For many of our clients, a major challenge is to recruit and retain quality teams that will drive their businesses forward. In recent years companies have had to become more resourceful in how to keep these teams together, as the challenging economic environment has made traditional methods, such as bonuses, more difficult for companies to afford.
At Beavis Morgan, we have put in place a number of Enterprise Management Incentive schemes for our clients.
One that particularly stands out is a client who, despite solid profits, was struggling for cash flow. In order to keep their team together, they offered HMRC Approved Share Options. This involved no initial cash flow outlay by the company, but ensured that the employees were able to participate in any profits derived from the founder shareholders’ planned future exit.
The team is now more focused on delivering growth and equity value, as they will participate in any strategic exit or listing.