Should I Stay or Should I Go?

There has been a substantial change in your company’s leadership/ownership, and the head hunters are calling.

As always, the devil is in the details about the new company’s intentions.? Let’s look at the possibilities of staying or going.

The head hunters are going to downplay the future of your new organization.? Often exaggerating it so they can get talent (you) to hire on with their fee-paying clients.? Some of what they say will have truth in it, but be skeptical.

If the headhunters are successful in bleeding off better managers, the remaining organization will be weakened by the rise of second or third-choice managers to positions to which they are potentially over their heads and push poor choices/decisions to the point of failure. This could encourage lower talent to depart and further weaken the company.

Who is the new owner or partner?? How are they financing the purchase?? What are their other business interests, and experience in your field, and past actions?? Are they corporate raiders?

Worst case, they will raid the cash in the bank, once intended for future growth, do a sale/leaseback of properties, and raise the debt burden, based upon the remaining company assets.? That asset valuation will be increased on the books by rescheduling the assets to a much longer book life.? Inflating their value regardless, of the true age and condition increases the book asset value allowing greater borrowing power.?? This is too often devastating to a business and causes it to stagnate, or retrograde for several years.? Growth is not an option until the debt service is brought under control and some of the worn-out assets are replaced.? If they are not in your industry, maybe it is time to get your name on the street as available for new opportunities.

If the new owner has experience and success in your industry, some of the above may still occur.? However, if they have the financial strength they may have made the purchase, with accelerated future growth in mind.? This is where it, maybe, better to stick around for a while and see how it goes, but don’t lose the head hunter’s number.

I have several times been through both sides of takeovers and one board of directors takeover by a corporate raider.? There are a lot of rumors, and half-truths flying around.? Do not make career changes upon that which you cannot separately verify.? In a couple of cases, I experienced a year under new management watching them build a disaster, in others it was very positive results.?

Some of the head hunter’s offered positions will be with companies no better than where you are.? In some cases, you might end up working ridiculous hours for a higher salary but in the end, the bonus base is not achievable, leaving you no better off than you were.? Resulting once again, in your being in the winds of stay or not.? Know before you go.

In the book, play, and movie, of Oliver Twist, Fagin does a wonderful silique “I’m reviewing the situation”.? Life’s possibilities are generally difficult to fully evaluate.? It comes down to reviewing the facts, then sometimes it is important to know what your gut says.?

Life is a gamble and full of changes.? Embrace the changes, for it will be part of both cases of “Should I Stay or Should I Go.”

Best Wishes for Your Success!