HR due diligence when selling an IT business
Underneath every HR question in due diligence sits the same concern. Will the team that makes this business valuable still be here after completion? A buyer asking about contracts, certifications and pay isn't just checking compliance boxes. They're trying to work out how much of the business walks out the door if you do.
What a buyer's HR due diligence covers
- Technician certifications and which vendor accreditations depend on named individuals.
- Retention risk, particularly among senior engineers and account managers.
- Salary and benefits benchmarking against the market.
- Any grievances, disciplinary action or tribunal history.
- Pension scheme compliance.
- Dependency on people whose knowledge isn't written down anywhere else.
Where this catches sellers out
If your top three people left the week after completion, what would actually happen to service delivery? Most owners can answer that question honestly in about ten seconds, and most haven't written the answer down anywhere a buyer could see it. That gap between what you know and what you can evidence is exactly what a buyer's HR due diligence is trying to find.
How MSP Sale Readiness helps
We check what you already know about your team, certifications, retention risk and key-person dependencies, flag what isn't written down anywhere, and make sure it gets documented before a buyer asks. Your HR adviser or accountant still handles the formal compliance work. We make sure the retention story is one you can tell with evidence, not just reassurance.
Ready to get your HR due diligence in shape?
Want a quick sense of where you stand on HR? The free readiness assessment covers HR alongside the other eight areas in about three minutes.