Seller’s Remorse

When we were in the process of selling our business our attorney did a wonderful job of preparing us for much of what was ahead of us.  One of the things he mentioned more than once was that we should be prepared for seller’s remorse. 

There are two types of seller’s remorse.  One kind is the emotional feelings that you are doing the wrong thing.  It is not really rational, it is just that fear, insecurity, and/or uncertainty play tricks on your mind.  Think Brett Favre.  I would bet that rationally he knows it is time to move on from the Green Bay Packers (this is an American football metaphor for those of you outside the US).  But, all he knows is football and he probably had not spent much time planning for what comes after his career in the NFL.  I can empathize with him.  I had a lot of the same kind of pangs of doubt when we sold our company.

The other find of remorse is one that happens because the sale puts you into a situation that is no longer fun.  You are still in the company you created, but you no longer own it and now work for a boss.  From the NY Times:

“The person who became my boss was the man I was negotiating with when I was selling my company,” said Mr. Asterino, 46. “You’re trying to maximize the value of your company when you’re selling it — and then when the transaction closes, that individual is your boss. It was very difficult.”

I knew I could not be happy with this type of exit, so planned carefully to craft an exit in which I not only monetarily exited, but physically exited, as well.  Not all entrepreneurs have this option, but if you do I would strongly suggest you take it.

(Thanks to Jennie Bowman for passing along the NY Times article).