End-to-end excellence starting where it matters.

Why pay for legal and tax advice only to find that an Employee Ownership Trust (EOT) won’t meet your objectives? At EquiPartners, we start at the beginning. Our 60-point EOT feasibility study thoroughly evaluates your business, aligning shareholder goals with the feasibility of an EOT before crafting a bespoke transaction for you. This approach is unique to EquiPartners and can save you significant costs in advisor fees if an EOT isn’t the right fit.

If you choose to proceed, our planning consistently adds value by ensuring a market rate valuation, structuring flexible repayment options, and securing an acceptable market interest rate on future payments. This helps reduce risk for you and your business, setting the foundation for long-term success.

Our comprehensive EOT feasibility study, the only one of its kind in the UK, covers:

1. Shareholder Objectives
We clarify exit strategies, shareholder goals, and tax implications to ensure alignment with the EOT model. We explore your company structure, governance changes, and the desired level of ongoing shareholder involvement.

2. Financial Viability
We assess the company's historical and current profitability, cash flow, and working capital. After building a financial model to assess future growth and returns, we value your company and calculate the payback horizon for you as an exiting shareholder. We will then confirm the financial feasibility of transitioning to an EOT and consider funding options, including bank finance, to give you more value on day one.

3. Employee Engagement
We evaluate your senior management team and employee readiness and the potential effects on morale and motivation, understanding their evolving roles in the ownership transition.

4. Legal and Governance Structures
We identify the most suitable legal setup for the EOT, covering trustee appointments and governance protocols while balancing employee representation with company management.

5. Taxation and Compliance
We will give an initial view of whether your company meets the compliance requirements set by HMRC to ensure the EOT structure aligns with legal obligations and optimises overall tax efficiency.

6. Sustainability and Long-term Planning
We develop a strategy that supports the company’s growth and competitiveness under the EOT model, considering industry-specific challenges.

Only after addressing all these factors do we design a transaction tailored to achieve your desired outcomes. These are just a few ways EquiPartners adds value to your transition. To learn more about our unique EOT feasibility study and how it can benefit your business, schedule a meeting, email phil@equipartners.co.uk or james@equipartners.co.uk.