Key-person risk + retention plan

What it is

An honest assessment of which people — including the outgoing owner — the business would genuinely struggle to operate without, and what plan, if any, exists to keep them through and after the transition.

Why it matters

If the real value of the business lives in one salesperson's personal relationships or the owner's own reputation in the community, that value can walk out the door the same week the sale closes — no matter what the P&L says it's worth.

What to look for

• No documented transition or retention plan for employees the business depends on
• Key employees who don't yet know a sale is happening
• Customer or vendor relationships that run through one person rather than through the company itself
• No retention bonus, stay agreement, or non-solicit protecting the relationships you're paying for