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Transferring the majority of shares in a business from its owners to an Employee Ownership Trust (EOT) is a major step in the move to employee ownership — but it is often only the beginning. Once the business becomes employee owned, it will usually continue to pay its former owners over a period of time.

Employees can benefit from ownership from day one, but the full sense of change may not be felt until the business has paid the final amount owed to its former owners. This point is often referred to as “financial freedom”.

Reaching financial freedom can create significant opportunities for reward, governance and ownership, as Seller rights are replaced by trust oversight. It can also bring challenges, including managing change and balancing employee expectations with the needs of the business.

Every employee owned business will reach this stage from a different starting point, but there are practical considerations that all employee owned businesses should keep in mind.

That’s why we’re hosting an upcoming webinar presenting by Emily Alston:

Preparing for Financial Freedom

📅 Tuesday 8th September 2026
⏰ 10:00am – 11:00am
📍 Online (Microsoft Teams)

Register Your Place here

 

Hannah Welch