Today, we’re talking about when to tell your team about an acquisition.
1st option. Wait until you have the letter of intent signed — so written terms agreed. Obviously, your team will figure out something is going on, so you have to be prepared to punt on a few uncomfortable questions. The advantage of this approach is that it minimizes the distraction for most team members.
The 2nd option. Be honest and talk about it early. Add in the huge caveat that acquisitions are extremely low probability and the team needs to focus on growth. Being honest with your team is almost always the right approach but remember that some team members will be distracted by this news and so you should expect some productivity loss.
No right answer on this one.