Contractor Greentech Sportsturf, which specialises in the design, construction and renovation of sports surfaces, has established an employee ownership trust (EOT).
All shares in the firm, which began in 1998 on the outskirts of Stirling, Scotland, and operates across the UK, have been transferred to the EOT to make its 14 employees the direct beneficiaries of future results.
The directors said they wanted an ownership succession option that secured the long-term future of the business, which has worked with iconic sporting venues such as Gleneagles, St Andrew’s Links, Hampden Park and Murrayfield Stadium.
They decided against a traditional trade sale or merger options as they were “aware of the risks these options can present to employees and the business as a whole”.
Director Kevin Brunton said the establishment of employee ownership through the EOT will provide continued job security. It will also enable employees to have collective control of their future and directly benefit from the ongoing success of the business, he said.
“Employee ownership means clients need not be concerned with Greentech Sportsturf being acquired and the potential associated disruption that can lead to,” said Brunton. “They can feel secure in the knowledge we will continue to deliver the highest quality sports surfaces projects with our talented team of people and the best technologies for the job in hand.
“It also gives the co-founders the opportunity to consider retirement and eventual exit from the business in a planned manner, mentoring the successor team while withdrawing slowly and ensuring continued growth and success. It really is a win-win all round,” Brunton added.
Employee ownership models are increasingly common. Yorkshire firms Davison Fencing and International Organisation Development Parc recently set up employee ownership trusts (EOT) while Zaha Hadid Architects, which has hundreds of employees globally, this month announced a move to an employee benefit trust.