ESOPs

Not every business owner seeking personal liquidity desires to sell their company to either a strategic acquirer or private equity firm. Employee Stock Ownership Plans (ESOPs) can provide an effective alternative for business owners wishing to transition ownership to management and employees while providing an attractive level of personal liquidity and maintaining operating control. These qualified, defined contribution employee retirement plans allow business owners to indefinitely defer all capital gains taxes and establishing a completely income tax-exempt entity.            

Capstone Headwaters formed a dedicated ESOP advisory group to help clients assess the attributes and viability of an ESOP, and if appropriate, execute the transaction from start to close. The group, Business Transition Advisors (BTA), is lead by one of the most senior ESOP teams in the U.S. with 100+ years of combined experience.  BTA has worked with over 38,000 employees and 1,100 stockholders, providing ESOP advisory services across all 50 states. 

ESOP DRIVERS

  • Owner Retirement/Personal Liquidity
  • Ownership Wealth/Investment Diversification
  • Buyout of Existing Partners/Investors
  • Divorces or Estate Sales
  • Management Buyouts
  • Tax-Efficient Debt Refinancing
  • Debt Reduction/Increased After-Tax Cash Flow
  • Increased employee productivity, retention and motivation
  • Maximize retirement benefits

If you are interested in connecting with one of our professionals to discuss if an ESOP transaction might be appropriate for your company, please contact us.

 

Team Members