Hi Nabor Supermarket Completes Sale to Employee Stock Ownership Plan (ESOP)

Hi Nabor Supermarket, a family-owned supermarket chain founded in 1963, has announced the successful transfer of 100% ownership of the company to its employees via an Employee Stock Ownership Plan (ESOP).

Hi Nabor CEO Jim Crifasi says the company’s leadership team has been engaged in succession planning for the past several years and initially thought the idea of an ESOP was “crazy.” However, the more they learned about an ESOP, the more sense it made for the company’s future.

“It keeps our management team together and gives all my brothers and sisters an exit strategy without putting a strain on Hi Nabor,” Crifasi says. “The ones who want to continue working here in their same position will be able to. It’s also a great deal for our employees and will continue the legacy my father set up in 1963.”

An ESOP — a qualified retirement plan that buys, holds and sells company stock for the benefit of the employees, providing them with an ownership stake in the company — provided the ability to slowly transition leadership of the company over time, and reward the team who helped the company be successful.

“We hope this will be a game-changer for us,” Crifasi says.

About Hi Nabor Supermarket

Sam Crifasi founded Hi Nabor in 1963 with his brother, Francis. The grocery chain has three locations in Baton Rouge and is known for offering fresh quality meat, specialty bakery items, homegrown produce and Louisiana seafood. With nine children of his own, Crifasi’s experience of feeding a large family shaped his business philosophy of offering grocery items at an affordable price. To this day, Hi Nabor is still driven by those same family values, strong work ethic, and a commitment to providing customer value.


Ab out ESOP Partners

ESOP Partners, who assisted with the transaction, is an ESOP service provider that changes lives by creating wealth and sustainable employment through employee ownership and works with business owners and companies to determine if an ESOP is a good fit for their situation. ESOP Partners establishes, maintains, and sustains employee stock ownership plans (ESOPs) throughout the lifecycle to maximize the benefits of being an ESOP company and provide employees with an ownership stake in the company that they work for. 

 About ESOPs

Employee Stock Ownership Plans (ESOPs) are qualified retirement plans that buy, hold, and sell company stock for the benefit of the employees, providing an ownership stake in the company. ESOPs are the only retirement plan allowed to borrow money to purchase stock and are generally funded only by the company. Selling part or all of a business to an ESOP enables a business owner to sell to a built-in buyer in as little as 90 days at full fair market value. There are many significant tax and cash flow benefits of selling to an ESOP. An ESOP also allows for a better-managed ownership transition, preservation of local jobs, and the maintenance of a company’s legacy in the community. According to the National Center for Employee Ownership (NCEO), there are approximately 10,000 ESOPs in place in the U.S., covering 10.3 million employees. There are less than 2,500 ESOP companies that are 100% owned by their employees. 

Read more about their employee ownership journey in the Baton Rouge Business Report and The Advocate

Hallmark Building Supplies Completes Sale to Employee Stock Ownership Plan (ESOP)

Hallmark Building Supplies, Inc. has announced the successful transfer of 100% ownership of the company to its employees via an Employee Stock Ownership Plan (ESOP).

Joe Balthazor, President, CEO and Founder continues to lead the company and remains active as President and CEO after the transaction.

Balthazor says, “After weighing the options, my wife and I decided the best thing to do was to take the company to 100% employee ownership versus selling to a 3rd party. This allows us to maintain our culture, keep our leadership team in place and provide an opportunity for our new fellow associate owners to accumulate personal wealth.”

“We have always had a strong commitment to growth,” says Katie Sadorf, VP Marketing & Strategy.

“Becoming 100% employee owned adds new meaning to that strategy. Our leadership team understands how growth can benefit all stakeholders in the company, including our suppliers and customers, and now our fellow owners.”

Hallmark has expanded over the last 10 years into geographies in the Western and Southern United States.
Recently, the Exterior Business Unit added decking products and are in the process of adding a new
fencing/cladding/decking product in Levanté® Aluminum Architectural Components. This year, their Interiors Business Unit is adding new DuPont Corian® Endura™: a premium porcelain surfacing material.

“Adding new products, expanding into new geographies and making acquisitions facilitate growth, but so does organic growth,” says Balthazor. “We also look to provide unique solutions to our customers’ needs.
Sometimes, that may be as simple as delivering on a different day to help a customer and other times it is as
complex as helping customers choose the right materials for their application, or creating a marketing plan to
help grow their business.” 

About Hallmark Building Supplies

Hallmark Building Supplies is a wholesale distributor of branded building materials that performs sales,
marketing, and physical distribution functions for residential and commercial markets in 20 states. The
company was founded in 1974.

