How can you manage unexpected changes in deal structure during execution?

1 Assess the impact

The first step is to assess the impact of the change on the deal objectives, timeline, and risks. You need to understand the rationale, scope, and implications of the change, and how it affects the value proposition, the deal model, and the due diligence process. You also need to evaluate the potential consequences of accepting, rejecting, or negotiating the change, and how it aligns with your strategic goals and risk appetite.

2 Communicate clearly

The second step is to communicate clearly and promptly with all the relevant stakeholders, including your internal team, your client, your counterpart, and your advisors. You need to inform them of the change, the reasons behind it, and the options available. You also need to listen to their feedback, concerns, and expectations, and address any questions or issues they may have. You need to maintain transparency, trust, and professionalism throughout the communication process, and avoid any surprises or misunderstandings.

3 Adapt your plan

The third step is to adapt your plan accordingly, based on the impact assessment and the communication outcomes. You need to revise your deal model, your due diligence scope, your negotiation strategy, and your closing checklist to reflect the change. You also need to update your timeline, your budget, your resources, and your contingency plans to account for any delays, costs, or risks. You need to be flexible, agile, and creative in finding solutions and alternatives that can satisfy all the parties involved.

5 Learn and improve

The fifth step is to learn and improve from the experience of dealing with the change. You need to conduct a post-deal review and analysis, and evaluate the outcomes, the lessons learned, and the best practices. You also need to solicit and provide feedback, and recognize and appreciate the efforts and contributions of all the parties involved. You need to be reflective, constructive, and appreciative in learning from the change and improving your skills and processes for future deals.