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ESOP Transactions

An Employee Stock Ownership Plan (ESOP) is a qualified retirement plan (like a 401(k)) that buys, holds and sells company stock for the benefit of employees, providing them with an ownership stake in the company. It may also be the perfect exit strategy for a business owner.

Benefits of an ESOP

Please review a detailed description of the many benefits an ESOP provides to employees, management and the company itself.  Learn More

Process

Corporate Finance Associates guides clients through every stage of an ESOP transaction, from feasibility analysis, analytics and transaction structuring to capital raising, negotiating and closing.  CFA ESOP advisors have been focusing on ESOP transactions for over 25 years and have advised owners on hundreds of deals during that time. Some of these include 100% ESOP buyouts for companies with existing plans and those with none. The ESOP team has also implemented partial ESOPs and second-stage ESOPs, as well as refinancing and terminating plans.

As the company's ESOP advisor, CFA evaluates and implements ESOP transactions in the following ways:

Planning

  • Prepare feasibility analysis and transaction structuring
  • Develop and structure management incentive plans
  • Estimate value and transaction capacity

Implementation

  • Identify and screen ESOP trustees and appraisers
  • Prepare and assist with due diligence
  • Solicit and negotiate with providers of senior, junior and equity capital
  • Negotiate with ESOP trustees
  • Close the transaction


Please contact us if you would like to discuss ESOPs and learn if an ESOP plan might work at your company.