Go EO helped Redcliffe Imaging Ltd sell a controlling stake to an Employee Ownership Trust.
The founder kindly agreed for us to share a few key details, together with quotes about his reasoning for choosing an EOT, and experience of the transaction/time since.
Redcliffe Imaging Ltd – EOT sale
Industry
Fine Art Printing
EOT sale details
100% sale on 31 March 2023
Website
redcliffeprint.co.uk
Quotes below by
George Burr (founder & CEO)
Situation pre-sale:
“As the sole owner director of Redcliffe Imaging Ltd I was keen to establish an exit strategy that allowed me to sell the business as a going concern.”
Why they felt the EOT was a good option:
“Employee ownership seemed the most fitting option. It respected the hard work long serving members of staff had put into the business over many years.
An EOT allowed me to continue to be involved in the business in a guiding capacity if required. Plus the new employee/owners would feel more involved in how the company was run and would directly benefit if the business continued to be profitable.”
“Great work from Chris and Laura. Very professional and helped us achieve our goal of transitioning to an EOT.”
George Burr, founder of Redcliffe Imaging Ltd
How they feel afterwards (good, bad and ugly!):
“I’m extremely pleased with how quickly the trust was set up. With straightforward and easy to comprehend rules for employees joining or leaving the trust.
I was hoping for a dynamic shift in how the employees viewed their new role and responsibilities. But there was some hesitancy in this respect. I think it will take many months before we will see a change in their perception of their new role as owners.
The proof for the staff will be in the shared profits and the realisation that their action and focus will have a direct result on what they earn in both salary and profits.
I am grateful too to be still involved with the business, albeit in a reduced role. A win-win for everyone.”
Go EO’s involvement
Go EO assisted with the legals of the share sale, guiding them through the purchase. We also created the trust, and dealt with HMRC submissions (stamp duty and trust registration), as well as Companies House updates re the change of cotnrol.
Chris Maslin of Go EO was also appointed independent trustee, to provide a gentle steer to the company’s new employee ownership culture.
If you are interested in finding out more about transitioning to an EOT, get in touch with us at Go EO to see how we can help.