This webinar is designed to provide a comprehensive, side-by-side comparison of a dual-path sale process: selling to a third-party buyer through an M&A sale versus transitioning ownership to employees via an ESOP (Employee Stock Ownership Plan). Our presenters, Anthony Dolan and Shaun McGehee, will explore how each path differs across four critical dimensions:
- Valuation: Understand how ESOP valuations are determined compared to market-driven M&A bids from strategic or financial buyers. Discover how key factors, including company performance, industry dynamics, and buyer type, can influence your valuation.
- Deal Structure: Explore the nuances of how transactions are structured—including cash at close, earn-outs, seller financing, and contingent payments—and how each approach affects control, risk, and the timing of proceeds.
- Tax Treatment: Discover the unique tax advantages available through ESOPs, such as potential deferral or elimination of capital gains taxes under Section 1042, and how those compare with typical M&A taxation scenarios.
- Leadership Transition: Explore the expectations surrounding ongoing management involvement after the transaction. Whether you’re looking to exit quickly, stay on in a transitional role, or preserve a leadership legacy, we’ll highlight how each path supports different succession goals.
For a copy of this presentation, please contact us here.
Recording
The Team
Meet the Presenters
Anthony Dolan
Managing Director
Shaun McGehee
Managing DirectorRelated Resources
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