Issue link: https://nebusinessmedia.uberflip.com/i/1528347
W W W. M A I N E B I Z . B I Z 3 O C T O B E R 2 1 , 2 0 2 4 D ear Friends and Colleagues, I am excited to celebrate the remarkable growth and success of employee ownership in our great state of Maine. Over the past few years, we have witnessed a signifi- cant surge in the number of compa- nies embracing this innovative, suc- cessful business model, and the pos- itive impacts are undeniable. Today, more than 85 companies across Maine have adopted employee ownership, through Employee Stock Ownership Plans (ESOPs). ese businesses traverse over 50 commu- nities and employ over 8,500 of our fellow Mainers. is growth is not just a statistic; it represents a fun- damental shift in how we approach business ownership, distribution of wealth and economic development in our state. e benefits of employee owner- ship are far-reaching and multifac- eted. For employees, it means more than just a job — it's an opportu- nity to build wealth, gain a sense of ownership, and directly benefit from the company's success. is leads to increased engagement, productivity, and job satisfaction. We've seen time and again how employee-owners go above and beyond, driving innova- tion, engagement and excellence in their workplaces. For business owners, ESOPs offer a practical and rewarding owner- ship succession strategy. ey can ensure their legacy continues while providing for their retirement, all while rewarding the employees who helped build the company. is model has proven particularly attractive to our state's many family-owned busi- nesses, allowing them to preserve their values and community con- nections across generations. Communities across Maine are also reaping the benefits. Employee- owned companies are more likely to stay rooted in their local areas, pro- viding stable employment and con- tributing to the local economy. is stability is crucial for the long-term vitality of our towns and cities, espe- cially in rural areas. On a broader scale, the growth of employee ownership in Maine is helping to address wealth inequal- ity by distributing ownership more widely. It's keeping wealth and deci- sion-making power within our state, rather than seeing local businesses absorbed by out-of-state or multi- national corporations. As we look to the future, I am excited about the continued growth of employee ownership in Maine. It aligns perfectly with our state's val- ues of independence, hard work, and community. I encourage all business owners to consider this model and for policymakers to continue sup- porting its growth. Together, we can build a more resilient, equitable, and prosper- ous Maine through the power of employee ownership. Sincerely, Mark Adams Passionate Advocate for Employee Ownership in Maine President + CEO, Sebago Technics – 100% Employee-Owned F RO M O U R PA RT N E R F RO M T H E E D I TO R M ainebiz has taken an active role in covering the evolu- tion of the Employee Stock Own- ership Plans for more than a decade. We've done stories about ESOPs, run related "how to" columns and hosted a panel discussion around the topic. e rise of ESOPs has been interesting to follow. As Maine small businesses con- tinue to grow and change, the ESOP model offers some attractive advan- tages — particularly as an owner is looking to retire. e succession planning aspect of ESOPs continues to offer a viable alternative to a traditional sale of a company. It's nice to be able to offer the ESOP model as a way to hold onto our small businesses. is issue offers an overview of the ESOP model, while getting into some specifics on how to navigate the M&A process and answer ques- tions about the cost, the payout and what's in it for the employees. The issue also offers "how to" columns from experts and a list of Maine's largest ESOPs. — Peter Van Allen pvanallen@mainebiz.biz Business owners look to ESOPs for smooth succession planning Seeing the growth of ESOPs in Maine is exciting This issue offers an overview of the ESOP model, while getting into some specifics on how to navigate the M&A process and answer questions about the cost, the payout and what's in it for the employees. Mark Adams, president and CEO of Sebago Technics, leads the Maine trade group devoted to ESOPs.