How Do You Start An Employee Owned Company?
• Check into how an employee-owned company through an “Employee Stock Ownership Plan” (ESOP) may be managed and perform as well as ordinary companies (“non-ESOP”) — or perhaps better. Research and learn the history of little more than a decade ago when the popular “S-corporation” did not have provisions for employee ownership through the E.S.O.P. form. • Read that in 1998 an ESOP tax law made it advantageous for certain corporations to adopt the ESOP form of stock structure. • Examine the S-corporations which are privately held (do not sell stock on the stock markets), and thus fit the style of employee owned ESOP companies, for example:[1] • Kramig Insulation has been in business since 1896 and is headquartered in Lockland, Ohio, with gross revenues now over $25 million per year. Kramig had been owned by two individual businessmen. • Favorable tax treatment of ESOP companies, however, has now allowed the company to be 100% employee owned, including almost 20% owned by females and min
