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How To Keep Your Team Motivated After An Exit Without Jeopardizing The Deal

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As CEO, preparing for an acquisition is not just about maximizing valuation. It is about ensuring the company continues to perform after the transaction. Buyers are not only purchasing your revenue and product. They are investing in the people behind it.

If they sense your team will lose motivation post-exit, the value of the deal erodes quickly. That risk is often underestimated, but it is entirely within your control.

Buyers think in terms of risk

When a buyer evaluates your company, they look closely at post-closing retention. Key team members are viewed as critical to post-acquisition success. To reduce risk, buyers frequently defer equity payouts for executives and technical leads. They see it as a way to keep the business stable.

But from the team’s point of view, it can feel like a penalty. Those who contributed most may end up waiting the longest to receive their share. Meanwhile, others with less influence on the outcome may walk away fully compensated.

What makes sense from a buyer’s standpoint often creates internal tension.

Employees think in terms of recognition

For your team, equity is not just a financial instrument. It is a reflection of contribution and alignment. A late-stage hire who worked tirelessly to help close the deal may feel overlooked if their equity remains unvested.

Long-time employees often feel their commitment has earned them the full upside. These are not just differences in payout structures. They are differences in how people interpret fairness.

If the logic behind those decisions is unclear, resentment builds and retention becomes fragile.

Your equity plan sets the tone

The structure you create in advance shapes how the team responds after the exit. A plan with no acceleration favors tenure over impact. A plan with full acceleration may feel more inclusive but removes all post-deal incentive.

A middle ground, where partial acceleration occurs at exit and full acceleration applies only in a change-of-control scenario, often provides a balanced outcome. It rewards those who stayed the course without alienating those who made high-impact contributions late in the journey.

More important than the structure itself is how clearly it is communicated. People stay motivated when they understand how decisions are made and how they fit into the company’s future.

Buyers want continuity, not just capability. A team that feels respected and fairly treated is more likely to stay engaged under new ownership.

The way you structure equity and communicate intent becomes a signal. It tells buyers whether they are acquiring a stable organization or walking into uncertainty. That clarity is what preserves value after the deal and builds your reputation as a founder who leads with foresight.


Itay Sagie is a strategic adviser to tech companies and investors, specializing in strategy, growth and M&A, a guest contributor to Crunchbase News, and a seasoned lecturer. Learn more about his advisory services, lectures and courses at SagieCapital.com. Connect with him on LinkedIn for further insights and discussions.

Illustration: Dom Guzman


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Funding & Investment in Travel

Southwest Airlines (LUV) 2Q 2025 earnings

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A Southwest Airlines Boeing 737 taxis at Ronald Reagan Washington National Airport on May 16, 2025 in Arlington, Virginia.

Kevin Carter | Getty Images

Southwest Airlines on Wednesday posted second-quarter earnings and revenue that fell short of Wall Street’s estimates but said travel demand has stabilized, echoing other airlines in recent weeks.

The airline also announced a new $2 billion share buyback.

Here’s how Southwest performed in the second quarter compared with Wall Street expectations, according to consensus estimates from LSEG:

  • Earnings per share: 43 cents adjusted vs. 51 cents expected
  • Revenue: $7.24 billion vs. $7.3 billion expected

The carrier pulled its 2025 guidance in April, citing economic uncertainty in the U.S. Like other airlines, Southwest said it would cut flights during off-peak periods as carriers grappled with weaker domestic travel demand than expected at the start of the year. CEO Bob Jordan told CNBC last month that there has been more discounting this summer, which is generally the busiest travel period of the year.

Southwest expects its third-quarter unit revenue, a gauge of airlines’ pricing power, to range between a 2% drop to a 2% increase over the same July-through-September period of 2024.

Read more CNBC airline news

The airline has been overhauling its business model, getting rid of blanket policies like two free checked bags for all customers and moving from open seating to assigned seats and new boarding orders, which the carrier announced on Monday.

Southwest said sales of basic economy suffered on its website after it launched the restrictive new fares in May. It said they have since returned to “expected levels” but that it hurt its unit revenue in the second quarter by a half a point and would hurt unit revenue by about a point in the third quarter.

Southwest posted net income of $213 million, or 39 cents a share in the second quarter, down 42% over last year, on sales of $7.24 billion, 1.5% lower than a year earlier. Adjusting for one-time items, Southwest’s second-quarter earnings were $230 million, or 43 cents a share, down 38% from last year.

Passenger revenue per seat mile came in at $14.10, below the $14.19 that Wall Street had expected, according to Street Account.



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June Hits 3-Year High In Unicorn Births Across AI, Robotics And More

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Twenty companies joined The Crunchbase Unicorn Board last month — the highest number of companies to join in a single month since July 2022, when the venture funding downturn deepened, Crunchbase data shows.

