Hi folks,

I'm scheduled to close on my first acquisition at the end of the month, and I'm looking for any experienced recommendations around retention bonuses for key employees on the senior leadership team. There are two roles, President and VP Sales, with a lot of key person risk, and I want to retain them for at least a year after closing and to incentivize them to perform during that period.

My thoughts generally are a lump sum at the end of the 12 months as consideration and general bonus while also extending their mandatory notice period to 3 months, so that I could scramble to find replacements if they chose to leave.

I gather that these really are generally just to show up and stick around, not tied to performance, but again, I'd welcome any thoughts and input around elements to include, not include and quantum of bonus relative to total comp.