- An ESOP is a great way to reward employees’ hard work while also giving the existing shareholder(s) an exit strategy
- An ESOP strategy helps address recruitment and retention concerns within the construction industry
- Shareholders may continue their role with the company even after adopting an ESOP
- An ESOP consultant can help you decide if an ESOP is an appropriate fit and can arm you with the knowledge to design a custom plan for your company and industry
An employee stock ownership plan is a form of employee benefit that rewards workers by giving them a share in the company in the form of stock. ESOPs, as they are dubbed, have steadily increased in popularity since their inception in the 1970s. So, what exactly is an ESOP, how do you know if it’s right for your company, and what should you know before adopting one?
Rosell has been with Pieper-Houston Electric for over two years. Prior to becoming CFO, Rosell was the Vice President of Doeren Mayhew Capital Advisors. He earned a BS in Accounting from Stockton University and holds his MBA in Corporate Finance and Supply Chain Management from Rutgers Business School.
Will and Jennifer cover topics including why Pieper-Houston Electric’s owner transferred ownership to Pieper-Houston Electric’s employees with an ESOP and his goals in addressing issues within the construction industry with the ESOP. Also discussed was how selling shareholders may continue their role with the company even after adopting an ESOP, along with factors to consider when determining whether an ESOP is appropriate for the company and what decision-makers wish they knew beforehand.
“It takes a lot of people to build a company, not one person builds any company…probably the main thing that was considered in the ESOP transaction was…doing a deal that makes sense for everyone…,” said Rosell.