-term incentives to reward loyalty and align goals.

• ESOPs: Sell the company to employees via a trust. Complex, costly, and usually reserved for larger businesses—but powerful when used right.

• Management-Led Buyouts (MLBOs): Internal leaders buy the company with outside capital. Requires the right team and a capital partner—but keeps continuity strong.

  
  

Q: What types of buyers should I watch out for?

A: Not all buyers are built the same. Here’s what to expect:

Buyer Type	What They Want	What Often Happens	Impact on Employees
Financial Buyer (PE/Funds)	ROI, 3–5 year exit	New leadership, cost cuts	Team = overhead
Competitor	Synergies	Roles cut, systems merged	Team may shrink fast
Owner-Operator	Lifestyle, cash flow	May lack ops structure	Stability varies
Strategic Buyer (like Evergreen)	Legacy, long-term value at exit	Scale + culture intact	Team respected, retained

Q: What makes Evergreen different?

A: We’re a private equity-backed operator with real infrastructure, long-term vision, and a people-first approach.

• We don’t strip, flip, or replace your people with spreadsheets.

• We work with your team, not over them.

• We bring systems, support, and capital—but keep your company’s heart intact.

Q: Can I stay involved after the sale?

A: Absolutely. Many sellers believe it’s all or nothing—but it’s not.

You can:

• Sell a portion of the business

• Stay on during transition

• Coach the next generation of leadership

  
  

All on your terms.

Q: Why does this matter?

A: Because enterprise value isn’t just about EBITDA—it’s about how your people feel the day after the deal is done.

You didn’t just build a company. You built careers. Families. Futures. Your exit should reflect that.

Q: What’s the next step if I want to explore this?

A: [Reach out.] We’ve helped business owners sell without sacrificing their values—or their team.

Let’s talk about what a legacy-minded deal actually looks like.

Because a sale doesn’t have to mean goodbye.

Sometimes, it’s just the beginning of something better—for everyone.