About ESOP Partners

ESOP Partners, who assisted with the transaction, is an ESOP service provider that changes lives by creating wealth and sustainable employment through employee ownership and works with business owners and companies to determine if an ESOP is a good fit for their situation. ESOP Partners establishes, maintains, and sustains employee stock ownership plans (ESOPs) throughout the lifecycle to maximize the benefits of being an ESOP company and provide employees with an ownership stake in the company that they work for.

 About ESOPs

Employee Stock Ownership Plans (ESOPs) are qualified retirement plans that buy, hold, and sell company stock for the benefit of the employees, providing an ownership stake in the company. ESOPs are the only retirement plan allowed to borrow money to purchase stock and are generally funded only by the company. Selling part or all of a business to an ESOP enables a business owner to sell to a built-in buyer in as little as 90 days at full fair market value. There are many significant tax and cash flow benefits of selling to an ESOP. An ESOP also allows for a better-managed ownership transition, preservation of local jobs, and the maintenance of a company’s legacy in the community. According to the National Center for Employee Ownership (NCEO), there are approximately 10,000 ESOPs in place in the U.S., covering 10.3 million employees. There are less than 2,500 ESOP companies that are 100% owned by their employees. 

Read the press release here.

Drake Cooper Completes Sale to Employee Stock Ownership Plan (ESOP)

Drake Cooper has announced the successful transfer of 100% ownership of the company to its employees via an Employee Stock Ownership Plan (ESOP). On December 1, CEO Jamie Cooper transferred 100% ownership of the company to its employees retroactively, creating a full year of stock accumulation for 2020.

An ESOP — a qualified retirement plan that buys, holds, and sells company stock for the benefit of the employees, providing them with an ownership stake in the company — provided the ability to slowly transition leadership of the company over time, and reward the team who helped the company be successful.

 About Drake Cooper 

Drake Cooper, founded in 1978 by Bill Drake, is one of Idaho’s oldest advertising agencies. It is a full-service, and independently owned advertising agency with offices in Boise, Idaho, and Seattle, Washington.  In a first for Idaho creative agencies and one of only a few in the Northwest, Drake Cooper is now an ESOP company.

"We’ve always believed our people are the key to our clients’ success and therefore to our agency’s success and longevity. This new chapter is an extension of who this agency has always been and the values we’ve always tried to uphold. I am very excited for our new employee-owners and this journey we will all take together,” Cooper states.  

About ESOP Partners

ESOP Partners is an ESOP consulting and administration firm in Appleton, WI, assisted with the sale and will continue to work with the company as the ESOP consultant and third-party administrator. ESOP Partners changes lives by creating wealth and sustainable employment through employee ownership and works with business owners and companies to determine if an ESOP is a good fit for their situation. ESOP Partners establishes, maintains, and sustains employee stock ownership plans (ESOPs) throughout the lifecycle to maximize the benefits of being an ESOP company and provide employees with an ownership stake in the company that they work for.

 About ESOPs

Employee Stock Ownership Plans (ESOPs) are qualified retirement plans that buy, hold, and sell company stock for the benefit of the employees, providing an ownership stake in the company. ESOPs are the only retirement plan allowed to borrow money to purchase stock and are generally funded only by the company. Selling part or all of a business to an ESOP enables a business owner to sell to a built-in buyer in as little as 90 days at full fair market value. There are many significant tax and cash flow benefits of selling to an ESOP. An ESOP also allows for a better-managed ownership transition, preservation of local jobs, and the maintenance of a company’s legacy in the community. According to the National Center for Employee Ownership (NCEO) there are approximately 10,000 ESOPs in place in the U.S., covering 10.3 million employees. There are less than 2,500 ESOP companies that are 100% owned by their employees.

Read their full press release here. 

Read a special story about Drake Cooper's announcement, "Christmas in Boise: Boise Ad Agency Employees Become Owners," published by Nonprofit Quarterly Magazine.  

Neu Tool & Supply Corp., Inc Completes Sale to Employee Stock Ownership Plan (ESOP)

Neu Tool & Supply Corp., Inc. has announced the successful transfer of 100% ownership of the company to its employees via an Employee Stock Ownership Plan (ESOP). 

An ESOP — a qualified retirement plan that buys, holds, and sells company stock for the benefit of the employees, providing them with an ownership stake in the company — provided the ability to slowly transition leadership of the company over time, and reward the team who helped the company be successful.

 About Neu Tool & Supply Corp., Inc. 

Neu Tool & Supply Corp., Inc. was founded in 1964 and is located in New Berlin, WI, a suburb of Milwaukee. They are a full line warehouse distributor with clients ranging from mobile and industrial tool distributors to parts and paint stores across the nation. They are a premier source for tools, equipment and auto body supplies.

