Home/Tag: ESOP

DIXIEPLY is now 100% employee-owned

Dixie Plywood and Lumber Company (DIXIEPLY), a leading wholesale distributor of building materials, is proud to announce it has become 100% employee-owned through an Employee Stock Ownership Plan(ESOP). The ESOP was announced to DIXIEPLY’s employees on November 1st by Dan Bradley, President of the 75 year old company. The ESOP became effective October 31, 2019.

Employee share owned plans: A business model with a superpower

Kerry Siggins and Michael Russell are believers that an employee-owned model for business provides tools to get the most out of workers. Siggins, CEO of StoneAge Inc., maker of waterblast tools and automated equipment for industrial cleaning applications, cited the company’s founders, John Wogamott and Jerry Zink, as the original adopters of an employee share owned

How Startups Are Wooing Employees With ESOP Buybacks

With increased investor attention, India has become one of the largest ecosystems for startups globally. Startups in nearly all sectors are trying to push the envelope by introducing innovations, schemes and ideas. One such scheme that has attracted the likes of Razorpay, Oyo, Flipkart, Moglix is the employee stock ownership plan (ESOP) buybacks. Payment solutions

NewAge becomes fully employee owned

As it reaches 65 years in business this year, NewAge Industries also has another reason to celebrate. It became fully owned by its employees through its Employee Stock Ownership Plan. The company, which manufactures plastic and rubber tubing, started down the path to employee ownership through its CEO Ken Baker in 2006. But Baker learned

Employee Stock Ownership Plan at Immel Construction

At Immel Construction, 100 percent of the company’s stock has been sold to its employees through an Employee Stock Ownership Plan – the next step in the firm’s evolution in ownership – but Immel will continue to operate under the same business model and structure. “We are excited to usher in this new era at Immel Construction

Central Ohio energy company goes employee-owned

Utility Technologies International Corp., a Groveport-based company that works in management, engineering, construction, operations and maintenance of natural gas pipelines and infrastructure, has completed a transition to employee ownership. The company, founded by CEO Richard "Dick" Dickerson in 1992, is now controlled by the 69 people who work there. Several of UTI's former shareholders will

I’m Here To Tell You We Sold The Company

“I’m here to tell you that we sold the company.” Those were the words that Kris Maynard, CEO and Co-Founder of Essential Ingredients, said to a room packed with loyal employees who were gathered under the pretense of a 15-year anniversary party. Instead, their trusted leadership team had just broken the news that everything was about

New Structures For Protecting Impact Companies’ Missions

One of the thorniest problems that impact companies face is how to expand—that is, finding ways to scale without selling out. For one thing, growth can involve undermining an enterprise’s mission. Also, a business that, say, brings on equity investors takes the chance of losing control to a less mission-focused partner. With that in mind,

Ready to Sell Your Business? Your Employees Might Be the Best Buyers–Here’s Why

Bill Roark remembers the rug being pulled out from under him, in 1999, when his employer was sold to an outside buyer. Though the acquirer tried to find a job for Roark, "when all was said and done, I was on the street corner with a check and a 'good luck' goodbye," he says. "I didn't want

After 50 years in business, office supplier announces new owners: its employees

Metro Sales Inc. is a Richfield, Minn., company that sells printers and copy machines throughout the Upper Midwest. It's not a big-name company, but it is a successful one; it has nearly 300 employees and has been in business for 50 years in 2019. The company is marking that golden anniversary by turning ownership over

This Columbus architecture firm is now owned by its employees

MKSK Inc. is now employee-owned. The Brewery District-based urban design, planning and landscape architecture firm has completed a transition of its ownership structure to an Employee Stock Ownership Plan. That means its 100 employees, split between Central Ohio and six regional offices around the country, are now its owners. "It's an opportunity for us who

Hercules Industries Becomes Employee Owned

Hercules Industries announced that effective October 1st, it will become an employee-owned company. The existing shareholder group is planning on transferring 100 percent of Hercules shares to an Employee Stock Ownership Plan (ESOP). "For the past two decades Hercules has grown to over 20 locations and five manufacturing facilities through hard work and investments back into

Minneapolis restaurant Hell’s Kitchen is selling — to its employees

Hell’s Kitchen, the cheekily named restaurant in downtown Minneapolis that’s known for its house-made peanut butter, lemon ricotta pancakes and crazy huge bloody Mary bar, is turning over ownership of its operations to employees. Instead of selling the 17-year-old restaurant to outsiders, owners Cynthia Gerdes and Steve Meyer (co-founder and Gerdes’ husband, Mitch Omer, died

The ESOP: When your people are your company

Ex nihilo, out of nothing. When you began your business, it may have been an idea you brought to life with your own ingenuity and hard work. But now, if your company has grown at all, it also bears the image of other creators. Key employees have contributed ideas, talent, a history of hard work

Crafton embraces ESOP to preserve company’s culture, legacy

Matt Crafton’s entire life has been shaped by the company his father co-founded 56 years ago. Now, he’s put forth a plan that will help shape the lives of the people who work for it. On Sept. 3, Crafton Tull, a multistate engineering and design firm headquartered in Rogers, Arkansas, announced the formation of an

NewAge Industries announces 100% employee ownership

At a company-wide meeting held on 5 September, it became official: NewAge Industries is now entirely owned by its employees through its ESOP (Employee Stock Ownership Plan). The event was the culmination of a plan first considered by CEO Ken Baker more than two decades ago. “I’ve had a lot of other business owners ask

Ownership of Yankee Publishing to Transfer to Employees

Yankee Publishing Inc., a family-owned business for 84 years, announced the sale of 30% of its shares to the company’s employees through an Employee Stock Ownership Plan or ESOP. The company, with 85 employees based in offices in Dublin and Manchester, New Hampshire, publishes Yankee, The Old Farmer’s Almanac, New Hampshire Magazine, Family Tree Magazine,

Summers Trucking employees meet new owners: themselves

Summers Trucking employees gathered for breakfast Saturday morning at the Ephrata American Legion. After ham and eggs and all the fixings, the 91 employees learned that the Summers family owners, Becky, John and Ken, had transferred their shares in the business to an employee stock ownership plan (ESOP). With that move, the Summers management triad

How employee stock ownership becomes a succession plan

As succession strategies go, the employee stock ownership plan might be the ultimate twofer. For Joe Reeves and Ron Butt, co-founders of Louisville, Kent.-based ARGI, the pursuit of a viable succession plan for their $2.6 billion financial planning firm was the original objective, but the ESOP provided the added bonus of giving all employees a potential stake in the RIA's

Make Your ESOP Work for YOU

Congratulations. You’ve completed your paperwork, met the Department of Labor criteria and successfully established your employee stock ownership plan (it took a while, didn’t it?). You’re now half the way there. In order to perform better and reap the clear benefits an ESOP can generate, you must couple employee ownership with employee engagement. It starts with