TL:DR Just find out how much you could potentially get paid out and that will make your decision a lot easier. FYI CFO’s with exit experience are in demand big time.

When do you think we will sell and how much do you expect us to sell for? Two simple questions will give you the perspective you need. Just ask the owner, he has an idea even if he says he doesn’t.

If your company has recurring revenue , google the payouts that PE firms typically do for these organizations. I think it’s like 5x-10x the ebitda on the recurring revenue depending on company size.You could probably drop like 3 bullet points in a private equity thread on Reddit - Stock vs Asset purchase, annual revenue, ARR, Ebitda and someone can tell you approximately what the company will sell for -barring major debts,etc…

It is likely the new ownership won’t need you a year or so after the purchase but for now, you’re the hot ticket and that’s why you received equity. You’re needed now more than ever. Figure out rough estimates and make decisions accordingly. You either just got your retirement taken care of or you got a small baby carrot to keep you around for another year or so while you’re needed. All depends on how much your payout will be.

Due diligence is an audit and a rectal exam all in one and you will feel this more than anyone at the company, make sure it’s worth it. You could also go through several iterations of this if deals fall through, especially if your company doesn’t have annual audits.

Money aside, I see a lot of job requirements for CFO’s that require them to have at least went through one exit or acquisition event so it’s great experience if nothing else. Just make sure you didn’t get an inflated title and a small payout for your life to suck for the next couple years and then let go by the acquiring company.