ESOP's - Effective Ownership Transition for Construction Companies (05.06.26)

Employee ownership can be a powerful option for construction company owners who want a thoughtful transition plan, a fair market buyer, and a way to reward and retain the people who helped build the business. This Lunch & Learn introduces Employee Stock Ownership Plans (ESOPs) in plain language, with a construction-focused lens. We’ll cover how ESOPs can function as both a qualified retirement plan and a long-term ownership transition strategy.
This session is intended for construction company leaders who are exploring whether an ESOP may be a good fit, including CFOs, CEOs, COOs, and owners considering an ESOP for their employees. We’ll focus on common early-stage questions, the strategic benefits that make ESOPs unique, and practical considerations that help determine whether an ESOP is viable for a given company.

Key topics include:
• What is an ESOP?
• Employee Stock Ownership Plan = ESOP
• Qualified Retirement Plan
• Since 1974 ESOPs have been governed by ERISA providing unique tax benefits
• 100% S-Corp Owned ESOPs pay no federal income tax

ESOPs as an ownership transition tool:
• A willing buyer at a fair market price
• Way for owner to diversify wealth
• Can be a tax-free sale

ESOPs as a broad based employee ownership plan:
• Employees earn shares of company overtime
• Helps foster an ownership mentality where employees think and act like owners

We’ll also outline how the ESOP process typically comes together and the roles different professionals play. Lazear Capital is a middle-market investment bank specializing in ESOPs, Mergers and Acquisitions (M&A), and capital formation, with a reputation for handling large and complex ESOP transactions and helping owners plan for long-term success and legacy. Haynie & Company is a full-service CPA firm specializing in audit, tax, client advisory services, and business consulting, with deep experience supporting businesses through complex financial, operational, and compliance needs.

This is an educational overview, not a sales pitch, and it is not a substitute for individualized legal, tax, or financial advice. The goal is to help you understand what an ESOP is and is not, ask better questions internally, and decide whether it’s worth taking the next step for your organization.

Instructors: Troy Starr, Lazear Capital; Chris N. Badger, CPA, Haynie & Company