The most highly valued to join last month was Thinking Machines Lab, which raised a $2 billion seed round at a $12 billion value.

The U.S. led unicorn creation in June with 11 companies, followed by China with four. Israel, India, UAE and Switzerland each added one, as did New Zealand, with its first unicorn company, per Crunchbase data.

Eight exits

Six companies from the board went public, including four from the U.S. The most notable of the bunch was neobank Chime, which went public at a value of $9.8 billion. Other U.S. unicorns that exited in June include Circle, a stablecoin service for payments, AI-driven precision medicine startup Caris Life Sciences, and behavioral health company Omada Health.

Two unicorn companies from China went public: voice AI company Unisound and vehicle sharing service Caocoa Chuxing.

Two unicorns were also acquired in June: SMB accounts payable service Melio, was purchased by New Zealand-based accounting software service Xero, and Movable Ink, which was acquired by private equity firm Symphony Technology Group.

June’s newly minted unicorns

Here are the 20 newly minted unicorns in June, by sector.

AI

  • Mira Murati’s AI research lab Thinking Machines Lab raised a $2 billion seed round — the largest seed round on record — led by Andreessen Horowitz. The less than 1-year-old San Francisco-based company was valued at $12 billion.
  • Decagon, a conversational AI for customer experience, raised a $131 million Series C led by Accel and Andreessen Horowitz. The 2-year-old San Francisco-based company was valued at $1.5 billion.
  • Seekr deploys GenAI for companies and governments. It raised a $17.3 million first close in a round of funding, led by AMD Ventures and Danu Venture Group. The 4-year-old Reston, Virginia-based company was valued at $1.2 billion.
  • Fireflies.ai, an AI meeting assistant, raised a secondary financing for its early team members, valuing the company at $1 billion. The 9-year-old San Francisco-based company is reportedly profitable and says it’s used by people at 75% of Fortune 500 companies.

Robotics

  • Unitree Robotics, developer of humanoid and quadrupedal robotics for industrial and consumer use, raised a $97 million Series C led by China Mobile Innovation Industry Fund. The 8-year-old Hangzhou, China-based company was valued at $1.7 billion.
  • Gecko Robotics, a robotic AI inspection service for defense, energy and manufacturing, raised a $125 million Series D led by Cox Enterprises. The 12-year-old Pittsburgh-based company was valued at $1.3 billion.
  • Galaxy Bot, a developer of a humanoid robot for retail that manages inventory, replenishment and packaging, raised a $153 million funding led by Contemporary Amperex Technology. The 2-year-old Beijing-based company was valued at $1 billion.

Financial services

  • Kalshi, a platform to trade on event outcomes, raised a $185 million Series C led by Paradigm. The 6-year-old New York-based company was valued at $2 billion.
  • Juniper Square, a fund administration platform for private equity and venture, raised a $130 million Series D led by Ribbit Capital. The 12-year-old San Francisco-based company was valued at $1.1 billion.

Developer tools

  • Linear, a product management tool for software teams, raised an $82 million Series C led by Accel. The 6-year-old San Francisco-based company was valued at $1.3 billion.
  • Coralogix, a real time data observability platform for software, raised a $115 million Series E led by NewView Capital. The 9-year-old Tel Aviv, Israel-based company was valued at $1.1 billion.

Web3

  • Zama, a cryptography company building encryption solutions for blockchain, raised a $57 million Series B led by Blockchange Ventures and Pantera Capital. The 5-year-old Switzerland-based company was valued at $1.2 billion.
  • The Open Platform, a blockchain infrastructure developer integrated into Telegram, raised a $29 million Series A led by Ribbit Capital. The 3-year-old Dubai-based company was valued at $1 billion.

Software

  • Kylinsoft, an open source operating system to compete with Windows and MacOs in China, raised a $418 million corporate funding led by China National Software & Service Co. The 5-year-old Guangdong, China-based company was valued at $1.6 billion.

Healthcare

Sports

  • Teamworks, a software service for high performance sports team development, raised a $235 million Series F led by existing investor Dragoneer Investment Group. The 15-year-old Durham, North Carolina-based company was valued at $1.2 billion.

Defense tech

  • Military planning software company Onebrief raised a $24 million Series C extension led by Battery Ventures. The 6-year-old Honolulu-based company was valued at $1.1 billion. Its Series C funding 3 months earlier led by General Catalyst and Insight Partners valued the company at $650 million.

Network services

  • Meter, a networking infrastructure company, raised a $170 million Series C led by General Catalyst. The 9-year-old San Francisco-based company was valued at $1 billion.