About ESOP Partners

ESOP Partners is an ESOP consulting and administration firm in Appleton, WI, assisted with the sale and will continue to work with the company as the ESOP consultant and third-party administrator. ESOP Partners changes lives by creating wealth and sustainable employment through employee ownership and works with business owners and companies to determine if an ESOP is a good fit for their situation. ESOP Partners establishes, maintains, and sustains employee stock ownership plans (ESOPs) throughout the lifecycle to maximize the benefits of being an ESOP company and provide employees with an ownership stake in the company that they work for.

 About ESOPs

Employee Stock Ownership Plans (ESOPs) are qualified retirement plans that buy, hold, and sell company stock for the benefit of the employees, providing an ownership stake in the company. ESOPs are the only retirement plan allowed to borrow money to purchase stock and are generally funded only by the company. Selling part or all of a business to an ESOP enables a business owner to sell to a built-in buyer in as little as 90 days at full fair market value. There are many significant tax and cash flow benefits of selling to an ESOP. An ESOP also allows for a better-managed ownership transition, preservation of local jobs, and the maintenance of a company’s legacy in the community. According to the National Center for Employee Ownership (NCEO) there are approximately 10,000 ESOPs in place in the U.S., covering 10.3 million employees. There are less than 2,500 ESOP companies that are 100% owned by their employees.

Quadrant Holding Co., Inc Completes Sale to Employee Stock Ownership Plan (ESOP)

Quadrant Holding Co., Inc. dba AKC Marketing, REL Productions and Dwebware has announced the successful transfer of 100% ownership of the company to its employees via an Employee Stock Ownership Plan (ESOP). 

An ESOP — a qualified retirement plan that buys, holds, and sells company stock for the benefit of the employees, providing them with an ownership stake in the company — provided the ability to slowly transition leadership of the company over time, and reward the team who helped the company be successful.

 About Quadrant Holding Co., Inc.

Quadrant Holding Co., Inc., dba AKC Marketing (full service marketing/advertising agency), REL Productions (full service video production) and Dwebware (full service software development).

About ESOP Partners

ESOP Partners is an ESOP consulting and administration firm in Appleton, WI, assisted with the sale and will continue to work with the company as the ESOP consultant and third-party administrator. ESOP Partners changes lives by creating wealth and sustainable employment through employee ownership and works with business owners and companies to determine if an ESOP is a good fit for their situation.

 About ESOPs

Employee Stock Ownership Plans (ESOPs) are qualified retirement plans that buy, hold, and sell company stock for the benefit of the employees, providing an ownership stake in the company. ESOPs are the only retirement plan allowed to borrow money to purchase stock and are generally funded only by the company. Selling part or all of a business to an ESOP enables a business owner to sell to a built-in buyer in as little as 90 days at full fair market value. There are many significant tax and cash flow benefits of selling to an ESOP. An ESOP also allows for a better-managed ownership transition, preservation of local jobs, and the maintenance of a company’s legacy in the community. According to the National Center for Employee Ownership (NCEO) there are approximately 10,000 ESOPs in place in the U.S., covering 10.3 million employees. There are less than 2,500 ESOP companies that are 100% owned by their employees.

ESOP Partners to speak at Northeast Regional Virtual Conference

 ESOP Partners is proud to be a speaker at The ESOP Association's Northeast Regional Virtual Conference on September 29-30th.  This is a special virtual event for members of the Pennsylvania/Delaware, New York/New Jersey, and New England Chapters. 

ESOP Partners to Sponsor and Speak at 2020 NCEO Fall Forum

ESOP Partners is proud to be a sponsor and speaker at NCEO's 2020 Fall Forum being held virtually on September 14-16. 

State of the Company Update (July 2020)

A lot has happened so far in 2020.  We started the year with a strong economy and one of the most prolific M&A markets in history, making it a great time for existing ESOP companies and the formation of new ESOPs. On March 1 we celebrated the one-year anniversary of the opening of our new ESOP Partners corporate headquarters and the Employee Ownership Training Center (EOTC).

ESOP Partners' President, Aaron Juckett, takes a moment to provide a State of the Company update. Read the full update here

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ESOP Partners a Premier Sponsor and Speaker at NCEO 2020 Virtual Annual Conference

ESOP Partners is proud to be a Premier Sponsor and speaker at NCEO's 2020 Virtual Annual Conference being held April 20-22.  



ESOP Partners Hosts Information Forums: Managing your ESOP in Uncertain Times

You are likely receiving a lot of information about what companies are doing in response to COVID-19 (Coronavirus).  This is a fluid situation and we don’t have all of the answers at this time.  However, we do think it is important to be a resource for you.