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Employee Ownership

Employee Ownership

An employee stock ownership plan (ESOP) is an employee benefit plan that gives workers ownership interest in the company. ESOPs are not the only form of Employee Ownership. Learn how an ESOP compares to an Employee Ownership Trust or a Cooperative.

employee ownership closes wealth gap

Employee Ownership 101

What is Employee Ownership? In simpler terms, employee ownership is a way for workers to be part-owners of the company they work for. This can be done through various programs, such as stock options, profit sharing, and worker cooperatives. Employee ownership has many benefits for both employees and businesses. For employees, it can lead to…

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What is an ESOP (Employee Stock Ownership Plan)?

So, what is an ESOP? ESOP stands for “Employee Stock Ownership Plan,” which is technically a type of retirement benefit plan. ESOPs can be a really effective way for business owners to transfer ownership of their business to their employees because they help employees purchase a business without having to spend any money out of…

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ESOP Trust as a bank vault

What is an ESOP Trust?

What is a Trust? In general, it helps to understand with a trust is in general. A trust is a legal arrangement where one party, the "trustor" or "settlor," transfers assets, such as money, property, or investments, to another party, the "trustee," to manage and hold for the benefit of specific individuals or entities, known…

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How do ESOPs work?

How do ESOPs Work?

Employee Stock Ownership Plans, commonly known as ESOPs, represent a unique and powerful model of employee ownership in businesses across the United States and beyond. These plans fundamentally alter how companies are owned and managed, offering a range of benefits to both employees and business owners. To understand how ESOPs work, it's essential to delve…

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