Whitepaper – Transfer Ownership to Key Employee
Published: September 9, 2021
There are several different strategies to evaluate when a business-owner wishes to transfer ownership to their key employees.
Description:
There are several different strategies to evaluate when a business-owner wishes to transfer ownership to their key employees. This whitepaper reviews each option and provides a list of the potential benefits and unintended consequences that should be considered. In the event where a key employee wishes to be the future owner of an operating business, the existing business-owner should evaluate all options and align the strategy with the objectives of all stakeholders involved.
Topics Covered:
- Various methodologies to transfer an operating business to key employees
- Options include:
- Long-term installment sale
- Leveraged management buyout
- Employee Stock Ownership Plan (ESOP)
- Modified buyout
