For example, says Julie Govreau, "ESOPs
absolutely are a good idea, (especially) for the owner of a small business looking to transition and the kids don't want to take over." ESOPs
, she says "are a fantastic tool that allows for the continuity of the business."
Rob Schatz has some 30 years of experience as a lawyer representing ESOP
lenders and shareholders selling to ESOPs
employee stock ownership plan (ESOP
) is one in which all eligible employees--from rank and file to managers and owners--have an ownership interest in the company through the plan, which, except for a little cash, has company stock as the sole investment.
There were more than 6,600 ESOPs
in the United States as of 2015, the last year for which data is available, according to the National Center for Employee Ownership.
are a great alternative for business owners who are not interested in turning the keys to the business over to a stranger and do not have any family in the business ready to write a check for the owners' equity.
Golden was well acquainted with ESOPs
. Before striking out on his own, he was chairman and CEO of North Little Rock's First American Bancshares Inc.
can help CPA firms attract and keep good employees.
Uniquely among retirement plans, ESOPs
can be leveraged.
As of 2015, there are an estimated 7,000 ESOPs
covering about 13.5 million employees.
While an ESOP
(or other LTIP) can be a very valuable tool for companies to help retain high performing employees and incentivise them to drive the company's financial success, UAE companies have experienced various difficulties in the past when seeking to implement ESOPs
for their UAE based employees.
So, here's my take on ESOPs
, why they are in the best interest of all stakeholders and how they can make a substantial contribution to a more sustainable residential lending environment.