How Do ESOPs Work: David Solomon Explains the ESOP Journey on ‘Intentional Growth’ Podcast
November 2, 2022
As a guest on the Intentional Growth podcast, Partner David Solomon walked through the legal journey a business owner goes through when setting up an ESOP and some of the technical aspects of how ESOPs are managed once they set up. David dispels some common myths regarding ESOPs and the key differences for a business owner when they sell their company to an ESOP vs. other types of M&A transactions and explains how the program is managed once the ESOP is place after the sale.
If you are considering an ESOP, this is a must-listen podcast. Among other important information, you’ll learn:
- The ways a sale to an ESOP is different than the more well-known ways a company is sold.
- How managing an ESOP-owned company is the same and different from managing a non-ESOP company.
- When and how employees benefit in the ESOP and what happens to their ESOP stock when they leave the company
- The role of ERISA, the Department of Labor, and legal and other advisors with ongoing management of an ESOP-owned company