Here's a look at Cross Company's recent decision to go 100 percent employee-owned. Employee Stock Ownership Plans ﾖ partial or full ﾖ carry both benefits and risks, but can be a viable exit strategy or a way to provide additional benefits to your workforce. Weigh the ups and downs carefully with advisers before moving forward.
Only consider an Employee Stock Ownership Plan (ESOP) if you are growing and have strong cash flow. That's the advice from an ESOP-experienced Pete Cross, CEO of industrial distributor Cross Co., which has run a partial ESOP for 28 years.
Cross Co., Greensboro, NC, which distributes motion control and factory automation products, recently moved to a 100 percent ESOP and is now fully owned by its 195 employees. ...