Process & Organizational ReadinessMay 11, 20263 min read
What Happens When Your Best Engineer Is a Flight Risk During Diligence
Diligence is when key-person risk becomes visible to everyone at once, including the key person.
Transactions unsettle engineering teams. The engineer with the most context is usually the most marketable, and often the least informed about their position in the outcome.
What buyers watch for
- Whether critical staff are inside the transaction perimeter
- Retention terms and their timing relative to the earnout
- Whether a departure would delay the roadmap or halt operations
Address retention before the data room opens. Doing it mid-process signals to the buyer exactly how much the deal depends on one individual.
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