An Employee Share Ownership Plan (ESOP) is an employee-owner program that provides staff with an ownership interest in the company, but still allows you to retain control of the business.
ESOPs generally prevent any one employee from holding too much of the company’s equity.
It is worth knowing that over half of the companies listed in Fortune Magazine’s “100 Best Companies to Work for in America” operate as ESOPs.
The principal motivation for ESOPs is to drive business financial performance and free up the owner. Staff benefit financially when the business performs well.
ESOP regimes are country specific and we partner with external specialists for specific country advice.
Important – The choice of transition strategy requires careful consideration of the consequences and trade-offs involved. We devote a lot of time with clients in choosing the smartest transition decision, that is aligned with individual circumstances.