Friday, November 26, 2021

Management consultancy hands ownership to employees

Ownership of Sheffield-based International Organisation Development Ltd (IOD PARC) has been handed to its staff through the establishment of an Employee Ownership Trust (EOT).

IOD PARC is a management consultancy. With staff based in the UK, Nepal, Australia and France, the company partners with its network of agencies, associates and locally based consultants.

Leonard Curtis Legal advised the business, introduced to IOD PARC by its accountants, and has worked closely with Hentons Corporate Finance, who provided corporate finance and legal advice to the sellers.

The deal saw the privately-owned management consultancy firm remodel by transferring the ownership of the business from the majority two shareholders – and a number of minority shareholders – to all eligible employees as an EOT.

The transaction also involved the negotiation of the usual share purchase documents – together with tailored EOT documentation – to consider specific concerns of the employee group, along with a shareholders agreement, to govern the relationship between the EOT and continuing shareholders.

Mark Keen, principal consultant, co-founder and one of the former majority shareholders of IOD PARC continues to be chair of the company board and also joins the board of the EOT as a trustee director. Company co-founder Julian Gayfer remains as Managing Director and principal consultant.

Leonard Curtis Legal’s team was led by Jonathan Roberts and Laura Green, who is based in the firm’s Leeds office. This EOT transaction is the second that the national legal firm has undertaken in Yorkshire in recent months.

Mark Keen said: “Since we began the company in 1998, our employees have been central to our mission to support organisations working in international development to increase their impact and improve their results. The continuing sustainability of the organisation wouldn’t have been possible without the hard work and contribution of our employees, and we want to recognise this as we move into the future.

“We also want to continue to bring in more expertise to strengthen our practice and provide our field-leading services. We feel confident that a move to an EOT model is the right step for us to achieve this. We’ve now built a new management team to drive future success, and employees are now set to benefit from it.”

Jonathan Roberts, director of Leonard Curtis Legal, said: “Employee ownership continues to be an attractive option for businesses across the UK who wish to protect their legacy and motivate staff.”

Chris Sellars from Hentons Corporate Finance added: “We are pleased to have advised the selling shareholders to allow another great business to transition to employee ownership. IOD Parc is an excellent example of a business with engaged employees who I am sure will thrive under the new structure.”

A message from the Editor:

Thank you for reading this story on our news site - please take a moment to read this important message:

As you know, our aim is to bring you, the reader, an editorially led news site and magazine but journalism costs money and we rely on advertising, print and digital revenues to help to support them.

With the Covid-19 pandemichaving a major impact on our industry as a whole, the advertising revenues we normally receive, which helps us cover the cost of our journalists and this website, have been drastically affected.

As such we need your help. If you can support our news sites/magazines with either a small donation of even £1, or a subscription to our magazine, which costs just £31.50 per year, (inc p&P and mailed direct to your door) your generosity will help us weather the storm and continue in our quest to deliver quality journalism.

As a subscriber, you will have unlimited access to our web site and magazine. You'll also be offered VIP invitations to our events, preferential rates to all our awards and get access to exclusive newsletters and content.

Just click here to subscribe and in the meantime may I wish you the very best.




Latest news

Related news

By continuing to use the site, you agree to the use of cookies. more information

The cookie settings on this website are set to "allow cookies" to give you the best browsing experience possible. If you continue to use this website without changing your cookie settings or you click "Accept" below then you are consenting to this.

Close