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Time to Sell Your Business? An ESOP May Be the Answer

Strategy Driven

What if there was a way to reduce that risk, preserve the company’s culture, keep employees and clients, increase company morale and improve performance by paying employees more without costing the business more? Selling one’s company to an ESOP, an employee stock ownership plan, does just that. How does an ESOP work?

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Huawei: A Case Study of When Profit Sharing Works

Harvard Business Review

A 2014 IMF study illustrates that extreme inequality is self-defeating as it slows down economic growth and insights from behavioral economics show that it damages employee morale and productivity, while large executive bonuses have presented PR nightmares for the companies that award them. Huawei’s ESOP can satisfy both human needs.