Employee ownership trust

Empowering the Workforce: Employee Ownership Trusts

An Employee Ownership Trust (EOT) is a type of trust used to encourage shareholders to set up structures such as the John Lewis model which facilitates employee ownership. These structures have been proven to incentivise employees, which leads to higher productivity and innovation which will safeguard your business over the long term.

Provided certain conditions are met, business owners can sell shares in their trading business free of capital gains tax, which can create significant tax savings. Employees also benefit in the form of annual bonuses free of income tax.

There are a number of factors and stringent conditions to consider in order to assess whether an EOT is a suitable option.

We can work with you to assess your objectives and advise on the most appropriate structure.

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