How to Explain Exit Planning to Your Team

Miranda Kishel
Jun 3
2 min read

Exit planning isn’t just about owners—it affects your entire team. When handled well, transparent communication builds trust, reduces uncertainty, and improves your chances of a smooth, successful transition.

But if you stay silent too long or say the wrong thing too soon, you risk:

Losing key employees
Creating anxiety or confusion
Damaging company culture or client confidence

Getting your exit communication right is just as important as having a good plan.

Step-by-Step: How to Talk to Your Team About Exit Planning

1. Know What You’re Communicating

Decide what stage you're in:

Early planning?
Actively preparing to sell or transition?
Already identified a buyer or successor?

Tailor your message to match the facts—not speculation.

2. Identify Who Needs to Know and When

You don’t have to tell everyone everything at once. Consider:

Executive or leadership team – usually first to know
Key employees – especially if their roles will be affected
General staff – once plans are firm and messaging is clear

3. Craft the Right Message

Focus on:

Why you’re planning an exit (e.g., growth, retirement, succession—not fear or failure)
What it means for them (reassurance is critical)
What stays the same (culture, mission, roles)
Next steps and how updates will be communicated

Keep it simple, positive, and fact-based.

4. Hold a Formal Announcement Meeting

Choose a calm, professional setting. Prepare for:

Common questions (“Will I still have a job?”)
Emotional responses (change brings uncertainty)
Follow-up plans and 1:1 conversations as needed

5. Reinforce the Message Through Ongoing Updates

Use:

Team meetings
Email summaries
Private check-ins
Internal FAQs or handouts

Consistency builds confidence. Silence breeds speculation.

Pro Tips

Don’t wait too long. Employees can sense when something is changing—being proactive earns trust.
Keep the message owner-focused, not buyer-focused (e.g., “I’m planning a future transition” vs. “We’re selling next year”).
Involve a communications consultant or HR advisor if needed for complex transitions.
Link your plan to company values. If culture matters, reinforce that it’s part of the transition strategy.

Common Pitfalls

Announcing too early without a clear plan
Being vague or overly optimistic
Ignoring the emotional weight of change
Overpromising about roles or future ownership
Failing to follow up with regular communication

Final Checklist

✅ Defined your exit planning stage

✅ Identified who needs to know and when

✅ Crafted a clear, calm message

✅ Held a structured announcement meeting

✅ Provided follow-up materials and updates

Exit communication isn’t just about transparency—it’s about leadership. When you approach it with clarity and empathy, your team is more likely to support the transition and stay engaged.

For additional tools and strategy support, visit our Exit Planning page.