PR and digital communications consultancy organisation Cirkle has launched an employee ownership trust.
The London-based organisation, which has 40 employees, has sold 60% of its shares into an employee ownership trust. Founder and chairman Caroline Kinsey (pictured), who previously owned 100% of the organisation, will retain 40% of the shares.
Cirkle has introduced the employee ownership trust in order to maintain the integrity and sustainability of the business, as well as to reward its employees.
Law firm Lewis Silkin advised Cirkle on the employee ownership trust process.
Matthew Rowbotham, head of tax, rewards and incentives at Lewis Silkin, stated that: "There are various benefits to using this new model, not least being improved employee engagement and providing new opportunities for management to move a business on to the next level."
Kinsey added: “The great thing about an [employee ownership trust] is that I am transferring a majority shareholding but preserving the integrity and continuity of the business and rewarding the contribution and loyalty of staff.
“As an agency recognised for our employee engagement, our culture and a real belief in and focus on our people and our team, this was the right structure.”
