Proud to be an ESOP
Since becoming an ESOP – employee owned company – in 2010, our company has unlocked our ability to tap into our team’s commitment to a greater vision, helping us to achieve smarter, more efficient growth, with a focus on each other and not just the bottom line alone. Together, with our employee-owners, we have experienced greater success as a family of partners. As we look ahead, we see our commitment to be THE employer of choice – dedicated to creating sustainable retirement for every employee – the key to our future.
Why are we an ESOP?
In 2010, President of HB McClure, Robert (Bob) Whalen and CFO, Andrew “Andy” Henry, decided to transition the privately-owned business to an ESOP as a strategic investment in the employees and the future. The decision to form an ESOP was to continue the longevity of the company while fostering a greater-good commitment to culture, where the team works together for prosperity for everyone.
While launching an ESOP, the business formed a commitment with our employees that has truly untapped our full potential and provided the foundation for an important and trusting relationship through purchasing some or all of the company’s shares and holding the funds in the employees’ retirement accounts.
What is an Employee Stock Ownership Plan?
An Employee Stock Ownership Plan (ESOP) is an employee-ownership program that provides a company’s workforce with an ownership interest in the company.
In some ways an ESOP is similar to a retirement plan due to it being governed by the same laws and regulations as a 401(k). Unlike the typical retirement plans,
- Are required by law to invest primarily in the shares of stock of the sponsoring employer.
- Are trusts that hold shares of the business for employees, making them beneficial owners of the company that employs them.
- Can provide tax benefits to the company and to the exiting owner(s).
- Can borrow money from related parties to finance company projects — including the tax-advantaged purchase of the company’s shares of stock.