Employee ownership is not just transformative for workers and businesses, it reshapes the economic, social, and civic fabric of entire communities. When companies are owned by the people who work in them, their success stays local, their impacts are more sustainable, and their benefits multiply beyond the walls of the company.
- Business ownership is very concentrated in America. The wealthiest 10% of Americans hold 90% of business wealth, while the lower half holds only 0.25%.
- Most retiring owners will not find buyers who will sustain what they’ve built. Some businesses close, others are sold to out-of-area buyers who may eliminate jobs or diminish local wealth. By transitioning ownership to the people who know the business best, owners can preserve jobs, keep wealth local, and ensure their companies continue to serve the community.
- Employee ownership allows retiring owners to sell for a fair price while giving employees at all income levels the chance to build assets through profit sharing. As owners, workers gain financial and leadership skills that strengthen both their companies and their civic engagement, creating communities that prosper together.
- Employee ownership offers a proven path to wealth-building for low- to moderate-income workers. Research shows that household net worth can nearly double for employee-owners early in their careers. Compared to traditional businesses, ESOP workers have 33% higher median wages and 92% higher median household net wealth.
- Employee-owned companies act as community anchors. Because ownership and decision-making remain local, these businesses are less likely to relocate or shut down during downturns. Employee-owners tend to support local suppliers, invest in their neighborhoods, and reinvest profits close to home which helps build strong, sustainable communities.
EO Benefits for Your Community
A thriving employee ownership ecosystem is supported by numerous advocates, including workers, policymakers, economic developers, associations, field partners, higher education institutions, and the media.
EO Equals would like to help you advance employee ownership in your community by leveraging our existing research, case studies and tools plus custom webinars, live events, policy development assistance, and more.
Contact us to discuss your interest and opportunities.