Learn about employee ownership as a strategy to retain employees and build a succession plan.
With 50% of business owners in California at our near retirement and struggling to retain workers amidst the Great Resignation, employee ownership is a proven tool with a track record of strengthening business performance and resilience.
Project Equity, one of Northern California SBDC Network’s 2022 Affiliate Partners, shares how employee ownership can help you retain employees and build a succession plan. Employee ownership may provide:
* Lower turnover: Workers at employee-owned businesses have 46% longer job tenure than their peers in firms that are not employee-owned
* Higher productivity: Employee-owned enterprises reported productivity levels that were 9–19% higher than levels in traditionally structured similar businesses
* Higher profits: Employee-owned firms have an average profit margin almost 8.5% higher than the average private firm
* Greater resilience: In 2020, during COVID business shutdowns, employee-owned companies were less than half as likely to lay off employees and 6 times more likely to say they expected to make a full recovery
As a NorCal SBDC affiliate partner, Project Equity offers free one-on-one advising to any business owner that wants to learn more and explore a transition to employee ownership. Project Equity can also provide working capital and transaction financing to businesses pursuing a partial or full transition to employee ownership.
Join us to learn more about employee ownership, a tool for employee retention and business resiliency.