ESOPs for Healthcare

When practitioners and medical entrepreneurs want liquidity strategies that prioritize independence, continuity, and tax efficiency, they choose employee ownership.

Download our ESOP Quick Reference.


A Private Equity Alternative

Employee stock ownership plans enable closely-held healthcare providers and companies to sell equity, at fair market value, to an employee trust. 

Staff do not pay out of pocket. Instead, ESOP sales are financed transactions. Think of it as an internal leveraged buyout.

In addition to continued autonomy, employee-owned firms gain meaningful tax breaks and efficient tools to expand or transfer ownership. Meanwhile, selling shareholders can defer capital gains burdens on their proceeds.


An ESOP in Context

Larry Kaplan, CSG’s Founder and Managing Partner, shares the motivations and structuring considerations that drove a medical practice's recent ESOP transaction.

This abbreviated case study highlights the unique financial and practical benefits of employee stock ownership plans.

How Does an ESOP Work?