In the world of independent sponsors—those dealmakers navigating acquisitions without their pool of committed capital—success often hinges not just on finding the right target, but on mastering the human element of post-close integration. That was the throughline of a recent panel discussion in Chicago, entitled “Ensuring Alignment for Day One Strategy,” where veterans of the independent sponsor landscape shared battle-tested insights on how to handle the crucial first days after a deal closes.
Arin Butzon, Director of the Transaction Advisory Service at CohnReznick, moderated this informative panel discussion and showcased her expertise across this field. Through her questioning, she uncovered that the true unspoken deal term is communication.
“If there’s one lesson we’ve learned from over 40 independent sponsor deals, it’s that communication is everything,” said Dave Hiemstra, Managing Partner of Penstock Equity, drawing a line between transparency and cultural success. Too often, sellers keep the pending transaction a secret from employees in an effort to avoid disruption. But silence breeds suspicion.
“The rumors and fears are almost always worse than the truth,” Dave continued. “By the time the deal closes, everyone already knows something’s happening. What they don’t know fills the void with fear.”
The antidote? Town halls, open letters from founders, and proactive messaging. “One of our best CEOs stood in front of the team and said, ‘Look, I’ve built this company for 30 years. I’m not leaving—but I’ve brought on a partner to help us grow.’ That kind of honesty rallies people,” Matt Harnett, Founding Partner from TECUM, added.
A theme that kept reverberating throughout the discussion was that culture isn’t optional—it’s Operational.
Far from being a soft science, culture emerged as a top-line operational concern. Panelists repeatedly emphasized the importance of defining clear goals early and aligning the acquired team with those objectives. Doing so, they argued, creates organizational gravity: people know where the ship is headed, and who’s rowing in the wrong direction.
“When you’re transparent about the strategy and systems being implemented—new ERP, new org structure, whatever it is—people can’t hide behind confusion,” Matt noted. “And the ones not on board become obvious quickly.”
In perhaps the most honest moment of the session, a veteran panelist admitted: “We’ve never had a perfect day one. I don’t think it exists.” But what does exist is a framework for stacking the odds in your favor: communicate early, define goals quickly, and maintain intense focus for the first six months.
“You’re going to see problems. That’s okay,” one speaker concluded. “For what they don’t know, they often fill the void with fear.”