In the News: Protecting Loyal Employees, Addressing Succession Planning Needs, Focusing on Growth, and Providing Opportunities

Lumber Yard Supply (Great Falls, MT)

In the News: Acquiring Companies as Part of a Growth and Expansion Model

Houchens Industries (Bowling Green, KY)

In the News: Embracing New Technologies and Approaches, Adopting Lean Manufacturing and Cellular Manufacturing Philosophies

Rable Machine Inc. (Mansfield, OH)

In the News: Merging Multiple ESOP Companies to Form a Holding Company, Reducing Costs and Providing Diversification

Marine Hydraulics International Inc. (Norfolk, VA) and Técnico Corp. (Chesapeake, VA)

In the News: Planning for the Future and Selling to an ESOP While Retaining Control, Existing Management, and the Board of Directors

Air Tractor (Olney, TX)

In the News: Characteristics of a Strong ESOP Candidate, Minnesota Employee Ownership Fund

Windings Inc. (New Ulm, MN)

We previously discussed the Windings Inc. ESOP and the Minnesota Employee Ownership Fund in In the News: Increased Management Accountability, Succession Planning, Addressing ESOP Misconceptions. Passing torch to those who made your business work identifies some of the characteristics that made that the company a strong ESOP candidate:
  • The owner mentored his management team
  • The owner's children have their own careers
  • The owner wanted the company to remain in New Ulm
  • The owner wanted its employees to share in the gains of the company
  • The owner wanted to maximize the chances that the employees will retain their jobs
  • The owner wanted his legacy to be the future success of the company in New Ulm
  • The owner accepted the fact that he could possibly "have gotten more faster" if he pursued a third party sale

The article notes that it takes time to plan for an ESOP (although I want to point out it is possible, but not ideal, to close an ESOP transaction in six months):

In the News: Improving Performance by NOT Focusing on Financial Goals

Eileen Fisher, Inc. (Irvington, NY)

In the News: Employee Retires After 60 Years of Employment

Builders Supply Co. of Petersburg, Inc. (Petersburg, VA)

In the News: Succession Planning, Empowering Employees, Improving Recruiting, Creating Selling Point, and Improving the Bottom Line

The Newberry Group (St. Charles, MO)

In the News: More Responsibility and Better Decision-Making

South Mountain Co. (West Tisbury, MA)

Keep Your ESOP On Track and On Time
12 Benefits of Incorporating an ESOP in your Business Exit Strategy

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