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Who’s the buyer?
A trust representing at least 10 employees.
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Who sets the price?
The price is negotiated with an institutional trustee, based on an independent valuation.
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How is it funded?
Commercial and/or seller financing, paid-off with pre-tax corporate cashflow.
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Who gets shares?
Full-time employees are allocated shares proportional to their annual compensation.
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How is stock earned?
A portion of all shares is allocated annually; the shares vest within 3-6 years.
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How do employees cash out?
Vested stock is sold back to the company, at a current valuation, when employees depart or retire.