Employee Ownership Trust (EOT)
An innovative way to keep ownership local and reward the people who helped build your business.
What is an EOT?
An Employee Ownership Trust (EOT) lets you sell your business to a trust on behalf of your employees. It’s a way to keep ownership local, protect jobs, and ensure your company’s culture lives on — even after you step away.
Why consider an EOT?
Keeps your business locally owned and community-focused
Provides a structured succession plan without outside buyers
Offers tax advantages for qualifying owners (up to $10M capital gains exemption until 2026)
Rewards employees through long-term ownership and stability
How it works?
The owner sells a controlling stake (50%+) to the trust.
The EOT holds those shares for the benefit of all employees.
The company repays the seller gradually through profits — employees don’t need upfront capital.
Benefits for Everyone
Owners can transition gradually while staying involved.
Employees gain a sense of ownership and security.
Communities retain valuable local businesses and leadership.
Is It Right for You?
EOTs are best suited for stable, profitable businesses — typically with 20–250 employees — where the owner wants to preserve legacy, culture, and local impact rather than sell to a private buyer.
How BT Consulting Helps
We guide owners through every stage of the process — evaluating if an EOT fits, structuring the deal, and securing funding.
If an EOT isn’t the right path, we’ll help you explore alternatives like family succession or local buyer transitions to find the best fit for your goals.