Practice/Industry Group Overview
- Tax Advantages
- Special Requirements
- Examples of Leveraged Financing
- Examples of Succesful Use of ESOPs
Most employers recognize the importance of a good retirement plan; however, many aren't aware of the numerous broad-based employer ownership choices that exist. Employee Stock Ownership Plans offer significant tax benefits to company owners who wish to sell some or all of their company stock, wish to transfer some of their company stock to a younger generation of family members, and at the same time would like to benefit their employees. ESOPs which own the stock of an S corporation pay no federal or state income tax on the shares of company stock held by the ESOP.
At GrayRobinson, our ESOP practice team comprises attorneys with extensive experience handling a variety of ESOPs for clients throughout Florida. Our practice team is skilled in handling ESOPs for both publicly traded and private, closely held companies. The firm represents ESOP trustees as well as selling shareholders and the companies sponsoring ESOPs.
For clients interested in establishing ESOPs, GrayRobinson's practice team will:
- Identify whether an ESOP is the most appropriate strategy
- Begin dialogue regarding an ESOP's distinguishing features
- When appropriate advise the client as to CPAs, valuation experts, lending institutions, and other experts knowledgeable in ESOPs
- Draft buy-sell agreements and ESOP transaction documents
- Assist with lender negotiations and proceed with loan-document review
GrayRobinson's wide experience in ESOP design and implementation, knowledge and relationships with other ESOP advisors gives us the ability to enhance and expedite ESOP implementation for our clients. We know our clients' businesses and understand their goals. We are proactive in approach, applying customized solutions to meet the specific needs of each client for sustainable, long-term results.
GrayRobinson's ESOP practice team is led by attorney Michael Canan who has over 25 years of experience in ESOPs. He is the vice president for Florida of the New South Chapter of The ESOP Association. He has lectured about and written books on qualified retirement plans, including ESOPs. Other GrayRobinson lawyers on the ESOP practice team are Lee Bennett, Bill Grimm, David Ottinger and Richard Burke.
GrayRobinson proudly supports, through its membership, the National Center for Employee Ownership, a private, nonprofit membership and research organization that serves as the leading source of accurate, unbiased information on ESOPs, broadly granted employee stock options and related programs, and ownership culture; and the ESOP Association of America, a broadly based organization of ESOP companies and ESOP advisors.