Resources

It is highly researched and widely known that too much of the country’s capital wealth is concentrated in the hands of too few. Furthermore, Black Americans face greater systemic barriers to building wealth beyond the need for a decent wage. Employee ownership in companies could, and should, lower ...
[Read more] about ESOPs Can Help Narrow Racial Wealth Gaps

One option for a company to raise capital is by using an ESOP. Watch our video to learn more.   Transcript An ESOP can raise capital by creating what we call an issuance transaction. In that transaction, the company or the ESOP borrows money from a bank and purchases new shares from ...
[Read more] about How Is an ESOP Used to Raise Capital?

Homeschooling at the National ESOP Conference? As they say, you should never let a good crisis go to waste. Teaching and learning at home can be an added strain on employees and business owners. However, a well-executed pivot by the National Center for Employee Ownership (NCEO) in just a matter of ...
[Read more] about Highlights from NCEO Employee Ownership Conference

An Employee Stock Ownership Plan (ESOP) is a type of employee benefit plan that acquires company stock and holds it in accounts for employees. Learn more about how an ESOP works in our video.   Transcript An ESOP is a qualified retirement plan. This means that contributions are made by ...
[Read more] about How Does an ESOP Work?

There can be a substantial tax advantage to the S corporation ESOP business model and there are anti-abuse rules that apply to all S corporation ESOPs. Watch this video to learn more.   Transcript The anti-abuse rules are what we like to call an ownership concentration percentage ...
[Read more] about How Do the S Corporation Anti-Abuse Rules Work?

In this video, ESOP attorney Kevin Long explains whether a leveraged or non-leveraged ESOP is the right choice for your company.   Transcript Whether you should consider a leveraged or a non-leveraged ESOP for your company comes down to balancing the needs of the different ...
[Read more] about How Do I Know if I Should Consider a Leveraged or Non-leveraged ESOP for My Company?

Watch this video to learn more about determining if an ESOP is feasible financially for a company.   Transcript It's important to determine whether an ESOP is feasible for the corporation and whether it's suitable for the other parties involved. On the corporation side of the analysis, ...
[Read more] about How Do I Determine If an ESOP Is Feasible for My Client?

In this video, we discuss how S corporation distributions can be used by an ESOP.   Transcript S corporation distributions can be an important source of liquidity and cash flow for the plan. They can be used to pay expenses of the plan, such as appraisal fees, trustee fees, and ...
[Read more] about How Can S Corporation Distributions Be Used By an ESOP?

Internal Revenue Code allows a C corporation paying dividends on ESOP shares to take a deduction for the dividends paid if they are used for certain purposes. Learn more in our video.   Transcript C corporation dividends can be deducted by the corporation if they are paid on ESOP ...
[Read more] about How Can C Corporation Dividends Be Deducted and Used By an ESOP?