Succession Planning – Starting the Process
ButcherJoseph & Co.’s Carter Smith joined The EO Podcast’s Bret Keisling to dive deep into business owner succession planning by covering the four primary buyer types: strategic/competitors, private equity, management teams, and employee stock ownership plans (ESOPs). This informative discussion highlights common objectives for business owners, such as maximizing cash at closing, providing available capital for growth, execution risk, and preserving a seller’s legacy. Carter and Bret also cover which buyer type most often aligns with those objectives.
Lastly, Carter discusses how the process begins at ButcherJoseph from information gathering, analytics, feasibility studies and devising a strategy that best fits the selling shareholder’s needs. He demystifies ESOP transactions as simply a leveraged buyout transaction that just has a different buyer, and how properly structured ESOP transactions can be create more value over the long haul when tax and related factors are considered.
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About ButcherJoseph. & Co.
ButcherJoseph & Co. is a boutique investment banking firm specializing in ESOPs, mergers and acquisitions, private capital sourcing and valuation advisory services for middle market companies. Our industry recognized team of professionals has executed 200+ transactions exceeding $15 billion in total value. ButcherJoseph is headquartered in St. Louis with a presence in Washington, DC; Chicago, IL; Philadelphia, PA; Miami, FL; Palm Beach, FL; Charlotte, NC; and Nashville, TN.
About The EO Podcast
The EO Podcast invites listeners from all over the world to hear insights from the best in the employee-owned business. Our guests hail from a variety of fields in the EO World – from employee owners and management to professionals working at these organizations – each guest brings their own unique outlook and experience to our ongoing conversation about what makes employee ownership so important and valuable.