By Bob Morse
Through his extensive private equity experience, Bob Morse highlights the common issue of unexpected disagreements between investors and CEOs at the first board meeting. These “First Board Meeting Surprises” arise not from deceit but from lack of shared advance knowledge about plans or concerns. Morse describes how this can damage trust and alignment, for example between an investor pushing leadership changes and a CEO feeling blindsided. To tackle this, he advocates a “repeat-player” approach—sharing underwriting details, due diligence outcomes, and proposed actions openly with the CEO before signing the deal. This upfront transparency involves risks but can build alignment and eliminate surprises post-closing. Morse’s firm implemented a Five-Point Plan, agreeing on key post-deal actions with the CEO before signing, resulting in stronger partnerships and fewer unexpected conflicts. While external factors will always change, adopting this process minimizes avoidable friction and fosters collaborative investor-CEO relationships from the start.
