Information Resources
‹ Back to Toolkit HubReal Stories & Practical Insights
Learn from real-world examples of employee ownership transitions in construction and contracting companies.
Educational Tools
Resources to help you understand and plan your transition.
Education
Employee Ownership Explainer
A comprehensive guide for BC construction business owners exploring employee ownership succession options.
- Overview of employee ownership models
- Benefits for businesses and employees
- Construction industry specific insights
- Canadian tax considerations
Education
Employee Ownership Transition Planner
Best practices for BC construction companies to prepare for a successful transition to employee ownership.
- Governance & leadership guidance
- Financial management tips
- Culture & engagement strategies
- Model-specific considerations
Framework
Post-transition Best Practices
Comprehensive guide to transitioning to employee ownership with phase-by-phase mentorship priorities.
- Multiple transition models
- Mentorship integration points
- Implementation timelines
- Professional service guidance
Case Studies
Explore how other construction firms have navigated the transition.
Success
Northbeam Mechanical Ltd.
Direct Employee Share Ownership
Gradual retirement over 5 years, partial exit strategy
- 2-3 senior employees want ownership
- Sell shares annually via payroll deduction
- Enables gradual exit, builds internal leadership
- Need for shareholder agreement & training
Success
Island Forming & Concrete Ltd.
Employee Ownership Trust (EOT)
Full exit within 2 years, legacy preservation
- No individual wants to own, but team is loyal
- Sell 100% to EOT with seller financing
- Protects jobs/culture without personal investment
- Requires external trustee & governance expertise
Success
WestEdge HVAC Inc.
Phantom Stock Plan
Retain key staff, improve performance, no ownership change
- Key staff want upside but not equity or control
- Phantom shares vest over time, payout at sale
- Aligns performance without changing cap table
- Must manage expectations & value fairly
Success
TruePoint Contracting Group
Hybrid: Phantom Stock → Real Equity
Explore succession options, reward future leaders
- Two foremen want responsibility but not ready to buy
- Start with phantom stock, move to minority ESOP
- Flexible path as business and employees mature
- Requires clear plan for conversion
Failed
Iron Ridge Builders
(Failed) Direct Ownership Attempt
Owner wanted to sell to employees and exit within 3 years
- Employees enthusiastic but lacked capital/literacy
- Direct sale of shares to employees (abandoned)
- Common pitfall: cultural readiness without financial
- Employees couldn't secure financing
Success
Redwood Energy Solutions
ESOP from Inception + Profit Sharing
Build long-term team culture, retain talent
- Employees onboarded into ownership mindset early
- Founders reserve 10% for ESOP; profit sharing
- Builds equity culture, attracts talent
- Requires strong governance from outset
Additional Information
Explore these online resources to learn more about employee ownership in Canada.
