ESOP is a way to transfer company ownership from one generation to the next—in many cases, this transfer happens when the original owners sell their stake in the company to their own employees. ESOP stands for Employee Stock Ownership Plan, but the acronym hardly conveys the potential of this empowering ownership model. That’s because ESOP is more than just a financial structure—it has the potential to shape company culture, fueling innovation, driving accountability and making an appreciable difference in the quality of customer relationships.

Our slogan at Eagle Precision is “Think Like an Owner,” which is a direct reference to our ESOP structure, and aims to boost awareness among our employees of the benefits we all share. Our employees are our company owners, and adopting that mentality has already led to a slew of innovations and improvements in our daily operations.

ESOPs are growing in popularity among businesses around the United States. They allow company owners to transfer ownership to employees by distributing stock, creating excellent retirement benefits and promoting stability and longevity for the company. Both Eagle Alloy and Eagle Precision have ESOPs in place.