E-commerce

  • Jumbotail, a B2B e-commerce marketplace for food and groceries, raised a $120 million Series D led by SC Ventures. The 9-year-old Bangalore, India-based company was valued at $1 billion. Jumbotail also announced in June that it completed an acquisition of Solv, a B2B marketplace, incubated by SC Ventures.

Devices

  • Halter, a smart collar technology to manage cattle grazing, raised a $99 million Series D led by Bond. The 9-year-old Auckland, New Zealand-based company was valued at $1 billion.

Related Crunchbase unicorn lists

Methodology

The Crunchbase Unicorn Board is a curated list that includes private unicorn companies with post-money valuations of $1 billion or more and is based on Crunchbase data. New companies are added to the Unicorn Board as they reach the $1 billion valuation mark as part of a funding round.

The unicorn board does not reflect internal company valuations — such as those set via a 409a process for employee stock options — as these differ from, and are more likely to be lower than, a priced funding round. We also do not adjust valuations based on investor writedowns, which change quarterly, as different investors will not value the same company consistently within the same quarter.

Funding to unicorn companies includes all private financings to companies that are tagged as unicorns, as well as those that have since graduated to The Exited Unicorn Board.

Exits analyzed here only include the first time a company exits.

Please note that all funding values are given in U.S. dollars unless otherwise noted. Crunchbase converts foreign currencies to U.S. dollars at the prevailing spot rate from the date funding rounds, acquisitions, IPOs and other financial events are reported. Even if those events were added to Crunchbase long after the event was announced, foreign currency transactions are converted at the historic spot price.

Illustration: Dom Guzman


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UK tourists stuck in Majorca airport for 20 hours in ‘horrendous’ situation

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The Jet2 passengers said they were told it was for “operational reasons”

The passengers due to fly back from Majorca said the situation they faced was “horrendous”(Image: Nicholas.T.Ansell/PA Wire)

UK tourists flying back from Majorca have shared how they were stuck in the airport for 20 hours due to “operational reasons.”

Passengers booked onto the Jet2 11.35am flight on July 21 from Palma Airport to Belfast were allegedly sent to board their flight as travellers would usually expect, before they were told of a delay.

At first, the airline reportedly told flyers this would be a few hours, however, shortly after, holidaymakers claimed the journey was pushed back 12 hours, with the plane estimated to take off at around midnight that day.

But, in an unexpected turn of events, passengers described how they were then informed the flight would not be taking off at all at this point.

READ MORE: Brit mum blasted after claiming sunbeds for ‘big family’ before going on outing

The airline ensured travellers were allocated a hotel room for the night, but some shared their concerns after it was alleged this process took around three hours.

Due to this, passengers claimed they had been waiting in the airport for 20 hours before they were shipped to temporary accommodation for the night.

A woman due to board the flight, who wished to remain anonymous, told BelfastLive of the “horrendous” experience: “We have always thought Jet2 were an excellent company, but the communication has just been awful.

“I have three young children, and there were a lot of other children getting on that flight. They had a few nappies, but there was no ready-made milk left for any of the babies, and they had power but couldn’t provide us with boiling water. When we went to get that, you were charged for it in the cafes.

“They sent out information to the passengers before their own staff to tell us the flight was delayed by 12 hours. The staff would give us no information, they said the window wiper was broken on the plane, and apparently the wrong replacement part was sent.

READ MORE: UK tourists face France rule change as locals demand ‘explanation’ on their behalf

“I was on the 24/7 helpline constantly, and they couldn’t give us any information. They kept telling us our flight was going to go at 12.20am. Between 12.30am and 1am, they told us the flight wasn’t happening.”

She explained how the hotel allocation process had worked the day after the incident, alleging: “We all had to go down and get our luggage then we stood for around three hours while they tried to get us hotels. We were getting our hotels at around 4am, after having been in the airport from about 8am the day before.

“I asked if there would be a cot in the hotel for my baby and they said there would be. I Googled the place before we left and it was adults only – they were sending me there with my three young children.

“They booked us in to a different hotel, and didn’t tell the driver we were going to this new hotel. The situation has been horrendous.

“Our flight is meant to go at 5.35pm today, and I have been on the phone with the helpline all day and nobody can guarantee it will happen.”

A spokesperson for Jet2 told the publication: “Flight LS362 from Palma to Belfast International has been delayed due to operational reasons. Despite our best efforts to get customers back to the UK yesterday, the flight had to night stop at Palma Airport and our teams have been working very hard to look after everyone including arranging hotel accommodation and refreshments.

“We have continued to communicate with customers throughout and will be flying customers back to Belfast today.

“We understand the inconvenience that this may have caused, and we would like to apologise to customers affected by this unforeseen delay.”



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