Eric Strebe, Director of Business Consulting

Eric Strebe, Director of Business Consulting

Eric Strebe is the Director of Business Consulting with ESOP Partners, responsible for cultivating and maintaining strong relationships with current and prospective ESOP companies through understanding their specific needs and expectations. Eric has a robust history of making a difference, with over a decade of experience in sales and sales management working with business owners, presidents, and sales professionals to achieve their goals, create innovative solutions, and grow revenue.

Recent Posts

How an ESOP Feasibility Study Works & Why Your Company Needs One

Decisions about whether, when, and how to sell a company can be some of the most challenging in a business owner’s life.

The satisfaction of having built a successful company can be overshadowed by questions, including:

  • Which exit strategy is right for the owner?
  • Will selling your company have a positive or negative impact on employees?
  • How much control can the seller maintain over the ownership transition?

How is an ESOP Stock Price Determined at Sale and Annual Valuation?

For business owners who are evaluating exit strategies, the first question is often, “How much money can I get when I sell my company?” After all, getting liquidity out of the business is often a primary reason for selling to an ESOP.

The answer to this question is not always as simple as a sale price. Selling to an ESOP can involve tax benefits and sale structure advantages that can net a seller more over the long term than even a strategic premium third party offer can deliver.

An essential step is establishing fair market value for the business, which in turn determines the ESOP company stock price. The company stock price is determined on an annual basis by an independent appraiser, as required under Internal Revenue Code Section 401(a)(28)(c).

EBITDA Multiples by Industry: What Matters in an ESOP Valuation Study

A business owner exploring exit strategies or business sale opportunities wants to know what to expect to earn on the sale. That sale outcome is often expressed in terms of an EBITDA multiple as a calculation of the company’s enterprise value (EV). 

Keep Your ESOP On Track and On Time
New Call-to-action

Recent Posts