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ESOPs and Employee Ownership Plans

For founders and owners who invest decades building a business, leaving their legacy in the right hands is a critical decision.

Employee Stock Ownership Plans (ESOPs) have long been a tax-efficient business succession plan that allow dedicated employees to share in the future success of the organization. Our specialized team has decades of experience in the traditional aspects of ESOPs, from advising “mature” ESOPs on corporate governance, fiduciary best practices, and plan compliance, to quarterbacking a transaction where a company implements an ESOP, to winding down.

Emerging adaptions of ESOPs, such as Employee Owned Trusts (EOT), Perpetual Purpose Trusts (PPT), and PE-backed ESOP co-investments, are potentially simpler and less expensive vehicles for employee ownership transitions. Large and publicly traded companies are also exploring the use of ESOPs. Our team is on the forefront of developing these creative models of employee ownership, collaborating with companies, owners, investors, legal and financial advisors, and industry partners.

And of course, employee ownership issues also arise in traditional mergers and acquisitions, employee benefits, tax, corporate law, banking, and financing matters. We handle stock option and other equity programs, leveraged buyouts, redemptions, corporate stock repurchases, and private equity transactions.

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