Employee ownership trusts: a plain-English guide
Selling to your staff through a trust keeps the business independent. Here is how it usually works.
An employee ownership trust (EOT) buys a controlling stake in the business on behalf of the people who work there.
How the price is paid
The trust rarely has cash up front, so the seller is usually paid over several years out of the company’s future profits.
Is it right for you?
It suits owners who want continuity for staff and customers more than the highest possible price on day one. Take specialist legal and tax advice before you start.